Recorded RBI impact
License cancellation
License cancellation · Fresh imposition
Published by RBI
5 Oct 2004
Case Brief
The Reserve Bank of India cancelled the Certificate of Registration granted to M/s. Sibar Finance Limited, whose registered office was stated as being in Hyderabad. The action was taken under Section 45IA of the RBI Act, 1934. As a result of the cancellation, 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. Sibar Finance Limited under Section 45IA of the RBI Act, 1934. The release states that the company was registered to carry on the business of a non-banking financial institution, and that after cancellation it cannot transact that business.
Operating Impact
M/s. Sibar Finance Limited is no longer permitted to conduct non-banking financial institution business after the cancellation of its registration. Customers and counterparties should treat the entity as unable to operate in that capacity from the effective date of the RBI order, which is stated as September 28, 2004.
Regulatory Basis
- Section 45IA of the Reserve Bank of India Act, 1934
- clause (a) of Section 45IA of the Reserve Bank of India Act, 1934
Action Facts
- Primary Impact
- License cancellation
- Order Date
- 28 Sept 2004
- Effective From
- 28 Sept 2004
- Entities Affected
- 1
- Entity Role
- Primary
- Entity Type
- NBFC