RBI Cancels Registration of 35 NBFCs

The Reserve Bank of India cancelled the Certificates of Registration of 35 non-banking financial companies on January 07, 2026. The action was taken under Section 45-IA(6) of the Reserve Bank of India Act, 1934.

The affected entities are spread across Delhi, Maharashtra, and Madhya Pradesh. Following the cancellations, these companies are no longer permitted to operate as NBFCs.

RBI Action Under Section 45-IA Of RBI Act

The Reserve Bank of India exercised its statutory powers to cancel the registrations of the identified NBFCs. Section 45-IA of the RBI Act governs the registration and regulation of non-banking financial institutions in India.

The cancellation orders were issued after regulatory assessment by the central bank. Such cancellations remove the legal authority of the entities to conduct NBFC activities.

Details Of Cancelled NBFC Registrations

The list includes companies such as Satya Prakash Capital Investment Limited, A G Securities Private Limited, ALB Leasing & Finance Ltd., and Pearls Hire Purchase Corporation Limited. The Certificates of Registration were originally issued between March 18, 1998, and October 27, 2016.

Cancellation orders were passed on different dates, including December 09, 2025, December 19, 2025, December 23, 2025, and December 31, 2025. Registered offices of most entities are located in New Delhi, with a few in Mumbai and Jabalpur.

Geographic Spread and Registration Timeline

Out of the 35 NBFCs, a majority are registered in Delhi, while others operate from Maharashtra and Madhya Pradesh. Several entities had been registered for more than 20 years prior to cancellation.

Some companies received their registration certificates as early as 1998 and 2000. The long operational history highlights the regulatory significance of the RBI’s move.

Implications For NBFC Operations

As per the RBI order, the affected companies are prohibited from transacting business as non-banking financial institutions. This restriction applies as defined under Section 45-I(a) of the RBI Act, 1934.

The entities cannot accept public funds, extend loans, or carry out financing activities under the NBFC classification. Any continuation of such activities would attract regulatory penalties under applicable law.

Read More: RBI Proposes Higher Dividend Payout Limits for Banks.

Conclusion

The Reserve Bank of India’s decision to cancel the Certificates of Registration of 35 NBFCs represents a significant regulatory development. The action legally restricts these entities from carrying on NBFC-related activities.

Most cancellations relate to entities registered in Delhi with long operational histories. The move reflects continued regulatory scrutiny of non-banking financial institutions.

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