RBI imposes penalty on State Bank of Indore, Madhya Pradesh

Case Brief

The Reserve Bank of India imposed a monetary penalty of Rs. 5,00,000 on State Bank of Indore, Indore, Madhya Pradesh under Section 47(A)(1)(b) of the Banking Regulation Act, 1949. RBI said the bank violated its instructions and guidelines on opening of accounts and monitoring of cash transactions at one of its branches during the year 2000.

Action Snapshot

Primary Impact: Fine: Rs 5.00 L
Entity Type: Bank
Location: Indore, Madhya Pradesh
Order Date

Unknown date

Effective From

Unknown date

Entities Affected

1

Why RBI Acted

KYC / AMLReporting & disclosure

RBI imposed a monetary penalty under Section 47(A)(1)(b) of the Banking Regulation Act, 1949 for violation of instructions/guidelines issued by the Reserve Bank of India regarding opening of account and monitoring of cash transactions at one of the bank's branches during the year 2000.

Severity Assessment

The action is a monetary penalty of Rs. 5 lakh, which falls in the >Rs. 2 lakh and <=Rs. 10 lakh band, giving severity 2.

Impact

State Bank of Indore must absorb the monetary penalty; the release does not describe any additional operational restriction. The action is a compliance sanction for past violations and does not indicate a continuing ban or suspension.

Regulatory Basis

Section 47(A)(1)(b) of the Banking Regulation Act, 1949

Affected Entities

State Bank of Indore, Indore, Madhya Pradesh
Published as State Bank of Indore, Indore, Madhya Pradesh
Bank · Primary