MUMBAI: The Reserve Bank said on Tuesday it has imposed a fine of Rs 12.19 crore on ICICI Bank and Rs 3.95 crore on Kotak Mahindra Bank for non-compliance with certain regulatory norms.
The penalty for private sector lenders ICICI Bank has been imposed for violation of norms related to ‘Loans and advances – Statutory and other restrictions’ and ‘Fraud classification and reporting by commercial banks and selected Fls’.
In another statement, the RBI said that the fine has been imposed on Kotak Mahindra Bank Limited for violating directions related to “Managing Risks and Code of Conduct in Outsourcing of Financial Services by Banks”, “Recovery Agents engaged by Banks”, “Customer Service in Banks” and “Loans and Advances – Legal and Other Restrictions”.
In both cases, the RBI said the penalties are based on the lapses in regulatory compliance and are not intended to adjudicate on the validity of any transaction or agreement entered into by the banks with their customers.
The penalty for private sector lenders ICICI Bank has been imposed for violation of norms related to ‘Loans and advances – Statutory and other restrictions’ and ‘Fraud classification and reporting by commercial banks and selected Fls’.
In another statement, the RBI said that the fine has been imposed on Kotak Mahindra Bank Limited for violating directions related to “Managing Risks and Code of Conduct in Outsourcing of Financial Services by Banks”, “Recovery Agents engaged by Banks”, “Customer Service in Banks” and “Loans and Advances – Legal and Other Restrictions”.
In both cases, the RBI said the penalties are based on the lapses in regulatory compliance and are not intended to adjudicate on the validity of any transaction or agreement entered into by the banks with their customers.
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