On Monday, the Reserve Bank said it had fined Kotak Mahindra Bank and IndusInd Bank about Rs 1 crore each for deficiencies in regulatory compliance. The RBI has also imposed fines on four co-operative banks.
Kotak Mahindra Bank has been fined Rs 1.05 crore for violating certain rules related to ‘The Depositor Education and Awareness Fund Scheme, 2014’ and non-compliance with the ‘Customer Protection – Limiting Liability of Unauthorized Customers’ guidelines. Electronic banking transactions’, and ‘loans and advances – statutory and other restrictions’, the banking regulator said.
IndusInd Bank has been fined Rs 1 crore for non-compliance with the Know Your Customer (KYC) rules, the RBI said.
Navjivan Co-operative Bank, Balangir District Central Co-operative Bank Limited, Balangir, Dhakuria Co-operative Bank Limited, Kolkata and The Palani Co-operative Urban Bank Limited (No. A.331) have also been banned. Fines range from Rs 1 lakh to Rs 2 lakh.