South Indian Bank Limited

RBI imposed a monetary penalty of Rs 59.20 lakh on South Indian Bank Limited for non-compliance with directions on deposits and customer service. The issues related to minimum balance charges without proper customer intimation and lien marking on certain NRE savings accounts.

South Indian Bank must absorb the monetary penalty and continue operating, but the finding highlights compliance deficiencies in customer service and deposit-account practices. The order does not mention any operational restriction, but RBI has preserved its ability to initiate further action if warranted.

• Section 47 A (1) (c)
• Section 46 (4) (i) of BR Act

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 ₹10 lakh penalty on South Indian Bank Limited for non-compliance with directions on guarantees and co-acceptances.

South Indian Bank must absorb the monetary penalty and ensure future compliance with RBI’s directions on guarantees and co-acceptances. The order does not itself impose a forward-looking business restriction, but it signals heightened regulatory scrutiny over the bank’s handling of bank guarantees.

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

RBI imposed a ₹50 million penalty on South Indian Bank Limited for regulatory non-compliance. The lapses related to IRAC norms, KYC norms, treasury function, and compliance oversight.

South Indian Bank Limited must bear the financial penalty and address the compliance weaknesses identified by RBI. The order does not pronounce on the validity of any customer transactions or agreements, but it signals the need for stronger controls over asset classification, KYC, treasury operations, and internal compliance governance.

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