RBI imposes ₹11.50 lakh penalty on M&M Financial Services

RBI imposed a penalty of ₹11.50 lakh on Mahindra & Mahindra Financial Services Limited. The penalty has been imposed for non-compliance with certain directions issued by RBI on "Fair Practices Code" and "Internal Ombudsman for Regulated Entities". The company levied revised foreclosure charges on certain accounts of borrowers without incorporating a suitable condition in their loan agreements.