Case Brief
The Reserve Bank of India imposed a monetary penalty of ₹2.50 lakh on M.L. Securities and Finance Private Limited, Indore (M.P.), an NBFC, by order dated March 11, 2022. RBI said the company failed to comply with certain provisions of the directions on classification of non-performing assets contained in the Non-Banking Financial Company - Non-Systemically Important Non-Deposit taking Company (Reserve Bank) Directions, 2016. The penalty was imposed under section 58G read with section 58B(5)(aa) of the RBI Act, 1934, after an inspection-based show-cause process and consideration of the company’s replies and oral submissions.
Action Snapshot
- Primary Impact
- Fine: Rs 2.50 L
- Entity Type
- NBFC
- Location
- Indore, Madhya Pradesh