Bank of Baroda shares fell 3% on 11 October after the RBI (Reserve Bank of India) ordered the bank not to sign up new customers using its mobile application BoB World.

The central bank said, “Bank of Baroda to suspend, with immediate effect, any further onboarding of their customers onto the ‘bob World’ mobile application. This action is based on certain material supervisory concerns observed in the manner of onboarding of their customers onto this mobile application.”

The bank has also released a clarification that states that it has already carried out corrective measures to address the concerns raised by the RBI and is working towards plugging any remaining gaps.

The statement said, “While the Bank has already carried out corrective measures to address the concerns of the RBI, we have initiated further steps to plug any remaining gaps identified and we will work closely with the RBI to address their concerns at the earliest to their satisfaction.”

Reserve Bank of India has further stated that onboarding of any customers on the platform will be subjected to rectification. However, the customers who have already been onboarded will not face any disruption.

RBI said, “The bank has been further directed to ensure that already onboarded ‘bob World’ customers do not face any disruption on account of this suspension.”

Moreover, the Board of Directors of the bank are set to meet today to consider and approve the raising of funds as much as Rs 10,000 crore by the issue of long-term bonds for financing infrastructure and affordable housing.

At 11:22 am, Bank of Baroda shares were trading at Rs 208.20 or 2.85% below its previous close on NSE.