Recorded RBI impact
Fine: Rs 16.0 L
Monetary penalty · Fresh imposition
Published by RBI
26 Feb 2024
Case Brief
By an order dated February 09, 2024, RBI imposed a monetary penalty of ₹16 lakh on Ocean Capital Market Limited, Rourkela, Odisha. The company was found गैर-compliant with certain provisions of the NBFC-SI and deposit-taking company directions, 2016, and with specific RBI directions on submission of returns on the XBRL platform. RBI’s inspection also noted delayed XBRL return submissions, breaches of exposure limits for lending/investments to single borrowers and single groups of borrowers, and failure to constitute various Board committees. After considering the company’s reply, additional submissions, and oral hearing, RBI concluded that the contraventions were substantiated and warranted penalty under the RBI Act, 1934.
Why RBI Acted
RBI imposed a monetary penalty on Ocean Capital Market Limited for non-compliance with provisions of the NBFC-SI and deposit-taking company directions, 2016, and specific RBI directions relating to submission of returns on the XBRL platform. The statutory inspection also found delayed submission of several XBRL returns, breaches of exposure limits on lending/investments in respect of single borrowers and single groups of borrowers, and non-constitution of various Board committees. The penalty was imposed under section 58G(1)(b) read with section 58B(5)(aa) of the RBI Act, 1934.
Operating Impact
The company must absorb the ₹16 lakh penalty; the order does not itself withdraw any licence or impose an ongoing operating restriction, but it signals continued supervisory scrutiny and the need to strengthen regulatory reporting, exposure-limit compliance, and board-level governance controls. No direct customer-specific transaction is invalidated by the order.
Regulatory Basis
- clause (b) of sub-section (1) of section 58 G read with clause (aa) of sub-section (5) of section 58 B of the Reserve Bank of India Act, 1934
Action Facts
- Primary Impact
- Fine: Rs 16.0 L
- Order Date
- 9 Feb 2024
- Effective From
- 9 Feb 2024
- Entities Affected
- 1
- Entity Role
- Primary
- Entity Type
- NBFC