Recorded RBI impact
License cancellation
License cancellation · Fresh imposition
Published by RBI
10 May 2006
Case Brief
The Reserve Bank of India cancelled the Certificate of Registration of Kirti International Finance Limited, Ahmedabad, on April 25, 2006. The cancellation was made under Section 45-IA(6) of the RBI Act, 1934, after the company opted to exit the business of a non-banking financial institution. As a result, the company can no longer transact NBFC business.
Why RBI Acted
On April 25, 2006, RBI cancelled the Certificate of Registration granted to Kirti International Finance Limited, Ahmedabad, under Section 45-IA(6) of the RBI Act, 1934. The release states that the company had opted to exit from the business of a non-banking financial institution, and therefore RBI cancelled its registration certificate.
Operating Impact
Kirti International Finance Limited is no longer permitted to conduct the business of a non-banking financial institution. The action affects the company alone and has the forward-looking consequence of ending its regulated NBFC operations.
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
- 25 Apr 2006
- Effective From
- 25 Apr 2006
- Entities Affected
- 1
- Entity Role
- Primary
- Entity Type
- NBFC