HDFC and Axis banks fined Rs 2 crore 91 lakh

RBI takes action for violating the rules

Mumbai – The Reserve Bank of India (RBI) has fined HDFC and Axis banks Rs 2 crore 91 lakh for violation of norms. HDFC and Axis Bank are both large private sector banks. It has been clarified that this penalty will not affect the account holders of these banks.

RBI Cracks Down: Imposes penalties of ₹1.91 crore on Axis Bank and ₹1 crore on HDFC Bank for non-compliance with directives.

Banks failed to follow RBI’s instructions, leading to regulatory action.#Compliance #Banking #BankingRegulations
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— Sanatan Prabhat (@SanatanPrabhat) September 11, 2024

Provisions of the ‘Banking Regulation Act’ violated

In a statement released by the RBI on September 10, it was said that the provisions of the ‘Banking Regulation Act’ have been violated by both these banks. HDFC has been fined Rs 1 crore for non-compliance with certain directives related to interest rates on deposits, recovery agents of banks and customer service in banks. The RBI said in another statement that Axis Bank has been fined Rs 1 crore 91 lakh for non-compliance with certain instructions related to interest rate on deposits, KYC, and agricultural credit flow.

3 banks have been fined earlier

10 days ago, RBI has imposed a fine of Rs 2 crore 68 lakh on UCO Bank, Rs 1 crore 32 lakh on Punjab National Bank, and Rs 2 lakh 10 thousand on ‘Cent Bank Home Finance Limited’.