Archive · 26 Sep 2025
RBI Fines Muthoot FinCorp ₹2.7 Lakh Over Compliance Issues
The Reserve Bank of India (RBI), the central bank of India, has fined Muthoot FinCorp ₹2.70 lakh.
This is because Muthoot FinCorp did not follow rules about handling customer complaints related to an Internal Ombudsman.
An Internal Ombudsman helps solve disputes.
Specifically, the company didn't have a way to send complaints to the Ombudsman if the company's own system didn't resolve them.
The RBI found this during a financial check.
The fine is for not following rules, not because of anything wrong with the company's deals with customers.
RBI fined Muthoot FinCorp ₹2.70 lakh.
The penalty is for not following regulations about the Internal Ombudsman.
The issue was discovered during a financial inspection.
Muthoot FinCorp lacked a system to automatically escalate unresolved complaints.
The fine doesn't relate to any transactions.
- Who
- Reserve Bank of India (RBI) and Muthoot FinCorp Limited
- What
- RBI imposed a penalty on Muthoot FinCorp for non-compliance.
- When
- The statement was released on Friday.
- Where
- India
- Why
- Muthoot FinCorp did not establish a system to escalate complaints to the Internal Ombudsman.
Muthoot FinCorp
RBI
Compliance
Muthoot FinCorp
Muthoot FinCorp was found to be non-compliant with certain RBI directions.
RBI
The RBI determined Muthoot FinCorp did not adhere to guidelines regarding the Internal Ombudsman.
- Organization
- Muthoot FinCorp Limited
- Penalty Amount
- ₹2.70 lakh
- Issuing Authority
- Reserve Bank of India (RBI)
- Reason for Penalty
- Non-compliance with Internal Ombudsman directions
- Inspection Date
- March 31, 2024
