Recorded RBI impact
License cancellation
License cancellation · Fresh imposition
Published by RBI
8 Apr 2008
Case Brief
On March 17, 2008, the Reserve Bank of India cancelled the Certificate of Registration granted to M/s. Malav Holdings Pvt. Ltd., whose registered office was at 55, Hanuman Road, Connaught Place, New Delhi. The action was taken under Section 45-IA(6) of the RBI Act, 1934, in relation to the company’s business as a non-banking financial institution. As a result, the company cannot transact the business of a non-banking financial institution.
Why RBI Acted
The Reserve Bank of India cancelled the Certificate of Registration granted to M/s. Malav Holdings Pvt. Ltd. under Section 45-IA(6) of the RBI Act, 1934. The cancellation was for carrying on the business of a non-banking financial institution; after cancellation, the company cannot transact that business.
Operating Impact
M/s. Malav Holdings Pvt. Ltd. must stop transacting non-banking financial institution business. The cancellation removes its authorisation to operate as an NBFC, affecting its ability to conduct lending/financial business and any related counterparties or customers.
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
- 17 Mar 2008
- Effective From
- 17 Mar 2008
- Entities Affected
- 1
- Entity Role
- Primary
- Entity Type
- NBFC