RBI Imposes Penalties: Penalties are imposed from time to time by the Reserve Bank of India (RBI) against various banks for non-compliance with rules.
After imposing penalties on 13 banks in the past, RBI has now imposed a fine of Rs 2.66 crore on the Indian operations of Bank of Bahrain & Kuwait BSC for non-compliance with cyber security rules and fined Rs.
Show cause notice issued
In a statement issued by the RBI, it was said that the bank has failed to implement the system to detect unusual and unauthorized internal or external activities in the database.
According to RBI’s statement, it has also failed to urgently implement the Security Operation Center for the bank’s safety.
In this regard, the central bank issued a show cause notice to Bahrain & Kuwait BSC.
Steps were taken against 13 banks
RBI said that the penalty had been imposed for lapses in regulatory compliance.
It does not question the validity of any transaction or agreement entered into by the bank with its customers. Earlier, RBI had taken a big step against 13 banks.
Due to RBI’s violation of various regulatory rules, strict action was taken against these banks. Fines ranging from Rs 50,000 to Rs 4 lakh were imposed on these banks.
Irrelevant with customer transactions
In the information given by the Reserve Bank, it was said that the main reason for the action taken against the bank was the lack of various regulatory compliances.
Because of this, strict action has been taken. Apart from this, RBI said that this penalty has nothing to do with the transactions done with the customers.
