RBI slaps fines on Union Bank of India, RBL Bank for breach of rules

Mumbai: The Reserve Bank of India (RBI) on Friday said it has imposed monetary penalties on Union Bank of India and RBL Bank for the violation of norms.

The RBI has imposed a Rs 1 crore penalty on the Union Bank of India as it did not comply with certain directions and sanctioned a term loan to a corporation in lieu of or to substitute budgetary resources envisaged for certain projects, without undertaking due diligence on the viability and bankability of the projects to ensure that revenue streams from the projects were sufficient to take care of the debt servicing obligations, the statement explained.

RBL Bank was fined Rs 64 lakh because it failed to obtain an annual declaration in Form B from one of its major shareholders, within one month of the close of the three financial years ending on March 31, 2018, March 31, 2019 and March 31, 2020, and furnish certificates to RBI regarding continuance of the ‘fit and proper’ status of one of its major shareholders, by the end of September of the said three financial years, the press statement said.

“This action is based on the deficiencies in regulatory compliance and is not intended to pronounce upon the validity of any transaction or agreement entered into by the bank with its customers,” RBI added.

IANS

SBI hikes lending rates

Mumbai: The country’s largest lender State Bank of India (SBI) has raised its benchmark marginal cost of lending rate (MCLR) by 5-10 basis points with effect from Monday (July 15)....

India has potential to become world’s 2nd largest economy by 2031: RBI Dy Governor

Mumbai: Given the country’s innate strengths, it is possible to imagine India striking out into the next decade to become the second largest economy in the world not by 2048,...

Sensex closes at all-time high, tech stocks lead rally

Mumbai: Indian equity benchmarks closed in the green following a rally in IT stocks on Friday. At closing, the Sensex was 622 points or 0.78 per cent, at 80,519 and...

Banking sector witnessing a decade-high performance: RBI

New Delhi: As India aims to become the world's third largest economy soon, the banking sector is undergoing a decade-high performance in financial metrics, according to Swaminathan J, Deputy Governor...

Top-notch Saudi-Indian company launches its new website in Saudi Arabia

RIYADH: After months of hard work and dedication, Big City Solutions Company for Business Services is pleased to announce its new website (www.bigcitysolution.com) with the primary goal of creating a...

RBI fines Punjab National Bank for breach of rules

Mumbai: The Reserve Bank of India (RBI) said on Friday that it has imposed a penalty of Rs 1.32 crore on Punjab National Bank for non-compliance with regulations on ‘Loans...

RBI inks pact to link UPI with 4 ASEAN countries for instant cross-border retail payments

Mumbai: Reserve Bank of India (RBI) on Monday announced that it has now joined Project Nexus with the four ASEAN countries to create a platform to facilitate instantaneous cross-border retail...

RBI Chief sees India on path to steady 8 pc GDP growth

Mumbai: RBI Governor Shaktikanta Das sees India moving ahead towards an 8 per cent GDP growth trajectory on a sustained basis, driven by structural economic reforms such as GST. "If...

Indian economy to continue on growth track despite coalition govt: Ridham Desai

New Delhi: Global brokerage firm Morgan Stanley is optimistic about Indian economic growth despite the coalition government. Ridham Desai, MD of Morgan Stanley India, asserted that under PM Narendra Modi's...

Household consumption expenditure jumps in India as incomes rise

New Delhi: Household consumption expenditure on goods and services in both the rural and urban areas of India, which reflects the standard of living and well-being of the population, has...

India’s forex reserves at historic high of $651.5 bn, CAD to dip: RBI

Mumbai: With a lower trade deficit, robust services export growth and strong remittances, the current account deficit (CAD) is expected to have moderated in the January - March quarter of...

RBI keeps repo rate unchanged at 6.5 pc to maintain balance between growth and inflation

Mumbai: The RBI left the key interest rates unchanged in its monetary policy review on Friday as it continues to maintain a balance between economic growth and keeping inflation in...

Read Previous

US economy perched on dangerous edge as workers & employers in vital industry defy oblivious trend

Read Next

23 techies being sacked every hour for past 2 yrs, more layoffs in the offing

Leave a Reply

Your email address will not be published.

WP2Social Auto Publish Powered By : XYZScripts.com