Recorded RBI impact
Fine: Rs 3.10 L
Monetary penalty · Fresh imposition
Published by RBI
5 Dec 2025
Case Brief
By an order dated December 02, 2025, RBI imposed a monetary penalty of ₹3.10 lakh on Keertana Finserv Limited (formerly Keertana Finserv Private Limited). The penalty was imposed after RBI’s statutory inspection found non-compliance with RBI directions on governance issues: the company failed to obtain prior written permission before appointing a director, resulting in a change in management because more than 30% of its directors, excluding independent directors, changed. RBI stated that the action was taken under Section 58G(1)(b) read with Section 58B(5)(aa) of the RBI Act, 1934 and was based on supervisory findings and the company’s response to a show-cause notice and personal hearing.
Why RBI Acted
RBI imposed a monetary penalty under Section 58G(1)(b) read with Section 58B(5)(aa) of the RBI Act, 1934 after a statutory inspection with reference to the company’s financial position as on March 31, 2024. RBI found that Keertana Finserv Limited had not complied with certain RBI directions on governance issues, specifically by failing to seek prior written permission before appointing a director, which led to a change in management due to a change in more than 30% of its directors excluding independent directors.
Operating Impact
The company must absorb the monetary penalty, and the order serves as a formal regulatory finding of governance non-compliance. RBI also noted that the penalty is without prejudice to any other action that may be initiated in the future.
Regulatory Basis
- Section 58G(1)(b) read with Section 58B(5)(aa) of the Reserve Bank of India Act, 1934
Action Facts
- Primary Impact
- Fine: Rs 3.10 L
- Order Date
- 2 Dec 2025
- Effective From
- 2 Dec 2025
- Entities Affected
- 1
- Entity Role
- Primary
- Entity Type
- NBFC