Press Releases December 2009

Application for Certificate of Registration of M/s. Asit C. Mehta Financial Services Limited -Rejected

December 4, 2009

The Reserve Bank of India has rejected the application for certificate of registration of M/s. Asit C. Mehta Financial Services Limited, having its registered office at Nucleus House, Saki Vihar Road, Andheri (East), Mumbai - 400 072 for carrying on the business of a non-banking financial institution. Following rejection of the application for certificate of registration M/ s. Asit C. Mehta Financial Services Limited cannot transact the business of a non-banking financial institution.

By the powers conferred under Section 45-IA (6) of the Reserve Bank of India Act, 1934, the Reserve Bank can reject the application for registration certificate of a 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.

Investment by FIIs/NRIs under PIS : Dhanalakshmi Bank Limited

December 14, 2009

The Reserve Bank of India has today notified that under Portfolio Investment Scheme (PIS), Foreign Institutional Investors (FIIs)/Non-Resident Indians (NRIs) can now purchase equity shares of Dhanalakshmi Bank Limited, through primary/secondary markets and stock exchanges in India. The purchases can be made up to the total limit of percentages, mentioned below, of the paid up capital of the company subject to the condition that aggregate foreign investment in the bank should not exceed the composite sectoral cap of 74 per cent and as prescribed by the Government from time to time, as it has passed resolutions to this effect at the Board of Directors’/ Annual General Meetings.

i) Foreign Institutional  Investors(FIIs)      49 per cent
ii) Non-Resident Indians (NRIs)               24 per cent

Certificate of Registration – Cancelled

The Reserve Bank of India through its various Press Releases notified the cancellation of certificates of registration granted to the following companies, having their registered offices at the address shown against them, for carrying on the business of a non-banking financial institution. Following cancellation of the registration certificate the companies 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 a 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.