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Transactree Technologies Private Limited

NBFC

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

Recorded RBI impact

Monetary penalty

Monetary penalty · Fresh imposition

S3

Published by RBI

23 May 2025

Case Brief

In an order dated May 23, 2025, RBI imposed a monetary penalty of ₹40 lakh on Transactree Technologies Private Limited (Lendbox). The action followed a scrutiny in September 2023 and a show-cause process under the RBI Act, 1934. RBI concluded that the company had violated provisions of the Non-Banking Financial Company - Peer to Peer Lending Platform (Reserve Bank) Directions, 2017 by routing disbursed and collected amounts through a co-lending escrow account instead of the prescribed mechanism, not disclosing borrowers’ credit assessment and risk profile to prospective lenders, and disbursing loans without the specific approval of individual lenders.

Why RBI Acted

Lending normsCustomer protectionReporting & disclosure

RBI imposed a monetary penalty on Transactree Technologies Private Limited (also referred to as Lendbox) after a scrutiny found non-compliance with certain provisions of the RBI’s Non-Banking Financial Company - Peer to Peer Lending Platform (Reserve Bank) Directions, 2017. RBI found that the company routed amounts disbursed and collected in loan accounts on the P2P platform through a co-lending escrow account in violation of the prescribed fund transfer mechanism, did not disclose credit assessment and risk profile of borrowers to prospective lenders, and disbursed loans to individual borrowers without the specific approval of individual lenders. 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 bear the ₹40 lakh penalty, and the finding may support further supervisory or enforcement action by RBI. There is no direct withdrawal or suspension of operations stated in the release, but the compliance failures concern how the P2P platform handles fund transfers, disclosures, and lender approvals.

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

Action Facts

Primary Impact
Monetary penalty
Order Date
23 May 2025
Effective From
23 May 2025
Entities Affected
1
Entity Role
Bulk Member
Entity Type
NBFC

Related Entities

Entities similar to Transactree Technologies Private Limited

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  1. Lendbox

    NBFC

    1 shared action

    1 linked action