RBI Action: According to the Reserve Bank of India, Yes Bank was violating rules related to customer service, internal and office accounts. The Central Bank found in its investigation that despite not having sufficient funds in the account, the bank had collected the charge. Apart from this, wrong activities are being carried out from internal and office accounts.
The Reserve Bank of India has taken major action against two big private banks. RBI has imposed a fine of Rs 1.91 lakh against ICICI Bank and Yes. The Reserve Bank of India has taken this action for not following the loan and some instructions. The banking regulator had informed on May 21 that both these private banks were not following many guidelines.
These rules were being ignored
According to the Reserve Bank of India, Yes Bank and ICICI Bank were violating rules related to customer service, internal and office accounts. The Central Bank found in its investigation that despite not having sufficient funds in the account, the bank had collected the charge. Apart from this, wrong activities are being carried out from internal and office accounts.
Yes Bank fined Rs 91 lakh
RBI said that in the assessment in the financial year 2022, it was found that Yes Bank has violated the rules several times. The bank had opened and operated some internal accounts in the name of its customers for ulterior motives like parking funds and routing customer transactions. Now the Central Bank has imposed a fine of Rs 91 lakh for not following all these rules.
RBI said this
RBI further said, after considering the bank’s response to the notice, oral submissions made during the personal hearing and additional submissions made on its behalf, RBI finds that the following allegations against the bank are found to be true, for which It is necessary to impose a monetary penalty.” RBI said, ‘This penalty is imposed in exercise of the powers vested in the RBI under the provisions of Section 47A(1)(c) read with Section 46(4)(i) of the Banking Regulation Act, 1949. It has been imposed.
