Recorded RBI impact
License cancellation
License cancellation · Fresh imposition
Published by RBI
22 Jan 2014
Case Brief
The Reserve Bank of India cancelled the Certificate of Registration of M/s Bankebehari Trading & Investments Ltd. with effect from September 30, 2013, under Section 45-IA(6) of the RBI Act, 1934. The company, based in Kolkata, is therefore prohibited from transacting the business of a non-banking financial institution. This is a licensing cancellation rather than a monetary penalty or operational restriction.
Why RBI Acted
The Reserve Bank of India cancelled the Certificate of Registration (CoR) No. 05.01629 dated April 20, 1998, issued to M/s Bankebehari Trading & Investments Ltd., under Section 45-IA(6) of the Reserve Bank of India Act, 1934. The release states that following cancellation of the registration certificate, the company cannot transact the business of a non-banking financial institution.
Operating Impact
The company must stop undertaking NBFC business from the cancellation date. Customers and counterparties can no longer treat it as an authorised NBFC for new non-banking financial transactions, and the firm loses its registration status under RBI supervision.
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
- 30 Sept 2013
- Effective From
- 30 Sept 2013
- Entities Affected
- 1
- Entity Role
- Primary
- Entity Type
- NBFC