RBI Levies Penalties on HDFC Bank, Punjab & Sind Bank

The Reserve Bank of India (RBI) levied penalties on HDFC Bank and Punjab & Sind Bank as the central body found deficiencies in regulatory compliance.

The central bank said that it has imposed a penalty of ₹75 lakh on HDFC Bank for being compliant with certain directions issued by RBI on ‘Know Your Customer’ (KYC).

On the other hand, RBI imposed a penalty of ₹68.20 lakh on Punjab & Sind Bank for non-compliance with certain directions on ‘Creation of a Central Repository of Large Common Exposures - Across Banks’ and ‘Financial Inclusion - Access to Banking Services - Basic Savings Bank Deposit Account (BSBDA)’.

RBI has also slapped a fine of ₹10 lakh on KLM Axiva Finvest for non-compliance with requirements relating to declaration of dividends.

Notably, the penalties in the above-mentioned cases are based on deficiencies in regulatory compliance and are not intended to pronounce upon the validity of any transaction or agreement entered into by the entities with their customers.