The Reserve Bank of India has imposed penalties totaling over ₹2.5 crore on five major banks for various regulatory non-compliances. ICICI Bank received the highest fine of ₹97.8 lakh for lapses in cybersecurity, KYC, and credit card billing practices, including failure to promptly report a cybersecurity incident and charging late fees without sending statements. Bank of Baroda was fined ₹61.4 lakh for not crediting interest to dormant accounts and allowing non-cash incentives to staff for insurance sales.
IDBI Bank and Bank of Maharashtra were each fined ₹31.8 lakh-IDBI for overcharging interest on Kisan Credit Card loans and BoM for opening accounts via Aadhaar OTP-based e-KYC without proper compliance14. Axis Bank was penalized ₹29.6 lakh for unauthorized transactions through internal accounts. RBI clarified these penalties are for compliance deficiencies and do not impact customer transactions.
Source : NDTV
RBI Fines ICICI, Axis, BoB, IDBI, Bank of Maharashtra for Regulatory Lapses