The Reserve Bank of India (RBI), on September 25, 2023, announced that it imposed penalties on three major banks in the country, including the State Bank Of India, Indian Bank, and Punjab & Sind Bank.

• The penalties are imposed for regulatory violations, signalling its commitment to upholding banking standards and protecting consumers.
• The nation's largest lender SBI has been penalised with a fine of Rs 1.30 crore for non-compliance with specific directions on 'Loans and Advances – Statutory and Other Restrictions' and 'Guidelines on Management of Intra-Group Transactions and Exposures'.
• RBI noted that this 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. 
• RBI's statutory examination in 2021 revealed several lapses by SBI.