The Reserve Bank of India (RBI) has imposed monetary penalties on Hinduja Housing Finance Limited and Yes Bank Limited for non-compliance with regulatory directions related to governance and Know Your Customer (KYC) norms.
In separate statements, the RBI said it imposed a penalty of 1.80 lakh rupees on Hinduja Housing Finance for failing to obtain prior approval from the central bank before effecting a management change that resulted in over 30 per cent change in directors, excluding independent directors.
The central bank also imposed a penalty of 31.80 lakh rupees on Yes Bank for failing to put in place a system for using the KYC Identifier assigned by the Central KYC Records Registry while establishing account-based relationships with customers.
The RBI said that both penalties were based on supervisory findings during inspections conducted with reference to the entities’ financial position as of March 31, 2025.
The central bank clarified that the actions were based on regulatory compliance deficiencies and did not affect the validity of transactions or agreements entered into by the entities with customers.
