Recorded RBI impact
License cancellation
License cancellation · Fresh imposition
Published by RBI
17 Feb 2006
Case Brief
The Reserve Bank of India cancelled the Certificate of Registration of M/s Atul Finvest Limited, whose registered office is in Kolkata, under Section 45-IA(6) of the RBI Act, 1934. The release says the cancellation was because the company had opted to exit the business of a non-banking financial institution. Following the cancellation, the company cannot transact NBFC business.
Why RBI Acted
The Reserve Bank of India cancelled the certificate of registration granted to M/s Atul Finvest Limited 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 as a result it can no longer transact NBFC business.
Operating Impact
M/s Atul Finvest Limited can no longer carry on non-banking financial institution business. The restriction is permanent unless a fresh regulatory permission is later obtained; customers and counterparties should no longer treat it as an active NBFC for new business.
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
- 27 Jan 2006
- Effective From
- 27 Jan 2006
- Entities Affected
- 1
- Entity Role
- Primary
- Entity Type
- NBFC