Banking regulator has imposed monetary penalties on YES Bank and Hinduja Housing Finance Ltd for lapses in regulatory compliance, the Reserve Bank of India said on Friday.
The RBI said it had levied a penalty of Rs 31.80 lakh on YES Bank for failing to comply with certain provisions related to “Know Your Customer” (KYC) norms. The lender did not put in place a system to use the KYC Identifier issued by the Central KYC Records Registry to establish account-based relationships with customers, the regulator said.
The action followed a statutory inspection carried out by the RBI as part of its supervisory evaluation, with reference to the bank’s financial position as of March 31, 2025.
Separately, the RBI said it imposed a penalty of Rs 1.8 lakh on Hinduja Housing Finance Ltd for non-compliance with certain regulatory directions relating to governance.
The central bank clarified that the penalties were based on deficiencies in regulatory compliance and did not call into question the validity of any transactions or agreements entered into by the entities with their customers. |
