These actions are based on deficiencies in regulatory compliance
FinTech BizNews Service
Mumbai, 8 August, 2026: The Reserve Bank of India (RBI) has, by an order dated August 03, 2026, imposed a monetary penalty on 3 NBFCs.
RBI imposes monetary penalty on Infinity Fincorp Solutions
The Reserve Bank of India (RBI) has, by an order dated August 03, 2026, imposed a monetary penalty of ₹5.40 lakh (Rupees Five lakh forty thousand only) on Infinity Fincorp Solutions Private Limited (the company) for non-compliance with certain provisions of the ‘Reserve Bank of India (Know Your Customer (KYC)) Directions’ and the directions issued by RBI on ‘Fair Practice Code’. This penalty has been imposed in exercise of powers conferred on RBI under section 58(G)(1)(b) read with section 58(B)(5)(aa) of the Reserve Bank of India Act, 1934.
The Statutory Inspection of the company was conducted by RBI with reference to its financial position as on March 31, 2025. Based on the supervisory findings of non-compliance with RBI directions and related correspondence in that regard, a notice was issued to the company advising it to show cause as to why penalty should not be imposed on it for failure to comply with the said directions.
After considering the company’s reply to the notice and oral submissions made during the personal hearing, RBI found that the following charges against the company were sustained, warranting imposition of monetary penalty:
i. The company failed to put in place a system of periodic review of risk categorisation of accounts, with such periodicity being at least once in six months; and
ii. The company failed to disclose the approach for gradation of risk and rationale for charging different rate of interest to different categories of borrowers in the application forms and the sanction letters.
The action is based on deficiencies in regulatory compliance and is not intended to pronounce upon the validity of any transaction or agreement entered into by the company with its customers. Further, imposition of monetary penalty is without prejudice to any other action that may be initiated by RBI against the company.
RBI imposes monetary penalty on Namdev Finvest Limited (formerly known as Namdev Finvest Private Limited)
The Reserve Bank of India (RBI) has, by an order dated August 03, 2026, imposed a monetary penalty of Rs2.70 lakh (Rupees Two lakh seventy thousand only) on Namdev Finvest (the company) for non-compliance with certain provisions of the ‘Reserve Bank of India (Know Your Customer (KYC)) Directions’ issued by RBI. This penalty has been imposed in exercise of powers conferred on RBI under section 58(G)(1)(b) read with section 58(B)(5)(aa) of the Reserve Bank of India Act, 1934.
The Statutory Inspection of the company was conducted by RBI with reference to its financial position as on March 31, 2025. Based on the supervisory findings of non-compliance with RBI directions and related correspondence in that regard, a notice was issued to the company advising it to show cause as to why penalty should not be imposed on it for failure to comply with the said directions.
After considering the company’s reply to the notice and oral submissions made during the personal hearing, RBI found, inter alia, that the following charge against the company was sustained, warranting imposition of monetary penalty:
The company failed to put in place a robust software for effective identification and reporting of suspicious transactions.
The action is based on deficiencies in regulatory compliance and is not intended to pronounce upon the validity of any transaction or agreement entered into by the company with its customers. Further, imposition of monetary penalty is without prejudice to any other action that may be initiated by RBI against the company.
RBI imposes monetary penalty on Utsav Securities
The Reserve Bank of India (RBI) has, by an order dated August 03, 2026, imposed a monetary penalty of Rs3.90 lakh (Rupees Three lakh ninety thousand only) on Utsav Securities Limited (the company) for non-compliance with certain provisions of the directions issued by RBI on ‘Governance’ and ‘Submission of data to Credit Information Companies (CICs)’. This penalty has been imposed in exercise of powers conferred on RBI under section 58(G)(1)(b) read with section 58(B)(5)(aa) of the Reserve Bank of India Act, 1934 and section 25(1)(iii) read with section 23(4) of Credit Information Companies (Regulation) Act, 2005.
The Statutory Inspection of the company was conducted by RBI with reference to its financial position as on March 31, 2025. Based on the supervisory findings of non-compliance with RBI directions and related correspondence in that regard, a notice was issued to the company advising it to show cause as to why penalty should not be imposed on it for failure to comply with the said directions.
After considering the company’s reply to the notice, RBI found that the following charges against the company were sustained, warranting imposition of monetary penalty:
i. The Key Management Personnel (KMP) of the company held office (including directorship) in other NBFCs-Middle Layer; and
ii. The company failed to submit credit information of certain loan accounts to the CICs.
This action is based on deficiencies in regulatory compliance and is not intended to pronounce upon the validity of any transaction or agreement entered into by the company with its customers. Further, imposition of monetary penalty is without prejudice to any other action that may be initiated by RBI against the company.
