Our Bureau
The Reserve Bank of India has imposed a monetary penalty of ₹1.50 crore on Oriental Bank of Commerce and ₹1 crore each on Bank of India and Punjab National Bank.
The penalty has been imposed on the banks for non-compliance with various directions issued on monitoring of end use of funds, exchange of information with other banks, classification and reporting of frauds, and on restructuring of accounts.
In the case of all these three banks, the RBI, in a statement, said: “These penalties have been imposed in exercise of powers vested in RBI under the provisions of …the Banking Regulation Act, 1949, taking into account failure of the above banks to adhere to the aforesaid directions issued by RBI.
“This 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 banks with their customers.”