Recorded RBI impact
License cancellation
License cancellation · Fresh imposition
Published by RBI
12 Jul 2022
Case Brief
The Reserve Bank of India cancelled the Certificate of Registration of four NBFCs under Section 45-IA(6) of the RBI Act, 1934. The affected entities are Kanva Shree Credit Private Limited, Williamson Magor & Co. Ltd., Galaxy Capital Finance Limited, and SRS Finance Limited. As a result, they cannot transact the business of a Non-Banking Financial Institution.
Why RBI Acted
The Reserve Bank of India cancelled the Certificate of Registration of four companies under Section 45-IA(6) of the RBI Act, 1934: Kanva Shree Credit Private Limited, Williamson Magor & Co. Ltd., Galaxy Capital Finance Limited, and SRS Finance Limited. The order states that these companies shall not transact the business of a Non-Banking Financial Institution as defined in clause (a) of Section 45-I of the RBI Act, 1934.
Operating Impact
These four companies must stop carrying on NBFC business. Customers and counterparties should not treat them as authorised non-banking financial institutions going forward, and any such activity after cancellation would be unauthorised.
Regulatory Basis
- Section 45-IA (6) of the Reserve Bank of India Act, 1934
- Section 45-I of the RBI Act, 1934
Action Facts
- Primary Impact
- License cancellation
- Order Date
- 29 Jun 2022
- Effective From
- 29 Jun 2022
- Entities Affected
- 4
- Entity Role
- Bulk Member
- Entity Type
- NBFC
Related Entities
Entities similar to Galaxy Capital Finance Limited