The Reserve Bank of India has imposed a monetary penalty of.....on State Bank of India for non-compliance of its directions on detection and impounding of counterfeit notes.

BANKING GENERAL KNOWLEDGE

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Question [CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]

The Reserve Bank of India has imposed a monetary penalty of____on State Bank of India for non-compliance of its directions on detection and impounding of counterfeit notes.

A	Rs 40 lakh
B	Rs 20 lakh
C	Rs 30 lakh
D	Rs 10 lakh

Explanation:

Detailed explanation-1: -The Reserve Bank of India (RBI) has, by an order dated November 16, 2021, imposed a monetary penalty of ₹1.00 Crore (Rupees One Crore only) on State Bank of India (the bank) for contravention of sub-section (2) of section 19 of the Banking Regulation Act, 1949 (the Act).

Detailed explanation-2: -Failure of the banks to impound Counterfeit Notes detected at their end will be construed as wilful involvement of the bank concerned in circulating Counterfeit Notes and penalty will be imposed.

Detailed explanation-3: -The report (Annex VI) showing the details of Counterfeit Notes detected in the bank branches during the month shall be compiled and forwarded to the concerned Issue Office of the Reserve Bank of India so as to reach them by 7th of the next month.

Detailed explanation-4: -Press Releases. The Reserve Bank of India (RBI) has, by an order dated June 29, 2022, imposed a monetary penalty of ₹1 crore (Rupees One crore only) on IndusInd Bank Ltd.

There is 1 question to complete.