- Direct target of RBI!
- A major action was taken against 'these' 5 financial companies
- Directly ordered to pay a penalty of 27 lakhs
RBI Action On Financial Companies : The Reserve Bank of India i.e. RBI has taken direct action against companies that do not comply with regulatory norms. There are 5 companies which faced strict action by RBI. The central bank has imposed a total penalty of Rs 45 lakh on these companies in various cases. Exactly which companies are on this list” (Action On Financial Companies)
Unique Business Idea : Strange ideas and great earnings! “This” young man is earning 1400000 rupees a month by scratching people's itch!
According to the information received from RBI, this action has been taken due to violation of various norms. The list includes TransUnion CIBIL, Crif High Mark Credit Information Services, Equifax Credit Information Services, Samman Finserv and Hinduja Leyland Finance. Some companies were found to have failed to comply with regulatory requirements, leading to financial penalties.
How much fine was imposed on which company?
In this action by RBI, different amount of penalty has been imposed on different companies.
₹26,82,800 on TransUnion CIBIL
₹6,89,600 on CRIF High Mark Credit Information Services
₹1,19,400 on Equifax Credit Information Services
₹4.20 lakh on the same Finserv
₹6.20 lakh on Hinduja Leyland Finance
Why did RBI crack down on credit bureaus?
According to the RBI, the three companies – TransUnion CIBIL, Crif High Mark and Equifax Credit Information Services – failed to provide compensation to some of the complainants within the stipulated time. This is why RBI has imposed financial penalty on them.
What did the other two companies do wrong?
According to the RBI, two other companies violated norms related to credit reporting and fixing loan rates.
Sama Finserv failed to report credit information related to one of its borrowers to the Central Repository of Information on Large Credits (CRILC). Meanwhile, in the case of Hinduja Leyland Finance, the policy approved by the Board of Directors for fixing microfinance loan rates was not properly implemented. The company was fined for violating this rule.
What did RBI say about penalty?
According to the RBI, the action was taken on the basis of lapses found by the companies in complying with regulatory norms. But, this penalty does not mean that the RBI has not made any clear statement on the validity of any transaction or agreement between the companies and their customers.
Electricity will be created as soon as the brake is applied! Amazing technology of Vande Bharat Express; How does the system work?