RBI imposes monetary penalty on Ashoka Viniyoga Limited, New Delhi

Case Brief

The Reserve Bank of India imposed a monetary penalty on Ashoka Viniyoga Limited by order dated August 08, 2024. RBI found that the company did not comply with certain provisions of the Non-Banking Financial Company - Systemically Important Non-Deposit taking Company and Deposit taking Company (Reserve Bank) Directions, 2016 relating to governance issues, specifically failing to obtain prior written permission for a change in management that resulted in more than 30% of its directors being changed, excluding independent directors. The penalty was imposed under section 58G(1)(b) read with section 58B(5)(aa) of the RBI Act, 1934.