Recorded RBI impact
License cancellation
License cancellation · Fresh imposition
Published by RBI
8 Jun 2006
Case Brief
The Reserve Bank of India cancelled the Certificate of Registration of ERA Financial Services (India) Limited, New Delhi on June 5, 2006. The action was taken under Section 45-IA(6) of the RBI Act, 1934. RBI stated that the company had opted to exit the business of a non-banking financial institution. As a result, the company can no longer transact the business of a non-banking financial institution.
Why RBI Acted
The Reserve Bank of India cancelled the Certificate of Registration granted to ERA Financial Services (India) Limited, New Delhi under Section 45-IA(6) of the RBI Act, 1934. The stated reason was that the company had opted to exit from the business of a non-banking financial institution.
Operating Impact
ERA Financial Services (India) Limited is no longer permitted to conduct non-banking financial institution business. This removes its ability to operate as an NBFC, and any such business activity must cease going forward.
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 2006
- Effective From
- 5 Jun 2006
- Entities Affected
- 1
- Entity Role
- Primary
- Entity Type
- NBFC