RBI imposes Rs 26 lakh penalty on TransUnion Cibil

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The RBI also imposed a monetary penalty of Rs 24.75 lakh on Experian Credit Information Company of India Pvt Ltd for non-compliance with certain provisions of the RBI rules.

Reserve Bank of India, TransUnion Cibil, TransUnion Cibil Rs 26 lakh penalty, RBI, indian express, indian express news“This action is based on the deficiencies in regulatory compliance and is not intended to pronounce upon the validity of any transaction or agreement entered into by the company,” the RBI said. (express photo)

The Reserve Bank of India (RBI) has imposed a monetary penalty of Rs 26 lakh on TransUnion CIBIL Ltd for non-compliance with certain provisions of the act and rules governing credit information companies.

The statutory inspection of the company was conducted by the RBI with reference to its financial position as on March 31, 2021 and examination of the inspection report, supervisory letter and all related correspondence pertaining to the same revealed that certain data relating to the credit information maintained by the company was not accurate and complete, the RBI said.

“On receipt of complaints from some borrowers, the company had neither updated the credit information relating to them nor informed them regarding the steps taken by it for correction of discrepancies and also the reasons for its inability to comply with the timeframe for providing correct information, within 30 days of receipt of such complaints,” the central bank said.

Consequently, a notice was issued to the company advising it to show cause as to why penalty should not be imposed for its failure to comply with the provisions of the CIC (R) Act read with CIC Rules, as stated therein, the RBI said.

After considering the company’s reply to the notice, additional submissions made by it and oral submissions made during the personal hearing, the RBI came to the conclusion that the charge of non-compliance with the provisions of CIC (R) Act and the CIC Rules were substantiated and warranted imposition of monetary penalty on the company, it said.

“This action is based on the deficiencies in regulatory compliance and is not intended to pronounce upon the validity of any transaction or agreement entered into by the company,” the RBI said.

Meanwhile, the RBI also imposed a monetary penalty of Rs 24.75 lakh on Experian Credit Information Company of India Pvt Ltd for non-compliance with certain provisions of the RBI rules. “The statutory inspection of the company revealed that certain data relating to the credit information maintained by the company was not accurate and complete.

© The Indian Express (P) Ltd

First published on: 27-06-2023 at 05:10 IST



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