RBI fines HDFC, Axis Bank for non-compliance with regulations

India UPS Provident security WhatsApp cover

11.09.2024 - 04:36

Reading now: 135

economictimes.indiatimes.com:

Reserve Bank of India has imposed a penalty of ₹1.91 crore on Axis Bank and ₹1 crore on HDFC Bank for non-compliance with regulations. Both banks opened certain savings deposit accounts in the name of ineligible entities.

The monetary penalty on Axis Bank pertains to violations done in FY23. The bank allotted multiple customer identification codes to certain customers instead of a unique customer identification code for each customer and obtained collateral security for agricultural loans up to ₹1.60 lakh in certain cases. Besides, Axis Bank's wholly-owned subsidiary undertook business as a technology service provider, which is a violation of the Banking Regulation Act.

The penalty on HDFC Bank pertains to FY22. HDFC Bank gave over ₹250 as gifts to depositors while accepting certain deposits. The gift was in the nature of the first-year premium for the complimentary life insurance cover. The bank failed to ensure customers were not contacted after 7 p.m. and before 7 a.m.

<div data-placement=«Mid Article Thumbnails» data-target_type=«mix» data-mode=«thumbnails-mid» style=«min-height:400px; margin-bottom:12px;» class=«wdt-taboola» id=«taboola-mid-article-thumbnails-113243109»> <div data-placement=«Mid Article Thumbnails» data-target_type=«mix» data-mode=«thumbnails-mid» style=«min-height:400px; margin-bottom:12px;» class=«wdt-taboola» id=«taboola-mid-article-thumbnails-113243109»>

(You can now subscribe to our ETMarkets WhatsApp channel)
Read more on economictimes.indiatimes.com

All news from economictimes.indiatimes.com

About this in other media

CVC flags 34 major cases of non-compliance by govt depts in acting against 'corrupt' officials economictimes.indiatimes.com /1 month ago

View: It’s not fun and glory for the super-rich living in the global south economictimes.indiatimes.com /1 month ago

RBI tells banks to take legal recourse in standoff with CBI economictimes.indiatimes.com /1 month ago

The website fvbb.com is an aggregator of news from open sources. The source is indicated at the beginning and at the end of the announcement. You can send a complaint on the news if you find it unreliable.