Press Releases
September 2009

Certificate of Registration of M/s. Rajsee International Pvt. Ltd. - Cancelled

September 2, 2009

The Reserve Bank of India has on August 13, 2009 cancelled the certificate of registration granted to M/s. Rajsee International Pvt. Ltd., having its registered office at 70, Janpath (Second Floor), New Delhi-110015 for carrying on the business of a non-banking financial institution. Following cancellation of the registration certificate the company 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 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.

Nomura Fixed Income Securities Private Limited authorised to undertake Primary Dealership business

September 3, 2009

Nomura Fixed Income Securities Private Limited has been authorised by the Reserve Bank of India to undertake Primary Dealership business in government securities with effect from Monday, September 7, 2009.

Certificate of Registration of Joyce Finance Pvt. Ltd. - Cancelled

September 4, 2009

The Reserve Bank of India has on August 13, 2009 cancelled the certificate of registration granted to Joyce Finance Pvt. Ltd., having its registered office at No. 32, 13th Cross, Wilson Garden, Bangalore-560027 for carrying on the business of a non-banking financial institution. Following cancellation of the registration certificate the company 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 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.

RBI announces rate of interest on FRBs 2013

September 9, 2009

The rate of interest on the Floating Rate Bonds, 2013 (FRB, 2013) applicable for the year (September 10, 2009 to September 9, 2010) shall be 4.81 percent per annum.

It may be recalled that the rate of interest on the FRB, 2013 was set at a mark­up (as decided in the auction held on September 9, 2004) over and above the variable base rate. The variable base rate for payment of interest shall be the average rate (rounded off up to two decimal places) of the implicit yields at cut-off prices emerging in the three auctions of Government of India 364 day Treasury Bills immediately preceding the relative annual coupon reset date. The variable base rate based on the average rate of the implicit yields at cut-off prices of the said last three auctions of Government of India 364 day Treasury Bills worked out to be 4.36 per cent. The mark­up decided in the auction held on September 9, 2004 was (+) 0.45 (plus 0.45) per cent. The coupon rate has been fixed accordingly.

Smt. Shyamala Gopinath reappointed as Deputy Governor of RBI

September 9, 2009

Smt. Shyamala Gopinath, Deputy Governor is reappointed Deputy Governor of the Reserve Bank of India up to June 20, 2011. Smt. Gopinath was earlier appointed as Deputy Governor on September 21, 2004 for a period of five years.

Smt. Gopinath looks after Internal Debt Management Department, Foreign Exchange Department, Department of Government and Bank Accounts, Department of Non-Banking Supervision, Department of External Investments and Operations, Financial Markets Department, Secretary’s Department, Department of Communication and Legal Department.

Reserve Bank of India (Note Refund Rules) 2009

September 14, 2009

Reserve Bank of India has framed a new set of Note Refund Rules known as Reserve Bank of India (Note Refund Rules) 2009 and has been notified in the Gazette of India on August 04, 2009 and came into force with immediate effect .The new set of rules are simplified and easy to comprehend. These rules are also available on RBI website www. rbi.org.in.

Restrictive practices while accepting bank notes

September 14, 2009

It has come to the notice of the Reserve Bank of India that certain establishments are adopting restrictive practices such as not accepting notes of certain denominations or series etc. The Reserve Bank of India, therefore considers it necessary to emphasise that all government/semi-government offices, public/ private sector institutions and also any other organisation/establishment/ individual accepting cash should desist from such practices.

For further information and guidance, the Regional Offices of the Reserve Bank of India may be approached. Features of genuine Indian bank notes are also posted on Reserve Bank of India’s web site www.rbi.org.in.

Government of India announces issue of Oil Marketing Companies Special Bonds (Revised)

September 15 2009

1. Indian Oil Corporation  : for Rs.6207.06 crore Ltd. (IOCL)
2. Hindustan Petroleum     : for Rs.2033.99 crore Corporation Ltd (HPCL)
3. Bharat Petroleum         : for Rs.2065.28 crore Corporation Ltd. (BPCL)

The investment in the Special Bonds by the banks and Insurance Companies will not be reckoned as an eligible investment in Government securities for their statutory requirements. However, such investment by the insurance companies will be eligible to be reckoned as investment under “other Approved Securities” category as defined under Insurance Regulatory and Development Authority (Investment) Regulations, 2000. Further, the investment by the Provident Funds, Gratuity Funds, Superannuation Funds, etc. in the Special Bonds will be treated as an eligible investment under the administrative order of the Ministry of Finance.

