Case Brief
What Happened
RBI imposed a monetary penalty on Syndicate Bank by order dated January 30, 2019. The penalty was for non-compliance with RBI's Master Circular on Frauds - Classification and Reporting and the Circular on Risk Management Systems in Banks. RBI stated that the bank failed to adhere to these directions and imposed the penalty under Section 47A(1)(c) read with Section 46(4)(i) of the Banking Regulation Act, 1949. RBI also clarified that the action related to regulatory deficiencies and did not pronounce on the validity of any transaction or agreement with customers.