RBI imposes penalty of Rs 5 cr on Bank of Baroda
NEW DELHI: The Reserve Bank of India has imposed a penalty of five crore rupees on Bank of Baroda after it found irregularities in the 6,100-crore rupees scam that was unearthed last year. Various irregularities by bank such as non-submission and inordinate delays in filing of Suspicious Transaction Reports, besides opening of accounts by several entities without fulfilling KYC norms, were noticed by RBI.
Both CBI and the enforcement Directorate are probing huge remittances to Hong Kong from the bank. The amount was allegedly transferred in the garb of payments for imports that never took place, investigators said. Bank of Baroda said it has implemented a comprehensive corrective action plan, to strengthen internal controls and to ensure that such incidents do not recur.
