RBI imposes monetary penalty on IGH Holdings Private Limited, Mumbai

Case Brief

RBI imposed a monetary penalty on IGH Holdings Private Limited, Mumbai by order dated March 15, 2023. The penalty was for non-compliance with section 45-IC of the RBI Act, 1934 and RBI directions under the CIC (Regulation) Act, 2005 relating to membership of Credit Information Companies and submission of credit information. RBI’s inspection found that the company did not transfer 20% of its FY2020-21 net profit to the Reserve Fund, failed to become a member of three out of four CICs, and did not furnish credit information even to the CIC of which it was a member. RBI said the action was based on deficiencies in regulatory compliance and did not pronounce on the validity of the company’s transactions or agreements with customers.