RBI cancels registration of Deutsche NBFC

Mumbai: Reserve Bank has cancelled the registration of non-banking financial company Deutsche Securities India Pvt Ltd (DSIPL) as it was carrying on the business of a non-banking financial institution. The central bank didn’t specify any particular reason for the cancellation.

“RBI cancels Certificate of Registration of Deutsche Securities India Pvt Ltd (DSIPL),” RBI said in a release. RBI said it cancelled the certificate of registration of the non-banking financial company (NBFCs) for carrying on the business of non-banking financial institution.

“Following cancellation of registration certificate, the company cannot transact the business of non-banking financial institution,” it added.

Non-banking financial companies or NBFCs do not posses a banking license, but are allowed to provide banking services with the restriction of not taking deposits from the public.

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While, NBFIs (non-banking financial institutions) do not have a full banking license but they facilitate bank-related financial services, like investment, risk pooling, contractual savings, and market brokering.

The registered office of the German company is situated at Kasturba Gandhi Marg, New Delhi. Deutsche Securities India is an entity of Deutsche Bank group.

The Reserve Bank can cancel the registration certificate of a non-banking financial company under the powers conferred of Reserve Bank of India Act, 1934, it said.

PTI