Case Brief
What Happened
The Reserve Bank of India imposed a monetary penalty on Bank of Maharashtra by order dated January 04, 2019. The penalty was levied for non-compliance with RBI Master Directions on Frauds-Classification and Reporting and the Master Direction on Know Your Customer, under Section 47A(1)(c) read with Section 46(4)(i) of the Banking Regulation Act, 1949. RBI stated that the action reflected deficiencies in regulatory compliance and did not pronounce on the validity of any customer transaction or agreement.