RBI imposes monetary penalty on three banks

Last Updated: Fri, Feb 15, 2019 12:03 hrs
RBI (Reuters image)

Mumbai: The Reserve Bank of India (RBI) has imposed separate monetary penalties on three lenders -- Bank of India, Oriental Bank of Commerce and Punjab National Bank -- over deficiencies in complying with regulatory norms.

A penalty of Rs 1 crore each has been slapped on the Bank of India and the Punjab National Bank, and a penalty of Rs 1.5 crore on the Oriental Bank of Commerce.

"The Reserve Bank of India (RBI) has imposed, by orders dated January 31, 2019, monetary penalty for non-compliance with various directions issued by RBI on monitoring of end use of funds, exchange of information with other banks, and on restructuring of accounts, on three banks...," the RBI said in a statement on Thursday.

"This action is based on deficiencies in regulatory compliance and is not intended to pronounce upon the validity of any transaction or agreement entered into by the banks with their customers."