FINANCE

Bank of China Hit With Nearly $14 Million Fine for Lax Management

Published: Nov. 3, 2025 12:39 p.m. GMT+8

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Bank of China received a hefty fine for imprudent management of businesses. Photo: VCG

Five major Chinese lenders, including Bank of China Ltd. (BOC), have been slapped with hefty fines for a range of operational failings, signaling a sustained regulatory crackdown on imprudent business practices in the country’s financial sector.

The penalties highlight regulators’ focus on risk management shortcomings, a recurring theme in major fines issued this year.

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Five major Chinese banks, including Bank of China, were fined for operational and risk management deficiencies.
Bank of China received the largest fine at 97.9 million yuan ($13.8 million); other banks received penalties ranging from 12.7 to 58.65 million yuan.
Regulators have fined commercial banks 10 times this year for imprudent management, reflecting a sustained regulatory crackdown.

AI generated, for reference only

Who’s Who

Bank of China Ltd.: Bank of China Ltd. (BOC) was fined 97.9 million yuan ($13.8 million) by the National Financial Regulatory Administration. This was the largest fine among five major Chinese lenders penalized. The deficiencies included corporate governance, lending, and interbank activities. BOC stated the penalties resulted from a 2023 onsite inspection, and they have addressed the issues and held relevant staff accountable.

Agricultural Bank of China Ltd.: Agricultural Bank of China Ltd. received a 27.2 million yuan penalty from the National Financial Regulatory Administration. The fine was issued due to non-compliant product sales and service fees, along with lax management of credit fund flows. This highlights regulators' focus on risk management shortcomings within China's financial sector.

China Minsheng Banking Corp. Ltd.: China Minsheng Banking Corp. Ltd. was fined 58.65 million yuan by the National Financial Regulatory Administration. The penalty was for imprudent management across its lending, bills, and interbank businesses, and for submitting non-compliant regulatory data. This fine is part of a broader regulatory crackdown on operational failings in China's financial sector.

Ping An Bank Co. Ltd.: Ping An Bank Co. Ltd. was fined 18.8 million yuan. The penalty was for imprudent management related to its online lending and consignment sales businesses. This action aligns with a broader regulatory crackdown on imprudent business practices in China's financial sector.

Shanghai Pudong Development Bank Co. Ltd.: Shanghai Pudong Development Bank Co. Ltd. (SPD Bank) was fined 12.7 million yuan. This penalty was issued due to "imprudent management" concerning its online lending and consignment sales businesses. The fine is part of a broader regulatory crackdown on operational failings within China's financial sector.

AI generated, for reference only