Allahabad Bank fined Rs 1.5 cr for not monitoring fund use

NEW DELHI: State-owned Allahabad Bank on Friday said the RBI has imposed a penalty of Rs 1.5 crore on the lender for not monitoring end use of funds, among other violations. "We have to inform you that the Reserve Bank of India...has imposed a penalty of Rs 1.5 crore on the bank for not monitoring the end use of funds, delay in classification and reporting of fraud and non-adherence with RBI guidelines during restructuring of accounts in respect of one of its borrowers," the bank said.