- This move is taken by the central bank under section 30 (1-B) of the Banking Regulation Act 1949.
- The special audit will be conducted at the cost of the bank under 30 (1-C) of Banking Regulation Act 1949.
- The action of taking an audit is because HDFC bank had an outage in its internet banking, mobile banking and payment utilities in the last 2 years.
- Therefore, the private bank was penalized for the same issues in Nov. 2018 and in Dec 2019.
- Also, in Dec 2020, RBI has asked HDFC Bank to temporarily stop its various initiatives under Digital India 2.0 and stop issuing credit cards to its customers.
- Also to tackle the issues, HDFC Bank submitted an action plan to RBI in Jan 2021. The HDFC Bank plans to improve its IT infrastructure in the next three months.
- Static Part:
- HQ of RBI and HDFC Bank: Mumbai
- Governor of RBI: Shaktikanta Das
- MD and CEO of HDFC Bank: Sashidhar Jagdishan
Question:
Q.1 Recently, RBI appointed an external professional IT firm to conduct an audit of IT infrastructure of which private sector bank?
a. HDFC Bank
b. Yes Bank
c. Axis Bank
d. ICICI Bank
a. HDFC Bank
b. Yes Bank
c. Axis Bank
d. ICICI Bank
