Case Brief
RBI, by order dated August 12, 2024, imposed a monetary penalty of ₹10.00 lakh on Poonawalla Fincorp Limited, Pune, Maharashtra. The penalty was imposed for non-compliance with RBI’s NBFC Directions relating to Fair Practices Code for NBFCs. After supervisory inspection, a show-cause notice, and consideration of the company’s reply and oral and written submissions, RBI sustained the charge that the company had charged interest on loans from dates prior to their disbursal, contrary to the terms and conditions communicated to customers. RBI stated that the penalty is based on regulatory-compliance deficiencies and is without prejudice to any other action that may be initiated.
Action Snapshot
- Primary Impact
- Fine: Rs 10.0 L
- Entity Type
- NBFC
- Location
- Pune, Maharashtra