Mumbai: The Reserve Bank of India (RBI) has slapped a penalty of Rs 5 crore on Airtel Payments Bank for violating operating guidelines and Know Your Customer (KYC) norms.

The penalty has been levied based on complaints and reports alleging that the bank had opened accounts without a clear or specific consent of customers. The RBI had subsequently undertaken a supervisory visit to the bank between November 20 and 22, 2017.

In a statement issued on Friday, the RBI said that on March 7 it had imposed a monetary penalty of Rs 50 million on Airtel Payments Bank for contravening the "Operating Guidelines for Payments Banks" and directions issued on KYC norms.

According to reports, more than 23 lakh customers had received as much as Rs 47 crore by way of cooking gas subsidy in their Airtel Payments Bank accounts, which they did not know had been opened.

The supervisory visit report and other relevant documents revealed contravention of operating guidelines for payments banks and the directions issued by the RBI on KYC norms, the central bank said.

Subsequently, the RBI had issued a show-cause notice to the bank on January 15 saying why penalty should not be imposed for non-compliance with guidelines and directions issued by the central bank.

"After considering the bank's reply and oral submissions made in the personal hearing, the RBI came to the conclusion that the aforesaid charges of non-compliance with RBI guidelines/directions were substantiated and warranted the imposition of monetary penalty," the RBI statement said.

Airtel Payments Bank had commenced operations in January last year.

Cash chase

Telecom major Bharti Airtel plans to raise up to Rs 3,000 crore through non-convertible debentures for refinancing debt and meeting spectrum liabilities.

A meeting of the committee of directors is "scheduled on Tuesday, March 13, 2018 to inter-alia consider and... issue listed, unsecured, rated, redeemable, non-convertible debentures on private placement basis aggregating up to Rs 3,000 crore", the company said in a BSE filing on Friday.

Besides, the board will meet on Monday to consider other fund-raising opportunities for the company.