Thursday, October 11, 2012

ICICI, ING Vysya Bank fined by RBI on KYC lapses




RBI had issued show cause notices to both the banks and imposed the penalties after considering the written and oral responses by them. Photo: Ramesh Pathania/Mint

ING Vysya has been fined Rs 55 lakh and ICICI Rs 30 lakh

 Live Mint : Joel Rebello :Oct 09 2012. 08 28 PM IST


 The Reserve Bank of India (RBI) on Tuesday said it has penalised private sector ICICI Bank Ltd and ING Vysya Bank Ltd for failure to follow the central bank’s norms on the know your customer (KYC) procedure, anti-money laundering standards and combating financing of terrorism.
ING Vysya has been fined Rs 55 lakh and ICICI Rs 30 lakh, RBI said on its website.
The levies were for “failure to obtain adequate documents for opening accounts, failure to carry out sufficient customer identification procedures, failure to examine control structure of entities, failure to ascertain the identification of natural persons behind entities, failure to carry out effective enhanced due diligence, failure to carry out appropriate risk categorisation and delay in filing the suspicious transaction reports,” RBI said.
RBI had issued show cause notices to these banks and imposed the penalties after considering the written and oral responses by the banks. The ICICI spokesperson could not be reached for comment. The ING spokesperson said he had not seen the directive

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