RBI penalises SBI, BoB, Union Bank of India, Corporation Bank for non-compliance of norms

The RBI has imposed a monetary penalty for non-compliance with various directions issued by the central bank on monitoring of end-use of funds, exchange of information with other banks, classification, and reporting of frauds, and on restructuring of accounts, on four banks

Feb 14, 2019 04:02 IST India Infoline News Service

Reserve Bank of India
The Reserve Bank of India has imposed the penalty on State Bank of India (SBI), Bank of Baroda (BoB), Union Bank of India, and Corporation Bank for non-compliance of norms. Accordingly, the RBI has imposed the penalty of Rs1cr on BoB, SBI, and Union Bank of India, while Rs2cr on Corporation Bank.

State Bank of India's share price is currently at Rs266, down by Rs2.25 or 0.84%, from its previous close of Rs268.25 on the BSE.

Shares of Union Bank of India are currently at Rs68.90, down by Rs0.55 or 0.79%, from its previous close of Rs69.45 on the BSE. Bank of Baroda is currently trading at Rs101.95, down by Rs0.2 or 0.2%, from its previous close of Rs102.15 on the BSE.

However, Corporation Bank is currently trading at Rs24.70, up by Rs0.4 or 1.65%, from its previous close of Rs24.30 on the BSE.

"The Reserve Bank of India (RBI) has imposed, by orders dated January 31, 2019, monetary penalty for non-compliance with various directions issued by RBI on monitoring of end-use of funds, exchange of information with other banks, classification and reporting of frauds, and on restructuring of accounts, on four banks," the central bank said in a press note on Wednesday.

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