RBI imposes Rs1 crore penalty on State Bank of Travancore1 min read . Updated: 04 Jan 2016, 12:30 PM IST
RBI has imposed a penalty on SBT for deficiencies in reporting to the CRILC database
Mumbai: The Reserve Bank of India (RBI) on Monday said that it has imposed a penalty of ₹ 1 crore on State Bank of Travancore (SBT) for deficiencies in reporting to the Central Repository of Information on Large Credits (CRILC) database.
“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 on its website.
CRILC was constituted by the RBI to collect, store and disseminate data about large credit accounts to lenders. The repository is meant to keep a track of the status of asset classification of a loan account across different banks.
According to the banking regulator, it had issued a show cause notice to SBT for not having complied with directions on data submissions to CRILC.
After considering the bank’s reply, personal submissions, information submitted and documents furnished, the central bank came to the conclusion that SBT had violated the guidelines, which warranted imposition of monetary penalty on it, RBI said in its statement.