For breaking rules, the RBI fines HDFC Bank, Bank of America, and other banks money

 For breaking rules, the RBI fines HDFC Bank, Bank of America, and other banks money

For breaking rules, the RBI fines HDFC Bank, Bank of America, and other banks money

The RBI has given show cause notes to both of these banks before to taking any action.

For breaking rules, HDFC Bank, Bank of America, and three co-ops were fined by the Reserve Bank of India (RBI) on November 30. HDFC Bank and Bank of America were fined Rs 10,000 by the central bank for disregarding guidelines on the acceptance of deposits from non-resident individuals (NRIs).

The Reserve Bank of India (RBI) said in two different news statements that it had delivered show cause letters to these two banks prior to taking any action, in accordance with the authority granted to it by Section 11(3) of the Financial Emergency Management Act of 1999.

"The Bank received a show cause notice from the Reserve Bank of India, to which the Bank responded with a written reply and oral arguments. The Reserve has told the RBI that "Bank of India came to the conclusion that the infringements were justified and warranted imposition of penalty," it said in a statement, after taking into account the case's circumstances and the Bank's response.

RBI penalties for banks that operate cooperatively

Dhrangadhra People's Co-operative Bank in Gujarat has been fined Rs 1 lakh by RBI for failing to comply with the 'Holding of Assets by Primary (Urban) Co-operative Banks (UCBs) with Other Banks' regulation.

In accordance with Section 47-A (1) (c) read with Section 46 (4) (i) as well as 56 of the Banking Regulation Act, 1949, the RBI has the authority to impose this penalty. mentioned in the news announcement.

In addition, Patliputra Central Cooperative Bank in Bihar has been hit with a fine of Rs 1.50 lakh by the regulator for non-compliance. Additionally, Mandal Nagrik Sahakari Bank of Ahmedabad, Gujarat, has been fined Rs 1.50 lakh by RBI for non-compliance.