Reserve Bank of India (RBI) has imposed a fine of Rs 36 lakh on Central Bank of India for violating norms on customer protection. RBI imposed a monetary penalty for non-compliance with certain directions on ‘Customer Protection — limiting liability of customers in unauthorised electronic banking transactions. This penalty has been imposed under the provisions of the Banking Regulation Act, 1949.
This action 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.
Central Bank of India is a commercial bank. The bank’s segments include Treasury Operations, Corporate/Wholesale Banking, Retail Banking and other Banking business.