RBI Bars 4 NBFCs, Asirvad Micro Finance, Arohan, Navi Finserv and DMI Finance, from Granting Loans
The Reserve Bank of India (RBI) issued directions to four non-banking finance companies (NBFCs) to cease and desist from sanction and disbursal of loans, from close of business of 21 October 2024.
RBI says its action is based on material supervisory concerns observed in the pricing policy of these companies in terms of their weighted average lending rate (WALR) and the interest spread charged over their cost of funds, which are found to be excessive and not in adherence with the regulations. These NBFCs are also found to be not in conformity with the provisions laid down under fair practices code issued by the central bank.
The Reserve Bank of India (RBI) issued directions to four non-banking finance companies (NBFCs) to cease and desist from sanction and disbursal of loans, from close of business of 21 October 2024. These NBFCs are Chennai-based Asirvad Micro Finance Ltd, Kolkata-based Arohan Financial Services Ltd, New Delhi-based DMI Finance Pvt Ltd and Bengaluru-based Navi Finserve Ltd.
