Karnataka Bank Limited

RBI has imposed a monetary penalty of Rs 59.10 lakh on Karnataka Bank Ltd. for regulatory non-compliance. The breaches related to deposit-account eligibility and loan-account review/NPA classification norms.

Karnataka Bank must absorb the penalty and continue complying with RBI’s deposit and prudential norms. The order does not invalidate customer transactions, but it signals regulatory scrutiny and leaves the bank exposed to any further action RBI may initiate on the same compliance deficiencies.

• section 47 A (1) (c) read with sections 46 (4) (i) of the Banking Regulation Act, 1949

RBI imposed monetary penalties on fourteen banks for various compliance failures. The penalties ranged from Rs 50 lakh to Rs 1 crore.

All fourteen banks must absorb the monetary penalty and address the cited compliance weaknesses. The action has no stated direct effect on customer transactions, but it signals supervisory scrutiny of lending, exposure reporting, and statutory compliance practices.

• Section 19(2) of Banking Regulation Act, 1949
• Section 20 (1) of Banking Regulation Act, 1949
• section 47 A (1) (c) read with sections 46 (4) (i) and 51 (1), of the Banking Regulation Act, 1949

This RBI action affected 14 entities. This profile is linked as bulk member.

RBI imposed a ₹1.20 crore penalty on Karnataka Bank Ltd. for non-compliance with prudential norms on income recognition, asset classification and provisioning. The action followed supervisory inspection findings and a show-cause process.

Karnataka Bank must absorb the monetary penalty and, more importantly, address the supervisory compliance gaps identified by RBI. The order does not itself restrict operations, but it signals heightened regulatory scrutiny around NPA recognition, classification, and provisioning practices.

• Section 47 A (1) (c) read with Section 46 (4) (i) of the Banking Regulation Act, 1949

RBI imposed monetary penalties on 36 banks for non-compliance with SWIFT-related operational control directions. The penalties were issued by orders dated January 31 and February 25, 2019.

The penalized banks must absorb the financial penalty and continue improving compliance with SWIFT-related controls. RBI also stated it will continue to closely monitor adherence to these controls on an ongoing basis; the action does not pronounce on the validity of customer transactions or agreements.

• Section 47A(1)(c) read with Section 46(4)(i) of the Banking Regulation Act, 1949

This RBI action affected 36 entities. This profile is linked as bulk member.

RBI penalised Credit Agricole – Corporate & Investment Bank and Karnataka Bank for non-compliance with its derivatives directives. The penalties were Rs 10 lakh and Rs 5 lakh respectively.

Both banks must bear the monetary penalties and address the compliance gaps identified by RBI in their derivatives business. The action has no direct operational restriction described in the release, but it signals closer supervisory scrutiny of derivative suitability, documentation, and compliance controls going forward.

• Section 47A(1)(b) read with Section 46(4)(i) of the Banking Regulation Act, 1949

This RBI action affected 2 entities. This profile is linked as bulk member.