Case Brief
By an order dated September 2, 2024, RBI imposed a monetary penalty of ₹5,00,000 on Aadhar Housing Finance Limited under Section 52A of the National Housing Bank Act, 1987. The action followed a statutory inspection by the National Housing Bank and a show-cause process. RBI found that the company had charged interest on loans for a period prior to the date of actual disbursement of the loan / issuance of cheque to certain borrowers, in violation of RBI directions under the Fair Practices Code and the Non-Banking Financial Company - Housing Finance Company (Reserve Bank) Directions, 2021.
Action Snapshot
- Primary Impact
- Fine: Rs 5.00 L
- Entity Type
- NBFC
- Action Type
- Monetary penalty