ICICI Bank Ltd.

The Reserve Bank of India (RBI) slapped a penalty of Rs 30 lakh on private sector lender ICICI Bank and Rs 55 lakh on ING Vysya Bank for violating certain norms related to Know Your Customer (KYC)/ anti-money laundering standards/combating of financing of terrorism /Prevention of Money Laundering Act, 2002.

The violation of norms was observed on account of the failure of these banks to obtain adequate documents for opening accounts, failure to carry out sufficient customer identification procedures, failure to examine control structure of entities.

Earlier, a show-cause notice was served to these banks. The central bank, however, imposed the penalties after studying the banks’ responses, in the form of written replies and oral submissions.