The Reserve Bank of India (RBI) has imposed a monetary penalty of Rs. 68.20 lakh on Punjab & Sind Bank for non-compliance with certain directions issued by RBI on Creation of a Central Repository of Large Common Exposures – Across Banks read with Central Repository of lnformation on Large Credits (CRlLC) – Revision in Reporting and Financial Inclusion - Access to Banking Services – Basic Savings Bank Deposit Account (BSBDA).
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| RBI Imposes Rs 68.2 lakh Penalty on Punjab & Sind Bank |
RBI Imposes ₹68.2 lakh Penalty on Punjab & Sind Bank
The Reserve Bank of India (RBI) has imposed a monetary penalty of ₹68.20 lakh (Rupees Sixty Eight Lakh Twenty Thousand only) on Punjab & Sind Bank for non-compliance with certain directions issued by RBI on ‘Creation of a Central Repository of Large Common Exposures – Across Banks’ read with ‘Central Repository of lnformation on Large Credits (CRlLC) – Revision in Reporting’ and ‘Financial Inclusion - Access to Banking Services – Basic Savings Bank Deposit Account (BSBDA)’.
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This penalty has been imposed in exercise of powers conferred on RBI under the provisions of Section 47A(1)(c) read with Sections 46(4)(i) and 51(1) of the Banking Regulation Act, 1949.
Apart from this, the Reserve Bank of India (RBI) has imposed a monetary penalty of ₹75.00 lakh on HDFC Bank.
RBI Imposes Penalty on Punjab & Sind Bank: Background
The Statutory Inspection for Supervisory Evaluation (ISE 2023) of the bank was conducted by RBI with reference to its financial position as on March 31, 2023.
RBI found that the following charges against the bank were sustained, warranting imposition of monetary penalty.
- Punjab & Sind Bank did not report certain borrowers with non-fund based exposure of ₹5 crore and above to CRILC.
- Punjab & Sind Bank allowed certain BSBDA holders to open Saving Bank Deposit Accounts.
The action is based on 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.
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 Sanjay Malhotra. He replaced Shaktikanta Das as the governor.
Deputy Governor of RBI
The 4 Deputy Governors are appointed in the Reserve Bank of India (RBI), who are as follows.
- M.D. Patra
- M. Rajeshwar Rao
- T. Rabi Sankar
- Swaminathan J
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Static Current Affairs related to Punjab & Sind Bank for upcoming exams
- Formation: 24 June 1908
- Headquarters: New Delhi
- Managing Director & CEO: Swarup Kumar Saha
- Non-Exe Chairman: Charan Singh
- Number of employees: 10151 (2024)
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