Recorded RBI impact
License cancellation
License cancellation · Fresh imposition
Published by RBI
11 Sept 2007
Case Brief
The Reserve Bank of India cancelled the Certificate of Registration of Bhairav Leasing and Finance Private Limited, whose registered office was in New Delhi, on 07 August 2007. The action was taken under Section 45-IA(6) of the RBI Act, 1934. As a result, the company cannot transact the business of a non-banking financial institution.
Why RBI Acted
The Reserve Bank of India cancelled the Certificate of Registration granted to Bhairav Leasing and Finance Private Limited under Section 45-IA(6) of the RBI Act, 1934. After cancellation, the company is no longer permitted to transact the business of a non-banking financial institution as defined under the Act.
Operating Impact
Bhairav Leasing and Finance Private Limited must stop carrying on NBFC/non-banking financial institution business. This removes its ability to operate in that regulated activity and affects counterparties and customers dealing with it in that capacity.
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
- 7 Aug 2007
- Effective From
- 7 Aug 2007
- Entities Affected
- 1
- Entity Role
- Primary
- Entity Type
- NBFC