Recorded RBI impact
License cancellation
License cancellation · Fresh imposition
Published by RBI
24 Jun 2008
Case Brief
On June 05, 2008, the Reserve Bank of India cancelled the Certificate of Registration of CEE BEE Investments Private Limited, whose registered office was in Bangalore. The cancellation was issued under Section 45-IA(6) of the RBI Act, 1934, because the company had opted to exit the business of a non-banking financial institution. Following the cancellation, the company cannot transact NBFC business.
Why RBI Acted
The Reserve Bank of India cancelled the Certificate of Registration granted to CEE BEE Investments Private Limited under Section 45-IA(6) of the RBI Act, 1934. The stated reason is that the company opted to exit from the business of a non-banking financial institution. As a result, it is no longer permitted to carry on NBFC business.
Operating Impact
CEE BEE Investments Private Limited is barred from carrying on non-banking financial institution business going forward. The restriction directly affects the company and its ability to operate as an NBFC; no monetary penalty was imposed.
Regulatory Basis
- Section 45-IA (6) of the Reserve Bank of India Act, 1934
- Section 45-I of the Reserve Bank of India Act, 1934
Action Facts
- Primary Impact
- License cancellation
- Order Date
- 5 Jun 2008
- Effective From
- 5 Jun 2008
- Entities Affected
- 1
- Entity Role
- Primary
- Entity Type
- NBFC