Markets

Banks face punishment for illegal tactics

(Agencies)
Updated: 2010-09-17 16:54

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Chinese banks attracting deposits via illegal means will be punished by the country's banking regulator, Reuters reported Friday.

The China Banking Regulatory Commission (CBRC) said that some banks have been trying to expand their deposit pool by unlawfully raising deposit rates, or bribing clients with cash or other incentives.

The CBRC said it would punish banks for these actions, and welcomes tip-offs.

China's one-year deposit rate is set at 2.25 percent.