Mumbai, February 28 – The Reserve Bank of India (RBI) has imposed monetary penalties on The Hongkong and Shanghai Banking Corporation Limited (HSBC) and IIFL Samasta Finance Limited due to lapses in regulatory compliance, particularly in areas related to Know Your Customer (KYC) norms and deposit-related regulations.
HSBC has been fined ₹66.6 lakh for non-adherence to RBI’s guidelines on KYC and Interest Rates on Deposits. Meanwhile, IIFL Samasta Finance Limited has incurred a penalty of ₹33.1 lakh for violating specific provisions under the Non-Banking Financial Company – Systemically Important Non-Deposit taking Company and Deposit taking Company (Reserve Bank) Directions, 2016, along with KYC norms.
The central bank clarified that these penalties were levied due to deficiencies in regulatory compliance and do not question the legality or validity of any transactions or agreements entered into by these financial entities with their customers.
This action underscores RBI’s ongoing vigilance in ensuring financial institutions adhere to regulatory norms, reinforcing transparency and accountability in the banking and financial sector.c
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