Recorded RBI impact
License cancellation
License cancellation · Fresh imposition
Published by RBI
19 Dec 2005
Case Brief
On October 31, 2005, the Reserve Bank of India cancelled the Certificate of Registration of BAPL Finance and Investment Limited, whose registered office was in Agra, Uttar Pradesh. The order was passed under Section 45-IA(6) of the RBI Act, 1934. RBI stated that the cancellation was made because the company had opted to exit the business of a non-banking financial institution.
Why RBI Acted
The Reserve Bank of India cancelled the Certificate of Registration issued to BAPL Finance and Investment Limited under Section 45-IA(6) of the RBI Act, 1934. The release states that the company had opted to exit from the business of a non-banking financial institution, which was the basis for cancellation.
Operating Impact
BAPL Finance and Investment Limited can no longer carry on non-banking financial institution business after the cancellation. This removes its regulatory authorization to operate as an NBFC, and the action affects the company alone; no direct customer deadline is stated.
Regulatory Basis
- Section 45-IA (6) of the Reserve Bank of India Act, 1934
- clause (a) of Section 45-I of the Reserve Bank of India Act, 1934
Action Facts
- Primary Impact
- License cancellation
- Order Date
- 31 Oct 2005
- Effective From
- 31 Oct 2005
- Entities Affected
- 1
- Entity Role
- Primary
- Entity Type
- NBFC