The Reserve Bank of India (RBI) has imposed a monetary penalty of one crore rupees on State Bank of Travancore, an SBI associate bank for violation of some of its instructions.
The monetary penalty has been imposed for violation of its instructions including reporting of data to Central Repository of Information on Large Credits(CRILC).
Prior to imposing the penalty, RBI had issued a show cause notice to the bank for not having complied with the directions issued by the bank on submission of accurate data to the CRILC.
Finally RBI came to the conclusion that the bank had violated the instructions or guidelines issued from time to time after considering the bank’s reply and information submitted and documents furnished.
ABOUT CRILIC
stands for Central Repository of Information on Large Credits.
RBI set up CRILC to collect, store, and disseminate data on all borrowers’ credit exposures.
Banks are required to report all such information here, including classification of an account as SMA (Special Mention Accounts), on all borrowers having aggregate fund-based and non-fund-based exposure of Rs 5 crore and above.