The Reserve Bank of India (RBI) has imposed a monetary penalty of Rs. 29.60 lakh (Rupees Twenty nine lakh sixty thousand only) on Axis Bank Limited for non-compliance with certain directions issued by RBI on Unauthorized Operation of Internal/Office Accounts.
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| RBI Imposes Rs 29.6 lakh Penalty on Axis Bank |
RBI Imposes ₹29.6 lakh Penalty on Axis Bank
The Reserve Bank of India (RBI) has imposed a monetary penalty of ₹29.60 lakh on Axis Bank Limited for non-compliance with certain directions issued by RBI on Unauthorized Operation of Internal/Office Accounts.
This penalty has been imposed in exercise of powers conferred on RBI under the provisions of Section 47A(1)(c) read with Section 46(4)(i) of the Banking Regulation Act, 1949.
Apart from this, the Reserve Bank of India (RBI) has imposed a monetary penalty of ₹97.80 lakh on ICICI Bank.
RBI Imposes Penalty on Axis Bank: Background
The Statutory Inspection for Supervisory Evaluation (ISE 2024) of the bank was conducted by RBI with reference to its financial position as on March 31, 2024
RBI found, inter alia, that the following charge against the bank was sustained, warranting imposition of monetary penalty:
- Axis Bank routed unauthorized or unrelated entries through certain internal/office 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. Further, imposition of monetary penalty is without prejudice to any other action that may be initiated by RBI against the bank.
About Axis Bank
Axis Bank is the third largest private sector bank in India. Axis Bank started operations in 1994.
The Axis Bank was promoted in 1993, jointly by Specified Undertaking of Unit Trust of India (SUUTI) (then known as Unit Trust of India), Life Insurance Corporation of India (LIC), General Insurance Corporation of India (GIC), National Insurance Company Ltd. (NIC), The New India Assurance Company Ltd. (NIA), The Oriental Insurance Company Ltd. (OIC), and United India Insurance Company Ltd. (UIIC). The shareholding of Unit Trust of India was subsequently transferred to SUUTI, an entity established in 2003. GIC, NIC, NIA, OIC, UIIC have been reclassified from promoter category to public category.
Vision of Axis Bank
The vision of Axis Bank to be the preferred financial solutions provider excelling in customer delivery through insight, empowered employees and smart use of technology.
About 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. Rajeshwar Rao
- T. Rabi Sankar
- Swaminathan J
- Dr Poonam Gupta
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Static Current Affairs related to RBI for upcoming exams
- Establishment: 1 April 1935
- Headquarters: Mumbai, Maharashtra
- Governor: Sanjay Malhotra
- Deputy Governor: Swaminathan J, M. Rajeshwar Rao, T. Rabi Sankar and Poonam Gupta
- Ownership: Ministry of Finance , Government of India
Static Current Affairs related to Axis Bank for upcoming exams
- Founded: 3 December 1993; as UTI Bank
- Headquarters: Mumbai, Maharashtra
- Managing Director & CEO: Amitabh Chaudhry
- Chairperson: Rakesh Makhija
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