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RBI Imposes Monetary Penalties on Deutsche Bank India and Yes Bank for Regulatory Violations.

Banking & Finance | Dated: 24 May 2025

In May 2025, the Reserve Bank of India (RBI) imposed monetary penalties on Mumbai (Maharashtra)-based Deutsche Bank India, a subsidiary of Frankfurt (Germany)-based Deutsche Bank AG, and Mumbai (Maharashtra)-based Yes Bank Limited, a private sector bank in India, for non-compliance with specific regulatory guidelines under the Banking Regulation Act, 1949.

🎯 Key Highlights:

  • - Deutsche Bank India was fined Rs 50 lakh for failing to report credit information of certain borrowers to the Central Repository of Information on Large Credits (CRILC).
  • - The penalty was imposed under Section 47A(1)(c) read with Section 46(4)(i) of the Banking Regulation Act, 1949.
  • - RBI discovered this non-compliance during the Statutory Inspection for Supervisory Evaluation (SE) related to the bank’s financial position as of 31st March 2024.

💡 Other Important Facts:

  • (i) Yes Bank was penalized Rs 29.60 lakh for incorrect disclosures concerning customer complaints in its Annual Financial Statements (AFS) for the Financial Year 2023-24 (FY24).
  • (ii) The bank failed to comply with RBI directions on ‘Financial Statements Presentation and Disclosures’.
  • (iii) CRILC is maintained by RBI and mandates scheduled commercial banks, cooperative banks, Non-Banking Financial Companies (NBFCs), and All India Financial Institutions (AIFIs) to report loan exposures of Rs 5 crore or above.

📚 Test Your Knowledge:

Which bank was recently fined by RBI for regulatory non-compliance along with Yes Bank?

Correct Answer: Deutsche Bank India

🚀 Quick Recap:

About RBI

  • Governor : Sanjay Malhotra
  • Headquarter : Mumbai