Reserve (reserve Bank of India) today imposed a monetary penalty of Rs 1 crore for violating certain provisions relating to sale of stressed assets and reporting of frauds.

“This action is based on deficiencies in regulatory compliance and is not intended to impinge on the validity of any transaction or agreement entered into by the bank with its customers,” read the RBI statement.

“The RBI’s inspection revealed that the rules for classifying an account as a red flag account were not complied with despite the presence of early warning signals and also there was a lack of disclosure of the provision for Security Receipts (SRs). was also a failure. annual report,” read the circular.

On 26 November, RBI imposed monetary penalty on the country’s largest lender (SBI) for violation of certain norms.