RBI imposes Rs 25 lakh fine on Axis Bank for flouting KYC norms

The Reserve Bank of India (RBI) has imposed a monetary penalty of Rs 25 lakh on private lender Axis Bank for non-compliance. The penalty was announced by the central bank on September 1.

RBI had carried out scrutiny during February 2020 and March 2020 in a customer account maintained with the bank, where it was observed that the bank failed to comply with the KYC norms. As a result, the banking regulator issued the notice that Axis Bank did not comply with RBI – KYC Direction, 2016.The RBI said the fine was imposed for non-compliance with certain provisions of directions issue by it in Reserve Bank of India — KYC Direction, 2016.