RBI imposes monetary penalty on Amrit Malwa Capital Limited, Jalandhar, Punjab

Case Brief

RBI, by order dated September 28, 2021, imposed a monetary penalty of ₹10 lakh on Amrit Malwa Capital Limited, Jalandhar, Punjab. The penalty was levied for non-compliance with certain provisions of the Non-Banking Financial Company Returns (Reserve Bank) Directions, 2016, after a statutory inspection found that the company had failed to submit certain quarterly and half-yearly returns within the required timelines. RBI issued a show-cause notice, considered the company’s written reply and oral submissions, and concluded that the charge of non-compliance was substantiated. The press release also clarifies that the action is based on regulatory deficiencies and does not pronounce on the validity of any transaction or agreement with customers.