Case Brief
RBI, by order dated March 26, 2025, imposed a monetary penalty of ₹1.00 lakh on Karnataka Gramin Bank, Karnataka for non-compliance with RBI directions on prudential norms, provisioning, asset classification and exposure limits, read with income recognition, asset classification and provisioning norms. After inspection and subsequent notice, RBI sustained the charge that the bank failed to classify certain loan accounts as non-performing assets. The penalty was levied under Section 47A(1)(c) read with Sections 46(4)(i) and 51(1) of the Banking Regulation Act, 1949.
Action Snapshot
- Primary Impact
- Fine: Rs 1.00 L
- Entity Type
- Bank
- Location
- Karnataka
- Order Date