Karnataka Bank Seeks Reversal of Suspicious UPI Transaction

Karnataka Bank has requested the Reserve Bank of India to reverse a suspicious cross-border UPI transaction of Rs 18.87 crore. The bank identified deficiencies in the reconciliation process but assured no impact on operations or customer service and has strengthened controls to prevent future occurrences.

Karnataka Bank has formally requested the Reserve Bank of India to reverse a suspicious UPI transaction worth Rs 18.87 crore. The private lender discovered discrepancies during a review of its cross-border UPI transactions.

Despite identifying flaws in the reconciliation process, the bank assures that its operations remain unaffected. It emphasized that customer service continues without disruption, underlining the bank's commitment to transparency and accountability.

The bank has also implemented stricter controls to prevent similar issues in the future and is actively pursuing the recovery of the involved amount. Additional measures have been instituted to enhance transactional security and integrity.