Recorded RBI impact
License cancellation
License cancellation · Fresh imposition
Published by RBI
12 Jul 2005
Case Brief
On July 4, 2005, the Reserve Bank of India cancelled the Certificate of Registration issued to Ratnanidhi Finsec Private Limited, Hyderabad, under Section 45-IA of the RBI Act, 1934. The release says the company was registered for carrying on the business of a non-banking financial institution, and RBI exercised its statutory power to cancel that registration.
Why RBI Acted
The Reserve Bank of India cancelled the Certificate of Registration issued to Ratnanidhi Finsec Private Limited under Section 45-IA of the RBI Act, 1934. The release states that the certificate was cancelled for carrying on the business of a non-banking financial institution, but does not provide any further specific factual misconduct beyond the statutory basis for cancellation.
Operating Impact
Ratnanidhi Finsec Private Limited can no longer legally conduct NBFC business. The restriction is immediate from the cancellation date and affects the company’s ability to operate as a non-banking financial institution.
Regulatory Basis
- Section 45-IA of the Reserve Bank of India Act, 1934
- clause (a) of Section 45-IA of the Reserve Bank of India Act, 1934
Action Facts
- Primary Impact
- License cancellation
- Order Date
- 4 Jul 2005
- Effective From
- 4 Jul 2005
- Entities Affected
- 1
- Entity Role
- Primary
- Entity Type
- NBFC