Reserve Bank of India Levies Penalties on 353 Banks and Regulated Entities in FY25

• • The Reserve Bank of India (RBI) imposed 353 penalties totaling ₹54.78 crore on Regulated Entities (REs) for statutory violations during the year ending March 31, 2025.

Key Areas of Non-Compliance:

• • Cybersecurity frameworks in banks, Exposure norms and IRAC norms, KYC guidelines, Fraud classification and reporting, CRILC reporting, Submission to Credit Information Companies (CICs)

Penalties by Entity Type:

• • Cooperative Banks: 264 penalties, ₹15.63 crore
  • NBFCs/ARCs: 37 penalties, ₹7.29 crore
  • Housing Finance Companies: 13 penalties, ₹83 lakh
  • Public Sector Banks: 8 banks, ₹11.11 crore
  • Private Sector Banks: 15 banks, ₹14.8 crore
  • Foreign Banks: 6 banks (amount not disclosed)

Purpose of Enforcement:

• • To ensure regulatory compliance and strengthen the integrity and stability of the financial sector.

About RBI

• • Established: April 1, 1935
  • Headquarters: Mumbai, Maharashtra
  • Governor: Sanjay Malhotra