Recorded RBI impact
License cancellation
License cancellation · Fresh imposition
Published by RBI
6 Feb 2006
Case Brief
The Reserve Bank of India cancelled the Certificate of Registration granted to Soni Moni Credit Centre Private Limited, whose registered office is in Dombivali, Thane, for carrying on the business of a non-banking financial institution. The cancellation was made under Section 45-IA(6) of the RBI Act, 1934. As a result, the company cannot conduct NBFC business and has additionally been prohibited from accepting public deposits and from alienating any of its assets under Sections 45MB(1) and 45MB(2).
Why RBI Acted
The Reserve Bank of India cancelled the certificate of registration granted to Soni Moni Credit Centre Private Limited under Section 45-IA(6) of the RBI Act, 1934. The release states that, following cancellation, the company cannot transact the business of a non-banking financial institution; it is also prohibited from accepting public deposits and from alienating any of its assets under Section 45MB(1) and 45MB(2).
Operating Impact
Soni Moni Credit Centre Private Limited must cease NBFC operations immediately and cannot accept new public deposits. It is also restricted from disposing of or otherwise alienating its assets, limiting its ability to continue business or meet obligations through asset transfers.
Regulatory Basis
- Section 45-IA (6) of the Reserve Bank of India Act, 1934
- Section 45MB (1) of this Act
- Section 45MB (2)
Action Facts
- Primary Impact
- License cancellation
- Order Date
- 17 Jan 2006
- Effective From
- 17 Jan 2006
- Entities Affected
- 1
- Entity Role
- Primary
- Entity Type
- NBFC