Recorded RBI impact
License cancellation
License cancellation · Fresh imposition
Published by RBI
26 Oct 2007
Case Brief
On October 8, 2007, the Reserve Bank of India cancelled the Certificate of Registration granted to M/s Peeti Securities Limited, which had its registered office in Secunderabad. The cancellation was made under Section 45-IA(6) of the RBI Act, 1934, after the company opted to exit the business of a non-banking financial institution. As a result, the company can no longer transact NBFC business.
Why RBI Acted
The Reserve Bank of India cancelled the Certificate of Registration granted to M/s Peeti Securities Limited under Section 45-IA(6) of the RBI Act, 1934. The release states that the company opted to exit from the business of a non-banking financial institution, and therefore its registration was cancelled.
Operating Impact
M/s Peeti Securities Limited is prohibited from carrying on non-banking financial institution business after the cancellation. This removes its ability to operate as an NBFC and affects any prospective customers or counterparties seeking NBFC services from it.
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
- 8 Oct 2007
- Effective From
- 8 Oct 2007
- Entities Affected
- 1
- Entity Role
- Primary
- Entity Type
- NBFC