RBI imposes Fine on Banks: Reserve Bank of India has imposed a fine on five banks including CSB Bank, Union Bank of India and Muthoot Housing Finance.
RBI imposes Fine on Banks: The Reserve Bank of India (RBI) on Monday imposed fines on five units including CSB Bank, Union Bank of India and Muthoot Housing Finance. This fine has been imposed due to violation of various regulatory norms.
Fine imposed on these banks
RBI has imposed a fine of Rs 1.86 crore on CSB Bank for non-compliance with certain instructions related to guidelines on risk management and code of conduct in outsourcing of financial services and master circular on branch authorisation.
In another statement, the central bank said that Union Bank of India has been fined Rs 1.06 crore for non-compliance of certain norms related to Know Your Customer (KYC) and other reasons.
Muthoot Housing Finance fined Rs 5 lakh
Muthoot Housing Finance Company has been fined Rs 5 lakh for non-compliance with some provisions of the ‘Non-Banking Financial Company – Housing Finance Company (Reserve Bank) Directions, 2021’.
Apart from this, a fine of Rs 5 lakh has also been imposed on Nido Home Finance Limited and Rs 3.1 lakh on Ashoka Investment Limited.
What will be the impact on customers?
RBI said that in each case the fine is based on deficiencies in regulatory compliance and is not related to the financial transactions of these units.
