Recorded RBI impact
License cancellation
License cancellation · Fresh imposition
Published by RBI
21 Dec 2015
Case Brief
The Reserve Bank of India cancelled the Certificate of Registration of three NBFCs under Section 45-IA(6) of the RBI Act, 1934: M/s. Malpani Holdings Private Ltd., M/s. Sachsons Leasing and Finance Private Limited, and M/s. Tej Gaurav Finance Limited. The release lists their registered office addresses and cancellation dates, and states that after cancellation they cannot transact the business of a non-banking financial institution under Section 45-I(a) of the RBI Act.
Why RBI Acted
The Reserve Bank of India cancelled the Certificate of Registration of three non-banking financial companies in exercise of powers under Section 45-IA(6) of the Reserve Bank of India Act, 1934. The release states that, following cancellation, these companies cannot carry on the business of a non-banking financial institution as defined under Section 45-I(a) of the RBI Act, 1934.
Operating Impact
All three companies are prohibited from carrying on NBFC business going forward. This affects the firms directly and any customers/counterparties relying on their 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
- 21 Oct 2015
- Effective From
- 21 Oct 2015
- Entities Affected
- 3
- Entity Role
- Primary
- Entity Type
- NBFC
Related Entities
Entities similar to M/s. Malpani Holdings Private Ltd