RBI Penalises HDFC Bank ₹91 Lakh for Norm Violations
Why in the news
RBI penalised HDFC Bank for breaching the Banking Regulation Act and RBI directions, as found in a supervisory inspection.
| Finding | Norm breached |
|---|---|
| Several interest benchmarks in one loan category | Directions on interest rate on advances |
| Wholly-owned subsidiary in unpermitted business | BR Act Section 6(1) |
| KYC compliance outsourced to agents | Outsourcing guidelines and KYC norms |
Key facts
- Penalty ₹91 lakh; inspection ISE 2024.
- Provisions: Banking Regulation Act, 1949, Sections 19(1)(a) and 6(1).
Exam angle
- KYC means Know Your Customer.