The Reserve Bank of India (RBI) has imposed a fine of lakhs of rupees on four major banks in the country due to lapses in regulatory compliance. In official statements issued on Friday, the central bank said that this action does not affect the validity of transactions related to customers, but it is only based on disregard of regulatory instructions.

ICICI Bank fined ₹97.80 lakh

RBI has imposed a fine of ₹97.80 lakh on private sector ICICI Bank. This fine has been imposed by the bank due to a violation of cyber security framework, know your customer (KYC) norms and guidelines related to the issuance of credit and debit cards. Apart from this, a fine of ₹ 61.40 lakh has been imposed on public sector Bank of Baroda. According to RBI, this fine has been imposed due to failure to comply with regulatory instructions in the matter of banking services and services being provided to customers.

IDBI Bank also came under the scanner

In the same episode, IDBI Bank Limited and Bank of Maharashtra have also been fined ₹ 31.80 lakh-₹ 31.80 lakh. This action has been taken against both banks due to deficiencies found in regulatory compliance. RBI clarified that this punitive action is not against any particular customer or transaction of the respective banks, but it is aimed at warning the banks to ensure full compliance with regulatory instructions in the future.

Experts believe that this step is part of RBI's policy of transparency and strict enforcement of rules, which aims to maintain discipline in the banking system and ensure customer safety. This action has come at a time when RBI is constantly monitoring the banks amid growing concerns about digital banking, cyber security, and customer protection. This gives a clear indication that any kind of laxity in following the rules will not be tolerated by the financial institutions.