The Reserve Bank of India (RBI) has imposed a monetary penalty of Rs 5 crore on Karur Vysya Bank for non-compliance with the directions issued by RBI on Income Recognition and Asset Classification (IRAC) norms, reporting of frauds, and on need for discipline at the time of opening of Current accounts. This is consequent to RBI's statutory inspection of the bank with reference to financial position as on March 31, 2016 and March 31, 2017.
Karur Vysya Bank is among six old generation private sector banks that have been identified by the Reserve Bank of India (RBI) to implement Speed Clearing at Mumbai.
