Action on SPML India
Case Brief
The Reserve Bank of India, using powers under Section 45-IA(6) of the RBI Act, 1934, cancelled the Certificate of Registration of 26 companies. The order covers a list of NBFCs with cancellation dates spanning August 21, 2019 to September 5, 2019. Following cancellation, the entities are not permitted to transact the business of a Non-Banking Financial Institution under the RBI Act.
The Reserve Bank of India cancelled the Certificate of Registration of 26 companies under Section 45-IA(6) of the RBI Act, 1934. The release lists each affected company and states that, as a result, these companies shall not 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 licence cancellation, which carries severity 5 regardless of any monetary amount.
All 26 affected companies must stop NBFC საქმიანity/operations immediately upon cancellation and cannot legally carry on non-banking financial business. This impacts the companies themselves and any customers or counterparties relying on their NBFC activities.
Published as Padmanabham Leasing & Financials Private Limited
Published as Walter Niryat Private Limited
Published as Manbir Fincon Private Ltd.
Published as Young Street Capital Services Private Limited
Published as Wide Finance and Leasing Private Limited
Published as Wellcome Portfolio Limited
Published as Sharda Capsec Limited
Published as R.A.S. Associates Private Limited (presently known as R.A.S. Associates Ltd.)
Published as Atal Securities Private Limited
Published as Suren Electronics & Electricals Private Limited
Published as Sunbeam Control Systems Private Limited
Published as Savitri Finlease And Securities Limited
Published as Omsons Traders Pvt. Ltd.
Published as SPML India Limited
Published as Yaduvanshi Investments Limited (Presently known as Yaduvanshi Investments Private Limited)
Published as Vedanga Vinimoy Private Limited
Published as Turrant Fincap Limited
Published as Sumesh Financiers Private Limited
Published as Yashika Finlease and Holdings Private Limited
Published as Sahas Financial Services Pvt. Ltd.
Published as Blue Chip India Ltd.
Published as BPS Financiers & Consultants Ltd.
Published as SubhDeep Finlease Private Limited
Published as Shine Blue Deposits and Investments Private Limited
Published as Singer India Trading Limited
Published as Sudvin Finvest Fairdeals Private Limited