Reserve Bank has imposed a penalty of Rs 1 crore on an SBI associate bank, State Bank of Travancore, for violation of some of its instructions.
This action is based on deficiencies in regulatory compliance and is not intended to pronounce upon the validity of any transaction or agreement entered into by the bank and its customers
-RBI said in a statement.
The monetary penalty has been imposed for violation of its instructions including reporting of data to CRILC.
ABOUT CRILIC
stands for Central Repository of Information on Large Credits.
RBI set up CRILC to collect, store, and disseminate data on all borrowers’ credit exposures.
Banks are required to report all such information here, including classification of an account as SMA (Special Mention Accounts), on all borrowers having aggregate fund-based and non-fund-based exposure of Rs 5 crore and above.
ABOUT SBT
State Bank of Travancore (SBT), is a subsidiary of the State Bank Group and also has private share-holders. It is the premier bank of Kerala, India.
HQ: Poojappura, Thiruvananthapuram, India
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