Comments
The Reserve Bank of India (RBI) has imposed ₹2-crore monetary penalty on Deutsche Bank for non-compliance with certain provisions of directions relating to ‘Reserve Bank of India (Interest Rate on Deposits) Directions, 2016’.
The central bank, in a statement, said this action is based on the 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.
“The penalty has been imposed in exercise of powers vested in RBI under the provisions of …the Banking Regulation Act, 1949,” the statement said.
The RBI observed that the statutory inspection of the bank with reference to its financial position as on March 31, 2019, and the Risk Assessment Report pertaining thereto revealed, inter-alia, non-compliance with above-mentioned directions issued by the RBI.
“In furtherance to the same, a notice was issued to the bank advising it to show cause as to why penalty should not be imposed on it for non-compliance with the directions.
“After considering the bank’s reply to the notice, oral submissions made in the personal hearing and examination of additional submissions, the RBI concluded that the charge of non-compliance with aforesaid RBI directions was substantiated and warranted imposition of monetary penalty,” the central bank said.
Comments
COMMENT NOW
Comments
Comments have to be in English, and in full sentences. They cannot be abusive or personal. Please abide by our community guidelines for posting your comments.
We have migrated to a new commenting platform. If you are already a registered user of TheHindu Businessline and logged in, you may continue to engage with our articles. If you do not have an account please register and login to post comments. Users can access their older comments by logging into their accounts on Vuukle.