The Reserve Bank of India (RBI) has imposed penalties of Rs 40.39 crore on banks, non-banking finance companies (NBFCs) and other entities for violating norms during 2022-23, Finance Minister Bhagwat Karad said. written reply to the Lok Sabha on Monday.
As many as 176 of those cases involving fines of Rs 14.04 crore belonged to cooperative banks.
Private sector banks were fined Rs 12.17 crore while public sector banks (PSBs) received penalties of Rs 3.65 crore, foreign banks Rs 4.65 crore, and NBFCs ended up paying Rs 4.39 crore.
“RBI informed that it is obliged to take enforcement action as per Enforcement Policy and Framework approved by the Board for Financial Supervision of RBI, in the form of imposition of fine on regulated entities for violations of different statutes and directions,” the minister. stated
He added, the RBI issued guidelines on fair code of practice to be adopted by banks, NBFCs and HFCs and these covered various aspects of lending.