Recorded RBI impact
License cancellation
License cancellation · Fresh imposition
Published by RBI
16 Oct 2024
Case Brief
The Reserve Bank of India, exercising powers under Section 45-IA(6) of the RBI Act, 1934, cancelled the Certificates of Registration of Heewan Finance Limited and High Growth Credit Services Limited. The order means both companies can no longer transact the business of a Non-Banking Financial Institution under the Act.
Why RBI Acted
The Reserve Bank of India cancelled the Certificate of Registration of Heewan Finance Limited and High Growth Credit Services Limited under Section 45-IA(6) of the RBI Act, 1934. The release states that, as a result, these companies shall not transact the business of a Non-Banking Financial Institution as defined in the RBI Act.
Operating Impact
Both entities must stop NBFC operations with immediate effect from the respective cancellation orders dated September 11, 2024 and September 13, 2024. Customers and counterparties should not expect the companies to continue regulated NBFC activity.
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
- Effective From
- 11 Sept 2024
- Entities Affected
- 2
- Entity Role
- Primary
- Entity Type
- NBFC
Related Entities
Entities similar to Heewan Finance Limited