The Reserve Bank of India (RBI) has imposed a penalty of Rs 4.34 crore on the state-owned Bank of Baroda for violation of certain directions related to the creation of a central repository of large common exposures, and others. The penalty is based on deficiencies in regulatory compliance and not intended to pronounce upon the validity of any transaction or agreement entered into by the bank with its customers.
Bank of Baroda is engaged in providing various services, such as personal banking, corporate banking, international banking, small and medium enterprise (SME) banking, rural banking, non-resident Indian (NRI) services and treasury services.