RBI imposes Rs.61.40 lakh penalty on RBL Bank

The Reserve Bank of India (RBI) has imposed a monetary penalty of ₹61.40 lakh on RBL Bank for non-compliance with certain directions issued by RBI on ‘Know Your Customer’.

RBI imposes Rs.61.40 lakh penalty on RBL Bank

RBI imposes penalty on RBL Bank

The Reserve Bank of India (RBI) has imposed a monetary penalty of ₹61.40 lakh (Rupees Sixty-one lakh and forty thousand only) on RBL Bank Limited for non-compliance with certain directions issued by RBI on ‘Know Your Customer’.

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RBI imposes penalty on RBL Bank: Background 

The Statutory Inspection for Supervisory Evaluation of the bank was conducted by RBI with reference to its financial position as on March 31, 2022 and March 31, 2023.

RBI found, inter alia, that the following charges against the bank were sustained, warranting imposition of monetary penalty:

• The bank did not obtain a prescribed Officially Valid Document (OVD) while opening certain credit card accounts; and
• The bank had allotted multiple Customer Identification Codes to certain customers instead of a Unique Customer Identification Code (UCIC) for each customer.

Reserve Bank of India (RBI)

The Reserve Bank of India was established on April 1, 1935 according to the provisions of the Reserve Bank of India Act, 1934. The headquarters of the Reserve Bank was initially established in Kolkata but was permanently moved to Mumbai in 1937.

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Initially the bank was privately owned, but since nationalization in 1949 it is fully owned by the Government of India.

Governor of RBI

The current Governor of the Reserve Bank of India is Shaktikanta Das. He replaced Urjit Patel as the governor.

Deputy Governor of RBI

The 4 Deputy Governors are appointed in the Reserve Bank of India (RBI), who are as follows.

1. M.D. Patra
2. M. Rajeshwar Rao
3. T. Rabi Sankar
4. Swaminathan J

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Static Current Affairs related to RBL Bank for upcoming exams

• Formation: August 1943
• Headquarters: Mumbai
• RBL Bank MD & CEO: R Subramaniakumar