The Reserve Bank of India (RBI) has imposed a ₹75 lakh penalty on ICICI Bank for non-compliance with certain regulatory directions pertaining to ‘Valuation of Properties – Empanelment of Valuers’ and ‘Opening of Current Accounts by Banks – Need for discipline’.
The central bank, in a statement, said it found that the charges against the lender – that it did not carry out valuation of properties by independent valuers in certain mortgage loans; and opened or maintained certain current accounts in contravention of extant regulatory requirements — were sustained, warranting imposition of a monetary penalty.
The RBI said it has conducted Statutory Inspection for Supervisory Evaluation (ISE 2024) of the private sector bank with reference to its financial position as on March 31, 2024.
According to the central bank, based on supervisory findings of non-compliance with RBI directions and related correspondence, in that regard, a notice was issued to the bank advising it to show cause as to why penalty should not be imposed on it for its failure to comply with the said directions.
After considering the bank’s reply to the notice, additional submissions made by it and oral submissions made during the personal hearing, RBI found that the aforementioned charges against the bank were sustained, warranting imposition of monetary penalty, per the statement.
RBI said its action is based on deficiencies in regulatory compliance and is not intended to pronounce upon the validity of any transaction or agreement entered into by the bank with its customers.
Further, imposition of monetary penalty is without prejudice to any other action that may be initiated by RBI against the bank.
Published on August 8, 2025
