Recorded RBI impact
License cancellation
License cancellation · Fresh imposition
Published by RBI
15 Feb 2008
Case Brief
On January 29, 2008, the Reserve Bank of India cancelled the Certificate of Registration granted to H.N. Trade International Limited, whose registered office was in Kanpur, Uttar Pradesh. The cancellation was issued under Section 45-IA(6) of the RBI Act, 1934. As a result, the company is no longer permitted to transact the business of a non-banking financial institution.
Why RBI Acted
The Reserve Bank of India cancelled the certificate of registration granted to H.N. Trade International Limited under Section 45-IA(6) of the RBI Act, 1934. The release states that the company had been registered to carry on the business of a non-banking financial institution, and that following cancellation it cannot transact that business.
Operating Impact
H.N. Trade International Limited must stop carrying on NBFC business. Customers and counterparties should no longer treat it as an RBI-registered non-banking financial institution, and any future NBFC activity by the company is prohibited unless separately authorised.
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
- 29 Jan 2008
- Effective From
- 29 Jan 2008
- Entities Affected
- 1
- Entity Role
- Primary
- Entity Type
- NBFC