Recorded RBI impact
License cancellation
License cancellation · Fresh imposition
Published by RBI
27 Mar 2004
Case Brief
The Reserve Bank of India cancelled the certificate of registration of Zuari Leasing and Finance Corporation Limited, Jai Kisaan Bhavan, Zuarinagar, Goa, which had been issued for carrying on the business of a non-banking financial institution. According to the release, the company had opted to exit the non-banking financial institution business pursuant to its amalgamation with M/s Zuari Industries Ltd., Goa. The cancellation was issued under Section 45IA(6) of the RBI Act, 1934.
Why RBI Acted
The Reserve Bank of India cancelled the certificate of registration issued to Zuari Leasing and Finance Corporation Limited, Goa, for carrying on the business of a non-banking financial institution. The release states that the company opted to exit the NBFC business pursuant to its amalgamation with M/s Zuari Industries Ltd., Goa. The cancellation is stated to be under Section 45IA(6) of the RBI Act, 1934.
Operating Impact
Zuari Leasing and Finance Corporation Limited can no longer operate as a registered non-banking financial company. The action has no reported monetary penalty, but it permanently ends the company’s NBFC registration and the associated ability to conduct that business under the cancelled certificate.
Regulatory Basis
- Section 45IA (6) of the Reserve Bank of India Act, 1934
- Section 45 MB(1) of this Act
Action Facts
- Primary Impact
- License cancellation
- Entities Affected
- 1
- Entity Role
- Primary
- Entity Type
- NBFC