Recorded RBI impact
License cancellation
License cancellation · Fresh imposition
Published by RBI
7 Feb 2014
Case Brief
The Reserve Bank of India cancelled the Certificate of Registration No. B.02.00214 issued to M/s Equity Financial Services Private Limited, with effect from January 23, 2014. The action was taken under Section 45-IA(6) of the RBI Act, 1934. As a consequence, the company cannot transact the business of a non-banking financial institution.
Why RBI Acted
The Reserve Bank of India cancelled CoR No. B.02.00214 issued to M/s Equity Financial Services Private Limited on January 23, 2014. The cancellation was exercised under Section 45-IA(6) of the Reserve Bank of India Act, 1934. Following the cancellation, the company is no longer permitted to carry on the business of a non-banking financial institution.
Operating Impact
The company must cease NBFC business activities and cannot operate as a registered non-banking financial institution going forward. This directly affects the company and any customers or counterparties relying on its NBFC operations.
Regulatory Basis
- Section 45-IA (6) of the Reserve Bank of India Act, 1934
- clause (a) of Section 45-I of the Reserve Bank of India Act, 1934
Action Facts
- Primary Impact
- License cancellation
- Order Date
- 23 Jan 2014
- Effective From
- 23 Jan 2014
- Entities Affected
- 1
- Entity Role
- Primary
- Entity Type
- NBFC