RBI Imposes Rs 2.70 Lakh Penalty on Manappuram Finance for KMP Pay Non-Compliance

The Reserve Bank of India (RBI) has imposed a monetary penalty of Rs 2.70 lakh on Manappuram Finance for non-compliance with its guidelines on key managerial personnel compensation. The company paid the entire variable pay upfront to certain KMPs without deferring a portion, violating RBI directions. After reviewing the company's written and oral responses, RBI confirmed the breach. The penalty does not affect the validity of any transactions and does not preclude further regulatory actions.