The Special Bonds will be transferable and eligible for market ready forward transactions (Repo).

Reserve Bank Cancels the Licence of The Nagpur Mahila Nagari Sahakari Bank Ltd, Nagpur (Maharashtra)

September 16, 2009

In view of the fact that The Nagpur Mahila Nagari Sahakari Bank Ltd, Nagpur, (Maharashtra) had ceased to be solvent, all efforts to revive it in close consultation with the Government of Maharashtra had failed and the depositors of the bank were being inconvenienced by continued uncertainty, the Reserve Bank of India delivered the order, canceling its licence to the bank after the close of business on September 8, 2009. The Registrar of Co­operative Societies, Maharashtra has also been requested to issue an order for winding up of the bank and appoint a Liquidator for the bank. It may be highlighted that on liquidation every depositor is entitled to repayment of his deposits up to a monetary ceiling of Rs.1,00,000/- (Rupees One Lakh only) from the Deposit Insurance and Credit Guarantee Corporation (DICGC).

With the cancellation of its licence and commencement of liquidation proceedings, the process of paying the depositors of The Nagpur Mahila Nagari Sahakari Bank Ltd, Nagpur, (Maharashtra), the amount insured as per the DICGC Act will be set in motion, subject to the terms and condition of Deposit Insurance Corporation.

Consequent to the cancellation of its licence, The Nagpur Mahila Sahakari Bank Ltd , Nagpur, (Maharashtra) is prohibited from carrying on ‘banking business’ as defined in Section 5(b) of the Banking Regulation Act, 1949 (As Applicable to Cooperative Societies) including acceptance and repayment of deposits.

For any clarifications, depositors may approach Smt. M. Yashoda Bai, Deputy General Manager, Urban Banks Department, Reserve Bank of India, Nagpur. Her contact details are as below:

Postal Address: Addittional Office Building, East High Court Road, Post Box 118,Nagpur 440 001. Telephone Number: (0712) 2538696; Fax Number: (0712) 2806670;

Issue of Rs.500/- denomination banknotes with ‘E’ Inset letter in both numbering panels in Mahatma Gandhi Series – 2005 bearing the signature of Dr. D. Subbarao, Governor

September 17, 2009

The Reserve Bank of India will shortly issue Rs.500/- denomination banknotes with ‘E’ inset letter in both numbering panels in Mahatma Gandhi Series – 2005 bearing the signature of Dr. D. Subbarao, Governor. Except for the change in the inset letter, the design of these notes to be issued now is similar in all respects to the banknotes in Mahatma Gandhi Series – 2005, with additional / new security features issued on October 21, 2005. All banknotes in the denomination of Rs.500/-in Mahatma Gandhi series issued by the Bank from the year 2000 will continue to be legal tender.

Certificate of Registration -Cancelled

September 23, 2009

The Reserve Bank of India has cancelled the 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.

By the powers conferred under 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.

Issue of Rs.50/- denomination banknotes with ‘R’ Inset letter in both numbering panels in Mahatma Gandhi Series – 2005 bearing the signature of Dr. D. Subbarao, Governor

September 29, 2009

The Reserve Bank of India will shortly issue Rs.50/- denomination banknotes with ‘R’ inset letter in both numbering panels in Mahatma Gandhi Series – 2005 bearing the signature of Dr. D. Subbarao, Governor. Except for the change in the inset letter, the design of these notes to be issued now is similar in all respects to the banknotes in Mahatma Gandhi Series – 2005, with additional / new security features issued on August 24, 2005.  All banknotes in the denomination of Rs.50/- issued by the Bank in the past will continue to be legal tender.

Certificate of Registration of M/s. Anil Rai and Company Private Limited - Cancelled

September 29, 2009

The Reserve Bank of India has on August 31, 2009 cancelled the certificate of registration granted to M/s. Anil Rai and Company Private Limited, having its registered office at Jeevan Tara Building, 5-Parliament Street, New Delhi-110001 for carrying on the business of a non-banking financial institution. Following cancellation of the registration certificate the company 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 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

Certificate of Registration of M/s. Paul Merchants Limited – Cancelled

September 29, 2009

The Reserve Bank of India has on September 14, 2009 cancelled the certificate of registration granted to M/s. Paul Merchants Limited having its registered office at G.F., 5-6-7-, W.T.C. Babar Road, Connaught Circus, New Delhi-110001 for carrying on the business of a non-banking financial institution as the company has voluntarily exited from the business of a non-banking financial institution. Following cancellation of the registration certificate the company 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.