The Reserve Bank of India (RBI) has imposed a monetary penalty of ₹58,50,000 on Bank of India for violations related to the collection of ad-hoc service charges and interest payments on certain deposits.
The penalty was issued for collecting ad-hoc service charges, inspection charges, and processing charges in Priority Sector Lending (PSL) accounts up to ₹25,000. Additionally, the bank failed to pay the applicable rate of interest on Term Deposit Receipts (TDRs) from the date of maturity until the date of encashment.
The regulatory authority, the Reserve Bank of India, communicated the order to Bank of India on 27 March 2026. Despite the financial penalty, the bank has stated that the imposed penalty will not have a material impact on its financial operations or other activities.
The action taken by the RBI is in compliance with Regulation 30(4) read with Schedule III, Part A, Para A, Sub-para 20 of the SEBI (Listing Obligation and Disclosure Requirements) Regulations, 2015.
Disclaimer: This article is based on a regulatory filing submitted to the National Stock Exchange of India (NSE).