Bajaj Finance faces penalty for violating 'fair practices code'

The Reserve Bank of India (RBI) Monday said it has imposed a penalty of Rs 1 crore on Bajaj Finance Ltd, a non-banking financial company (NBFC), for violating "fair practices code". This action is based on deficiencies in regulatory compliance and is not intended to pronounce upon the validity of any transaction or agreement entered into by the NBFC with its customers, the RBI added. Bajaj Finance is into businesses such as consumer finance, SME finance and commercial lending.

(With inputs from agencies.)