Net owned fund enhancement: raises NBFC capital thresholds and expands RBI powers over directors, auditors, boards, and resolution. Amendments raise the net owned fund requirement for non banking financial companies and permit the Reserve Bank to notify different thresholds for NBFC categories. The Bill grants the Reserve Bank power to remove directors (excluding Government companies) and to supersede boards on specified grounds, to take action against auditors for non compliance with RBI directions, to implement a statutory NBFC resolution framework, to exercise powers in respect of group companies, and to increase monetary penalties for contraventions.
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Net owned fund enhancement: raises NBFC capital thresholds and expands RBI powers over directors, auditors, boards, and resolution.
Amendments raise the net owned fund requirement for non banking financial companies and permit the Reserve Bank to notify different thresholds for NBFC categories. The Bill grants the Reserve Bank power to remove directors (excluding Government companies) and to supersede boards on specified grounds, to take action against auditors for non compliance with RBI directions, to implement a statutory NBFC resolution framework, to exercise powers in respect of group companies, and to increase monetary penalties for contraventions.
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