The Reserve Bank of India has imposed a total monetary fine of Rs 8 crore on three banks – Karnataka Bank, United Bank of India and Karur Vysya Bank – for non-compliance of directions on Swift messaging software.<\/p>\n
While the RBI imposed a Rs 4 crore fine on Karnataka Bank, United Bank is facing a penalty of Rs 3 crore. The regulator has levied Rs one crore fine on Karur Vysya Bank.<\/p>\n
The RBI has levied an aggregate penalty of Rs 40 million on the bank for delayed implementation of four of the Swift related operational controls, Karnataka Bank said in a regulatory filing.<\/p>\n
“The exchanges are hereby informed that Reserve Bank of India…, has imposed an aggregate penalty of Rs 30 million on the Bank to be deposited within 14 days, for non-compliance with, and contraventions of, directions contained in the RBI circular on time-bound implementation and strengthening of SWIFT-related operational controls,” United Bank said in a separate filing.<\/p>\n
Karur Vysya said that the RBI has imposed a monetary penalty of Rs 1 crore on the bank for non-compliance with the directions issued on Swift operations.<\/p>\n
Swift is the global messaging software used for transactions by the financial entities. The massive Rs 14,000 crore fraud at the PNB was a case of misuse of this messsaging software.<\/p>\n
Post the PNB fraud, which came to light in February 2018, the RBI has been tough on banks to tighten all kind of their transactions.<\/p>\n
Earlier on Saturday, four banks — SBI, Union Bank of India, Dena Bank and IDBI — had informed exchanges about monetary penalty slapped on them by the regulator for non-compliance with various directions.<\/p>\n
Fine of Rs 3 crore was imposed on Union Bank, Rs 2 crore on Dena Bank, and Rs 1 crore each on IDBI and the SBI.<\/p>\n\n","protected":false},"excerpt":{"rendered":"
The Reserve Bank of India has imposed a total monetary fine of Rs 8 crore on three banks – Karnataka Bank, United Bank of India and Karur Vysya Bank – for non-compliance of directions on Swift messaging software. While the RBI imposed a Rs 4 crore fine on Karnataka Bank, United Bank is facing a penalty of Rs 3 crore. The regulator has levied Rs one crore fine on Karur Vysya Bank. The RBI has levied an aggregate penalty of Rs 40 million on the bank for delayed implementation of…<\/p>\n","protected":false},"author":1,"featured_media":21020,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":[],"categories":[6,4],"tags":[],"_links":{"self":[{"href":"https:\/\/dinnews.in\/index.php?rest_route=\/wp\/v2\/posts\/21019"}],"collection":[{"href":"https:\/\/dinnews.in\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/dinnews.in\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/dinnews.in\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/dinnews.in\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=21019"}],"version-history":[{"count":2,"href":"https:\/\/dinnews.in\/index.php?rest_route=\/wp\/v2\/posts\/21019\/revisions"}],"predecessor-version":[{"id":21022,"href":"https:\/\/dinnews.in\/index.php?rest_route=\/wp\/v2\/posts\/21019\/revisions\/21022"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/dinnews.in\/index.php?rest_route=\/wp\/v2\/media\/21020"}],"wp:attachment":[{"href":"https:\/\/dinnews.in\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=21019"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/dinnews.in\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=21019"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/dinnews.in\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=21019"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}