The Reserve Bank of India, has on January 4, 2006 cancelled the certificate of registration granted to Chennakesava Finance and Investments Private Limited, having its registered office at 304, Aditya Trade Centre, Ameerpet, Hyderabad– 500 038 for carrying on the business of a non-banking financial institution. Following cancellation of registration certificate, Chennakesava Finance and Investments Private Limited, cannot transact the business of a non-banking financial institution.

Under powers conferred by Section 45-IA (6) of the Reserve Bank of India Act, 1934, the Reserve Bank can cancel the registration certificate of non-banking financial company. The business of a non-banking financial institution is defined in clause (a) of Section 45-I of the Reserve Bank of India Act, 1934.