The Reserve Bank of India (RBI) has imposed a penalty of Rs 1 crore on Bandhan Bank for not bringing down the promoter shareholding to 40 per cent. RBI imposed the penalty on account of failure to pare the shareholding of Bandhan Financial Holding to 40 percent of its paid-up voting capital, within three years from commencement of the business of the bank.
The bank had recently merged with Gruh Finance, which brought down the shareholding of the promoter from 82.26 per cent to 60.96 per cent.
Bandhan Bank is an Indian banking and financial services company headquartered in Kolkata, West Bengal. Bandhan, which started as a micro-finance company in 2001, received banking licence by Reserve Bank of India in 2014.