Case Brief
What Happened
The Reserve Bank of India imposed a monetary penalty of ₹4.50 crore on IndusInd Bank Limited by order dated October 16, 2020. RBI said a statutory inspection and the related Risk Assessment Report for the bank's position as on March 31, 2019 showed non-compliance with several directions, including exposure norms, prudential norms on income recognition, asset classification and provisioning for advances, SPARC information submission monitoring, CRILC reporting, and disclosure in financial statements/notes to accounts. RBI invoked section 47A(1)(c) read with section 46(4)(i) of the Banking Regulation Act, 1949. The bank was given a show-cause notice and the RBI considered the bank's reply, oral and additional submissions before imposing the penalty.