RBI Penalised Airtel Payments Bank By Rs 5 Crore For Non KYC Compliance

Reserve Bank of India has penalized the Aitel Payments Bank by Rs five crore for violation of extant Know Your Customer guidelines. The fine was imposed after RBI scrutinised the bank’s documents relating to opening of accounts without any specific or clear consent from the customers.

Based on the complaints and adverse media reports alleging that the bank had opened customer accounts without a clear/specific consent of the customers, RBI conducted a supervisory visit to the bank from November 20-22, 2017.

RBI said that 23 lakh customers had reportedly received as many as Rs 47 crores in their Airtel bank accounts, which they did not know had been opened.

RBI supervisory visit report and other relevant documents revealed contravention of ‘Operating Guidelines for Payments Banks’ and the directions issued by RBI on KYC norms.

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