The Reserve Bank of India (RBI) on Wednesday said it has imposed a penalty of Rs 1.8 crore on Punjab National Bank and Rs 30 lakh on ICICI Bank for deficiencies in regulatory compliance.
In a statement, the RBI said the Statutory Inspection for Supervisory Evaluation (ISE) of Punjab National Bank (PNB) was conducted by it with reference to its financial position as of March 31, 2019.
Following the ISE and examination of other documents, the RBI found contravention of its provisions relating to the pledge of shares by the PNB.
In the case of ICICI Bank, the RBI said the statutory inspection for supervisory evaluation of the bank was conducted by it with reference to its financial position as of March 31, 2019.
Later, the RBI found non-compliance with directions related to levy of charges for non-maintenance of minimum balance in saving accounts.
In both cases, penalties were based on deficiencies in regulatory compliance and were not intended to pronounce upon the validity of any transaction or agreement entered into by the banks with their respective customers, the RBI mentioned.
In a regulatory filing, ICICI Bank said it was levying charge of Rs 100 plus a percentage of shortfall between the minimum average balance (MAB) required to be maintained and actual balance maintained in the saving account as agreed upon at the time of account opening.
"RBI has held that levy of charges for non-maintenance of MAB were not directly proportionate to the extent of the shortfall observed in the required MAB and actual balance maintained.
"The bank has taken steps to align the charge levied for non-maintenance of MAB with the direction of RBI," ICICI Bank said.
Separately, PNB said the RBI has imposed a penalty of Rs 1.80 crore on the bank for contravention of the provisions Banking Regulation Act, 1949.
Photograph: Francis Mascarenhas/Reuters
