A fine of Rs 2 crore has been imposed on Corporation Bank while BoB, SBI and Union Bank Of India were fined Rs 1 crore each.
The Reserve Bank Of India (RBI) has imposed a monetary penalty on Bank of Baroda (BoB), Corporation Bank, State Bank of India (SBI) and Union Bank Of India for non-compliance of various directions issued by the central bank.
In an order dated January 31, RBI said it has imposed monetary penalty on Bank of Baroda, Corporation Bank, SBI, Union Bank of India for non-compliance with directions issued by RBI on monitoring of end use of funds, exchange of information with other banks, classification and reporting of frauds, etc.According to the press release, Corporation Bank has been fined Rs 2 crore, while BoB, SBI and Union Bank Of India were fined Rs 1 crore each.
The RBI said it imposed penalties on seven lenders, including Allahabad Bank, Bank of Maharashtra, HDFC and Kotak Mahindra Bank, for violation of various banking norms.
Penalties are 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, the central bank said.