For example, the deposits in NBFC are not insured. Or, unlike banks, all NBFCs are not allowed to accept deposits payable on demand or issue cheques. Because of these financial constraints, strict RBI regulations, and other reasons, the operations are sometimes difficult to keep up. So ...
For example, if a shareholder was holding 25% shares in the NBFC, and now proposes to acquire another 1%, is this subject to regulatory approval? The answer should be clearly yes, because the shareholder will now be having what is regarded by the regulation as significant shareholding. On ...
Why do you need an Escrow Account in India? You may need an escrow account in case of: A large transaction (between two or more parties) that have some legal obligations attached to them which need to be fulfilled before the release of the payment or an asset. Here’s an example: Let...
Reserve Bank of India had introduced a Prompt Corrective Action Framework (PCA) for Scheduled Commercial Banks in 2002 and the same has been reviewed from time to time based on the experience gained and developments in the banking system. The objective of the PCA Fr...