The Reserve bank of India has imposed a monetary penalty of Rs 2 crore on the PSU bank for non-compliance with certain provisions of the fraud classification & reporting guidelines and guideline on reporting of large exposures.
RBI conducted statutory Inspection for Supervisory Evaluation (ISE) of the bank with reference to its financial position as on 31 March 2018 (ISE 2018) and 31 March 2019 (ISE 2019).
The examination of the risk assessment reports pertaining to ISE 2018 and 2019 revealed non-compliance with/contravention of the aforesaid guidelines, viz., delay in reporting of frauds and not ensuring data accuracy and integrity while submitting data on CRILC platform/ to RBI.
The central bank said that the imposition of the monetary penalty is based on the deficiencies in regulatory compliance and is not intended to pronounce upon the validity of any transaction or agreement entered into by the bank with its customers.
Punjab National Bank (PNB) is a public sector bank. The Government of India held 76.87% stake in the bank as on 31 March 2021.
The public sector bank reported a net profit of Rs 586.33 crore in Q4 FY21 as against a net loss of Rs 697.20 crore in Q4 FY20. Total income increased by 37.5% to Rs 22,531.73 crore in Q4 FY21 over Q4 FY20.
The scrip slipped 0.95% to currently trade at Rs 41.70 on the BSE.
Powered by Capital Market - Live News
Disclaimer: No Business Standard Journalist was involved in creation of this content
