Recorded RBI impact
License cancellation
License cancellation · Fresh imposition
Published by RBI
4 May 2002
Case Brief
The Reserve Bank of India, exercising powers under Section 45-IA of the RBI Act, 1934, cancelled the certificate of registration of Cobol Management Pvt. Limited, whose registered office is in Kolkata. The cancellation removes the company’s authority to carry on the business of a non-banking financial institution under the Act.
Why RBI Acted
The Reserve Bank of India cancelled the certificate of registration granted to Cobol Management Pvt. Limited under Section 45-IA of the RBI Act, 1934. The company had been authorised to carry on the business of a non-banking financial institution, and after cancellation it can no longer transact that business as defined under Section 45 I(a).
Operating Impact
Cobol Management Pvt. Limited is prohibited from carrying on non-banking financial institution business going forward. Customers and counterparties should not treat it as an authorised NBFC for regulated business activities.
Regulatory Basis
- Section 45 IA 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
- 9 Apr 2002
- Effective From
- 9 Apr 2002
- Entities Affected
- 1
- Entity Role
- Primary
- Entity Type
- NBFC