Srinagar: The Reserve Bank of India (RBI) has imposed a penalty of Rs 3.31 crore on Jammu and Kashmir Bank for lapses in regulatory compliance.
The violations pertain to norms related to financial inclusion, specifically in areas such as access to banking services under the Basic Savings Bank Deposit Account (BSBDA) scheme, Know Your Customer (KYC) requirements, and statutory restrictions on loans and advances.
According to the RBI, the penalty was imposed based on deficiencies observed in the bank’s adherence to statutory and regulatory guidelines.
The central bank clarified that this action is strictly regulatory and does not question the validity of any transactions or agreements made by the bank with its customers. [KNT]
