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The RBI has imposed a penalty on Citibank, AMFL, and JMFHL for non-compliance.

Banking & Finance | Dated: 25 Feb 2025

In February 2025, the Reserve Bank of India (RBI), headquartered in Mumbai, Maharashtra, imposed monetary penalties on Citibank (Mumbai, Maharashtra), Asirvad Micro Finance Limited (AMFL) (Chennai, Tamil Nadu), and JM Financial Home Loans Limited (JMFHL) (Mumbai, Maharashtra) for non-compliance with regulatory norms.

🎯 Key Highlights:

  • - RBI fined Citibank Rs 39 lakh for failing to upload corrected data in specific sectors within seven days of receiving rejection reports from Credit Information Companies (CICs) and for delayed reporting of violations related to "Large Exposures" restrictions.

💡 Other Important Facts:

  • (i) AMFL was penalized Rs 6.20 lakh for failing to report household income details of certain borrowers to CICs.
  • (ii) Additionally, it did not provide factsheets to certain gold loan customers and lacked an auto-escalation mechanism for complaints that were partially or fully denied by its internal grievance resolution system, preventing their escalation to the internal ombudsman for final resolution.
  • (iii) JMFHL received a penalty of Rs 1.50 lakh for violating multiple provisions of the "Non-Banking Financial Company Housing Finance Company (Reserve Bank) Directions, 2021."

📚 Test Your Knowledge:

Recently, which regulatory body imposed a monetary penalty on Citibank, AMFL, and JMFHL for non-compliance?

Correct Answer: RBI

🚀 Quick Recap:

About RBI

  • Governor : Sanjay Malhotra
  • Headquarter : Mumbai