MUMBAI: The Reserve Bank of India (RBI) has imposed a monetary penalty of Rs50 million (Rs5 crore) on Karur Vysya Bank Ltd for non-compliance with the directions issued by RBI on Income Recognition and Asset Classification (IRAC) norms, reporting of frauds, and on need for discipline at the time of opening of current accounts through an order issued on September 25, 2018, an RBI release said.
“This action is based on deficiencies in regulatory compliance and is not intended to pronounce upon the validity of any transaction or agreement entered into by the bank with its customers,” the RBI statement clarified.
