Action on 30 NBFCs
Case Brief
The Reserve Bank of India, exercising powers under Section 45-IA(6) of the RBI Act, 1934, cancelled the Certificate of Registration of 30 companies. The release lists each affected company and states that, as a consequence, they shall not transact the business of a Non-Banking Financial Institution as defined in Section 45-I(a) of the RBI Act, 1934.
The Reserve Bank of India cancelled the Certificate of Registration of 30 companies under Section 45-IA(6) of the RBI Act, 1934. As a result, these entities are no longer permitted to transact the business of a Non-Banking Financial Institution as defined in Section 45-I(a) of the RBI Act, 1934.
Severity Assessment
Cancellation of Certificate of Registration is a severity-5 action because it removes the entities' right to operate as NBFCs.
All 30 affected companies are barred from carrying on NBFC business going forward. Any lending or other non-banking financial activity that depended on their CoR is prohibited, affecting their ability to operate as regulated NBFCs.
Published as Arihant Exports Ltd.
Published as Bahety Finlease Co. Private Limited
Published as Khubsoorat Leasing and Finance Private Limited
Published as Mahabali Rubbers Private Limited (Presently known as Goel Tempo Finance Private Limited)
Published as Karunanidhan Enterprises Private Limited
Published as Global Capital Limited
Published as Volex Finance & Industries Ltd.
Published as S.V. Engineering & Finance (P) Limited
Published as Prime Trust Securities Limited (Presently known as Prime Trust Finance Limited)
Published as Ridhi Sidhi Commercials Limited
Published as AVN Finance Limited
Published as Amroha Finance Limited
Published as V.K. Consultants Private Limited
Published as Vikram Finlease Private Limited
Published as Kandy Finlease Limited
Published as Geeta Leasing & Housing Ltd.
Published as Vivek Portfolios Private Limited
Published as Pact Securities and Financial Services Limited
Published as Tomar Instalments Private limited
Published as A.U.S Finance & Investments (P) Ltd.
Published as Aetrostar Finance Pvt. Limited
Published as Aganall Holdings Private Ltd.
Published as Alpine Finlease Limited
Published as Anurag Trading Leasing & Investment Company (P) Ltd.
Published as Prabhu-Dhan Financial Services Private Limited
Published as Advert Holdings Private Limited
Published as Bengani Capital Services Limited
Published as Abhyadoot Finance And Investments Limited
Published as Amogh Finman Ltd.
Published as Ashoka Commercials Limited