Recently, the China Banking and Insurance Regulatory Commission (CBIRC) investigated a total of 33 violations of laws and regulations by the head office, branches and subsidiaries of China CITIC Bank Co., Ltd. (hereinafter referred to as "China CITIC Bank"), and made administrative punishment decisions in accordance with the law. The amount of this penalty is as high as 22.4 billion yuan, setting a new high in recent years for banking regulatory fines. So, what exactly did China CITIC Bank violate, and why was it punished so severely?
According to the penalty information released by the China Banking and Insurance Regulatory Commission, the violations of laws and regulations involved in China CITIC Bank include: failure to report related party transactions to the regulatory authorities as required;Providing third-party repurchases for shadow banks and trusts in violation of regulationsFailure to review the compliance and reasonableness of related party transactions as required;Providing third-party buybacks for interbank investments in violation of regulations;Failure to review the qualifications of interbank investment counterparties in accordance with regulations. These acts seriously violated the Banking Supervision Law of the People's Republic of China, the Commercial Bank Law of the People's Republic of China and other laws and regulations, and had a negative impact on the stability and healthy development of China's financial market.
For these violations of laws and regulations, the China Banking and Insurance Regulatory Commission (CBIRC) has imposed severe penalties on the head office, branches and subsidiaries of China CITIC Bank in accordance with the law. Among them, the head office of China CITIC Bank was fined 5.6 million yuan, and the branch was fined 1575920,000 yuan, and a fine of 7 million yuan was imposed on the affiliate. In addition, administrative penalties were also imposed on the relevant responsible personnel of China CITIC Bank, and punishments such as warnings and fines were imposed.
For CITIC Bank was fined more than 2The 2.4 billion yuan incident, industry experts said, this is a strong crackdown on violations of laws and regulations by the banking regulatory authorities, and it is also a warning to other banks. The China Banking and Insurance Regulatory Commission (CBIRC) will continue to strengthen its supervision and control over the banking industry, crack down on all kinds of violations of laws and regulations, and maintain the stability and healthy development of the financial market.
As a large commercial bank, China CITIC Bank has a high reputation and market share in the industry. However, this time he was fined more than 2The 2.4 billion yuan incident also exposed the problems and loopholes in the bank's operation and management. China CITIC Bank needs to deeply reflect on its own business model and management system, strengthen internal management and risk control, and effectively improve compliance awareness and risk management.
At the same time, it also reminds other banks to strengthen the supervision and management of related party transactions and interbank investments, and strictly abide by relevant laws, regulations and regulatory requirements. Banks should pay attention to compliance operations, improve internal control mechanisms, guard against various risks and hidden dangers, and ensure the stability and healthy development of the financial market.
In short, China CITIC Bank was fined more than 2The 2.4 billion yuan incident is a powerful blow to the banking industry's violations of laws and regulations, and it is also a warning to other banks. The China Banking and Insurance Regulatory Commission (CBIRC) will continue to strengthen its supervision and control over the banking industry, promote the healthy development of the banking industry, and make positive contributions to the stability and development of China's financial market. China CITIC Bank responded by being fined more than 200 million yuan