Recorded RBI impact
License cancellation
License cancellation · Fresh imposition
Published by RBI
7 Jun 2003
Case Brief
The Reserve Bank of India cancelled the certificate of registration of Marichi Finance and Leasing Limited, whose registered office is in Hyderabad, on June 4, 2003. The action was taken under Section 45IA of the RBI Act, 1934. As a result, the company is no longer permitted to transact the business of a non-banking financial institution.
Why RBI Acted
The Reserve Bank of India cancelled the certificate of registration granted to Marichi Finance and Leasing Limited, Hyderabad, on June 4, 2003. The release states the cancellation was under Section 45IA of the RBI Act, 1934, and that the company can no longer carry on the business of a non-banking financial institution.
Operating Impact
Marichi Finance and Leasing Limited must stop NBFC operations and cannot legally continue its non-banking financial institution business after the cancellation. The restriction directly affects the company and its customers/counterparties relying on its NBFC activities.
Regulatory Basis
- Section 45IA of the Reserve Bank of India Act, 1934
Action Facts
- Primary Impact
- License cancellation
- Order Date
- 4 Jun 2003
- Effective From
- 4 Jun 2003
- Entities Affected
- 1
- Entity Role
- Primary
- Entity Type
- NBFC