RBI has punished Punjab National Bank and ICICI Bank for non compliance of normsMumbai: A penalty of Rs 1.8 crore has actually been troubled Punjab National Bank (PNB) by the Reserve Bank of India (RBI), while ICICI Bank has been fined Rs 30 lakh for deficiencies in regulative compliances.According to a declaration issued by the central bank, PNB was found guilty of contravening arrangements of the Banking Guideline Act, 1949, associated with pledge of shares by it.Investigations by RBI discovered that PNB had held shares in debtor business, as pledgee, of an amount exceeding thirty percent of paid-up share capital of those business.
After going through the submissions given by the bank, RBI was convinced that the offense required imposition of fine and for that reason the charge of Rs 1.8 crore was imposed on PNB.In the case of ICICI Bank, the RBI stated that after conducting a statutory examination for supervisory assessment of the bank, it found non-compliance with instructions associated with levy of charges for non-maintenance of minimum balance in conserving accounts.The RBI however made it clear that in both the cases, penalties were levied on shortages in regulative compliances and it was not a pronunciation on the validity of any deal or contract participated in by the banks with their respective consumers.