Mumbai: The Reserve Bank has imposed a penalty of Rs 58.9 crore on the country's leading private sector lender ICICI Bank for violating central bank's directions pertaining to direct sale of securities.

"The Reserve Bank of India (RBI) has imposed through an order dated March 26, 2018, a monetary penalty of Rs 589 million on ICICI Bank Limited for non-compliance with directions issued on direct sale of securities from its HTM (held-to-maturity) portfolio and specified disclosure in this regard," the central bank said in a notification issued today.

It said the penalty was imposed in exercise of powers vested in RBI under the Banking Regulation Act, 1949 after taking into account failure of the bank to adhere to the directions issued by central banker.

This action, RBI added, was based on the deficiencies in regulatory compliance.

It (fine) is not intended to pronounce upon the validity of any transaction or agreement entered into by the bank with its customers, RBI said.  PTI