Winning Bizness Desk
Mumbai. The Reserve Bank of India has fined 3 banks and 2 NBFCs for violating regulatory norms. One of the banks on which the penalty has been imposed was charging more from the customers who did not maintain the minimum balance, while the other bank had issued the Customer Identification Code to the same customer. The banks and NBFCs that have been fined include National Co-operative Bank, Krishna Sahakari Bank, Kanyakumari District Central Co-operative Bank, RainBow Finance India and Shrestha Finvest Limited. In a press release, the RBI said that a fine of Rs 7.50 lakh has been imposed on Kanyakumari District Central Cooperative Bank and Rs 1 lakh each on National Co-operative Bank and Krishna Co-operative Bank. Apart from this, a fine of Rs 4 lakh has been imposed on Rainbow Finance India and Rs 2 lakh on Shrestha Finvest.
Bank was charging even without notice
The National Co-operative Bank was charging its customers penal charges for non-maintenance of minimum balance in their savings bank accounts without notice. While he had no right to do so. Notice is to be given for non-maintenance of minimum balance and penal charges are applicable for non-maintenance of minimum balance within one month from the date of notice. The Kanyakumari District Central Cooperative Bank did not transfer the stipulated amount to the Depositor Education and Awareness Fund (DEAF) within the stipulated time. Not only this, the bank issued multiple customer identification codes to the same customer in violation of the KYC instructions of the central bank.
Fine imposed on 4 cooperative banks
The Reserve Bank of India (RBI) had imposed a fine of Rs 44 lakh on 4 cooperative banks in the last month i.e. April as well for violation of various rules. The banks that were fined were Tamil Nadu State Apex Co-operative Bank, Bombay Mercantile Co-operative Bank, Janata Sahakari Bank and Baran Nagrik Sahakari Bank. Of these, the maximum fine of Rs 16 lakh was imposed on Chennai-based Tamil Nadu State Apex Co-operative Bank.
