RBI cancels registration of two NBFCs

MUMBAI: Banking regulator Reserve Bank has cancelled the licence of two non-banking financial institutions who voluntarily opted out of the business.

Kasturi Leasing & Financial Services and Micro Fin Securities had opted to quit the business following which the RBI has granted the permission to them on February 5 and February 13, the Reserve Bank said in a release.

"Following cancellation of the registration certificate the company cannot transact the business of a non-banking financial institution," the RBI said.

According to the Reserve Bank of India Act, 1934, the banking regulator can cancel the registration certificate of any non-banking financial company.