Case Brief
By an order dated January 15, 2025, RBI imposed a monetary penalty of ₹1.00 lakh on Datson Exports Ltd., West Bengal. The action followed a statutory inspection and show-cause process, which found that the company had not complied with RBI directions on managing risks and code of conduct in outsourcing of financial services by NBFCs. RBI specifically sustained the charge that the company outsourced a decision-making function, namely sanction of loans, to its Digital Lending Application (DLA) partner. The penalty was imposed under Section 58G(1)(b) read with Section 58B(5)(aa) of the RBI Act, 1934.
Action Snapshot
- Primary Impact
- Fine: Rs 1.00 L
- Entity Type
- NBFC
- Location
- West Bengal