By Vivek Dubey

CNBC-TV18.com

Published Mar 07, 2024

Why RBI cracked down on these companies and how it did

JM Financial Products

Date: Mar-24

Issues raised: Serious deficiencies observed in loans sanctioned for IPO financing & NCD subscriptions.

JM Financial Products

Actions Announced: Barred from financing against shares & debentures and disbursal of loans against IPO or subscription to debentures with immediate effect.

IIFL Finance

Date: Mar-24

Issues raised: Material supervisory concerns in gold loan portfolio.

IIFL Finance

Actions Announced: Barred from sanctioning / disbursing gold loans or assigning/securitising/selling gold loans, with immediate effect.

Paytm Payments Bank

Date: Jan-24

Issues raised: Persistent non-compliances & continued material supervisory concerns in the bank.

Actions Announced: No further deposits, credit transactions, top ups & other banking services. Only withdrawals upto available balance. Termination of nodal accounts.

Paytm Payments Bank

Bajaj Finance

Date: Nov-23

Issues raised: Non-adherence to digital lending norms & deficiencies in Key Fact Statements.

Actions Announced: Stop sanction & disbursals of loans under ‘eCom’ & ‘Insta EMI card’

Bajaj Finance

Bank of Baroda

Date: Oct-23

Issues raised: Material supervisory concerns of onboarding customers onto mobile application.

Actions Announced: Barred onboarding of customers on ‘bob world’. Ensure that already onboarded customers don’t face any disruption.

Bank of Baroda

SBM Bank (India)

Date: Jan-23

Issues raised: Certain material supervisory concerns in the bank.

Actions Announced: Barred from conducting transactions under Liberalized Remittance Scheme, with immediate effect.

SBM Bank (India)

Date: Sept-22

Issues raised: Material supervisory concerns related to management of its outsourcing activities.

M&M Financial Services

Actions Announced: Barred from carrying out any recovery or repossession activity through outsourcing arrangements, till further orders.

M&M Financial Services

Date: Mar-22

Issues raised: Certain material supervisory concerns observed in the bank.

Paytm Payments Bank

Actions Announced: Barred from onboarding customers with immediate effect. Appoint an IT audit firm to conduct comprehensive system audit.

Paytm Payments Bank

Date: Dec-20

Issues raised: Certain incidents of outages in the internet banking/ mobile banking/ payment utilities.

HDFC Bank

Actions Announced: Barred from launching any digital business generating activity under Digital 2.0. Bank was also asked not to source any new credit card customers.

HDFC Bank