The Reserve Bank of India has imposed, a monetary penalty of ₹32 lakh on Indian Bank
Reserve bank of India had conducted a inspection for evaluation of the bank based on its financial position as on March 31, 2019 and the examination of the Risk Assessment Report, Inspection Report and all related correspondence pertaining to the same, and found that inter alia, violation / non-compliance with directions issued on the deficiencies in regulatory compliance and is not intended to pronounce upon the validity of any transaction or agreement entered into by the bank with its customers Based on the inspections findings RBI had issued a Notice to the bank advising it to show cause as to why penalty should not be imposed on it for failure to comply with the directions issued by Reserve bank of India
After considering the bank’s reply to the notice and oral submissions during the personal hearing, RBI came to the conclusion that the aforesaid charges of non-compliance with RBI directions were substantiated and warranted imposition of monetary penalty and imposed a penalty of ₹32 lakh Rupees.
