RBI Took Big Action Against HDFC Bank For Violation Of Rules
RBI took Big action against HDFC Bank for violation of rules, another big blow to HDFC Bank.
The Reserve Bank of India (RBI) has imposed a fine of Rs 10 crore on HDFC Bank, the country’s largest private sector bank.
An order issued by the central bank on May 28 stated that the private sector bank has been fined for violating the provisions of section 6 (2) and section eight of the Banking Regulation Act.
A statement issued by the central bank said that the RBI has imposed this fine on the private sector bank, using the powers obtained under the Act.
The Reserve Bank of India has said that this action has been taken for not complying with the regulatory imperatives.
RBI has clarified that this action against HDFC Bank has nothing to do with any agreement or transaction of the bank with customers.
RBI took Big action against HDFC Bank: Know what is the whole issue.
An order issued by the RBI stated that a whistle blower had filed a complaint with the RBI regarding irregularities in the bank’s auto loan portfolio.
The RBI found a violation of the provisions mentioned above in the investigation of the case. After this, a show-cause notice was issued to the bank asking why not to impose a penalty against it for violating the relevant provisions.
After examining the bank’s show cause notice, the oral arguments made during the personal hearing and the clarification given by the bank and the documents provided.
The RBI found that the allegations against the bank were true. Subsequently, this fine has been imposed against HDFC Bank.
Canara Bank will give cheap loans up to Rs 50 crore, know who will get the benefit of this scheme.
Canara Bank, a public sector lender, has announced cheap loans of up to Rs 50 crore mainly to corona victims and hospitals and nursing homes engaged in their treatment.
The bank has launched three new loan products. One for the patients suffering from corona, the other for hospitals, nursing homes and other healthcare institutions engaged in blunting the epidemic.
The third for small and medium scale industries (MSMEs) badly affected by the corona crisis. The bank said on Friday that healthcare credit facility will be provided to hospitals through Canara Medical.
Under this, loans ranging from Rs 10 lakh to Rs 50 crore will be given to registered hospitals, nursing homes, doctors and testing and testing centers.
