RBI slaps Rs 1 cr penalty on Bandhan Bank over promoter holding norms

Reserve Bank of India (RBI) imposed Rs 1 crore penalty on Bandhan Bank for non-compliance. (File Photo: IANS)


The Reserve Bank of India (RBI) imposed Rs 1 crore penalty on Bandhan Bank for non-compliance with promoter holding norms.

The RBI said that the bank was required to bring down the shareholding of its “non-operative financial holding company” to 40 per cent of its paid-up equity capital within a period of three years from the date of commencement of business of the bank.

As the bank failed to comply with the laid guidelines, a notice was issued, asking why a penalty should not be imposed for the non-compliance, the RBI said in a statement on Tuesday.

“After considering the reply received from the bank, submissions made during personal hearing and documents submitted, the RBI came to the conclusion that the bank had failed to comply with the licencing guidelines and decided to impose the penalty,” the banking regulator said.

(With input from agencies)