Case Brief
The Reserve Bank of India imposed a monetary penalty of Rs 57.75 lakh on Suryoday Small Finance Bank Ltd. by order dated July 20, 2022. The penalty was levied for non-compliance with RBI’s Frauds classification and reporting directions, 2016, under section 47A(1)(c) read with section 46(4)(i) of the Banking Regulation Act, 1949. RBI’s inspection found that the bank failed to furnish Fraud Monitoring Reports to RBI within three weeks for certain fraud cases and failed to refer certain fraud cases committed by its staff to State Police authorities. RBI issued a show-cause notice, considered the bank’s reply and oral submissions, and then imposed the penalty.
Action Snapshot
- Primary Impact
- Fine: Rs 57.8 L
- Entity Type
- Bank
- Action Type