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Mannakrishna Investments Private Limited

NBFC

The RBI action, regulatory basis, and operating impact linked to this entity.

Recorded RBI impact

Fine: Rs 3.10 L

Monetary penalty · Fresh imposition

S2

Published by RBI

28 Nov 2025

Case Brief

RBI, by order dated November 25, 2025, imposed a monetary penalty of ₹3.10 lakh on Mannakrishna Investments Private Limited. The penalty was for non-compliance with the Master Direction – RBI (Non-Banking Financial Company - Scale Based Regulation) Directions, 2023, specifically in relation to governance issues. RBI found that the company had failed to obtain prior written permission before appointing a director, which resulted in a change in management because more than 30% of its directors (excluding independent directors) changed. The action followed a statutory inspection, a show-cause notice, and consideration of the company’s reply and oral submissions. RBI stated the penalty was without prejudice to any other action that may be initiated.

Why RBI Acted

Governance oversightLicensing breach

RBI imposed a monetary penalty for non-compliance with provisions of the Master Direction – RBI (Non-Banking Financial Company - Scale Based Regulation) Directions, 2023 relating to governance issues. The sustained charge was that the company appointed a director without prior written permission of RBI, leading to a change in management because more than 30% of its directors (excluding independent directors) changed. The penalty was imposed under Section 58G(1)(b) read with Section 58B(5)(aa) of the RBI Act, 1934, after inspection, show-cause notice, reply, and oral hearing.

Operating Impact

The company must absorb the monetary penalty and remain compliant with RBI governance requirements. RBI indicated the penalty does not validate any transaction or agreement with customers and may pursue additional action if warranted, but no operational restriction was imposed in this release.

Regulatory Basis

  • clause (b) of sub-section (1) of Section 58G
  • clause (aa) of sub-section (5) of Section 58B of the Reserve Bank of India Act, 1934
  • Master Direction – Reserve Bank of India (Non-Banking Financial Company - Scale Based Regulation) Directions, 2023

Action Facts

Primary Impact
Fine: Rs 3.10 L
Order Date
25 Nov 2025
Effective From
25 Nov 2025
Entities Affected
1
Entity Role
Primary
Entity Type
NBFC