Archive for July 25th, 2009

ICICI Bank accused of violating RBI guidelines

ICICI Bank accused of violating RBI guidelines

ICICI Bank was twice issued letter of warning or advisory note in last two years for violating Reserve Bank of India guidelines, Lok Sabha was informed on Friday.

In 2007-08, ICICI Bank was accused for violating RBI guidelines/directives relating to opening of deposit accounts, which led to a fictitious accounts being opened by fraudsters at the bank’s Patna branch.

The bank was issued ‘Advisory Note’ in December 2007 and a Letter of Warning in April 2008 for its irregular dealings in securities in Hong Kong, Finance Minister Pranab Mukherjee said in a written reply.

Besides ICICI Bank, some other banks including Bank of Baroda, Dena Bank, HSBC Bank and Centurion Bank of Punjab Ltd were issued letters of displeasure by the RBI for violating FEMA guidelines or with regard to opening of deposit accounts, the minister said.