Case Brief
What Happened
The Reserve Bank of India imposed a monetary penalty of ₹20 lakh on Mulamoottil Financiers Limited, Kozhencherry, Pathanamthitta District, Kerala. The penalty was imposed after statutory inspection and scrutiny found non-compliance with RBI directions relating to classification of non-performing assets and raising money through private placement by NBFCs-debentures. RBI said the company’s reply, oral submissions, and additional submissions were considered, but the charge of non-compliance was substantiated.