Recorded RBI impact
License cancellation
License cancellation · Fresh imposition
Published by RBI
26 Dec 2006
Case Brief
The Reserve Bank of India cancelled the Certificate of Registration granted to Vikas Profin Limited, New Delhi, on November 20, 2006. The action was taken under Section 45-IA(6) of the RBI Act, 1934, after the company opted to exit the business of a non-banking financial institution. Following the cancellation, Vikas Profin Limited is no longer permitted to carry on the business of a non-banking financial institution.
Why RBI Acted
On November 20, 2006, the Reserve Bank of India cancelled the Certificate of Registration granted to Vikas Profin Limited, New Delhi, under Section 45-IA(6) of the RBI Act, 1934. The release states that the company had opted to exit from the business of a non-banking financial institution. As a result of the cancellation, the company cannot transact the business of a non-banking financial institution.
Operating Impact
Vikas Profin Limited can no longer conduct non-banking financial institution business. The restriction applies to the company itself and removes its ability to operate in that activity going forward.
Regulatory Basis
- Section 45-IA (6) of the Reserve Bank of India Act, 1934
- Section 45-I of the Reserve Bank of India Act, 1934
Action Facts
- Primary Impact
- License cancellation
- Order Date
- 20 Nov 2006
- Effective From
- 20 Nov 2006
- Entities Affected
- 1
- Entity Role
- Primary
- Entity Type
- NBFC