MUMBAI: The RBI on Friday imposed a penalty of Rs 2.5 crore on L&T Finance for non-compliance with certain norms concerning NBFCs.
After examination of reports following statutory inspection of the company, RBI said that the NBFC did not disclose to its retail borrowers the gradation of risk and rationale for charging different interest rates to different categories of borrowers in the loan application form.
It also failed to notify the change in penal interest rate to borrowers, when the rate charged was higher than what was communicated at the time of sanction, RBI said.
