RBI Imposes Penalties On ICICI Bank, Punjab National Bank

The Reserve Bank of India has imposed penalties on ICICI Bank Ltd. and Punjab National Bank for violating its norms.

The private bank and the state-run lender have been fined Rs 30 lakh and Rs 1.8 crore respectively, according to a central bank statement released on Wednesday. ICICI Bank, it said, didn’t comply with norms on levying fees against non-maintenance of minimum balance in savings accounts.

ICICI Bank levied fees which was not proportionate to the extent of shortfall observed in savings account balances, the RBI said.

In the case of Punjab National Bank, the lender held shares in borrower companies, as a pledgee, in excess of 30% of the companies’ paid-up share capital, according to the statement.

The penalty on Punjab National Bank was based on supervisory evaluation of the bank's financial position as on March 31, 2019, the statement said.