RBI slaps penalty on SBI, Bank of Baroda and 12 other banks, should customers worry?

In total, RBI has slapped a total penalty of Rs 14.50 crore, of which Bank of Baroda is paying the highest amount at Rs 2 crore while the State Bank of India is fined with the lowest amount at Rs 50 lakhs.

New Delhi: The Reserve Bank of India (RBI) has slapped 14 banks with cash penalties on 14 banks due to their non-compliance with certain provisions. Some of the notable banks which came under the radar of RBI include Bank of Baroda, State Bank of India (SBI), Bandhan Bank, Bank of Maharashtra, Central Bank of India, Credit Suisse AG, Indian Bank, IndusInd Bank, Karnataka Bank, Karur Vysya Bank, Punjab & Sind Bank, South Indian Bank, The Jammu & Kashmir Bank and Utkarsh Small Finance Bank.  The banks were penalised for not complying with RBI directives on lending to non-banking financial companies, bank finance to non-banking financial companies, loans and advances - statutory and other restrictions, among other norms, according to an IANS report.  In total, RBI has slapped a total penalty of Rs 14.50 crore, of which Bank of Baroda is paying the highest amount at Rs 2 crore while the State Bank of India is fined with the lowest amount at Rs 50 lakhs.