Notification under Section 45-NC of the RBI Act, 1934
Notification No. DoR. FIN. REC. 95 /CGM (JPS)-2022.—In exercise of its powers conferred under Section 45-NC of the Reserve Bank of India Act, 1934 (2 of 1934), the Reserve Bank of India, on being satisfied that it is necessary so to do, hereby makes the following amendment in the notification No. DNBS.138/CGM (VSNM)-2000 dated January 13, 2000 with immediate effect, namely, –
Paragraph 1 of the said notification, shall be substituted by the following:
(1) Sections 45IA, 45IB and 45IC of the Reserve Bank of India Act, 1934 (2 of 1934) shall not apply to any non-banking financial company
(i) which is
(a) providing only microfinance loans as defined under the Reserve Bank of India (Regulatory Framework for Microfinance Loans) Directions, 2022, provided the monthly loan obligations of a household does not exceed 50 per cent of the monthly household income; and
(b) licensed under Section 25 of the Companies Act, 1956 or Section 8 of the Companies Act, 2013; and
(c) not accepting public deposits as defined under the Non-Banking Financial Companies Acceptance of Public Deposits (Reserve Bank) Directions, 2016; and
(d) having asset size of less than ₹100 crore.
(ii) being a mutual benefit company as defined in paragraph 3(x) of the Non-Banking Financial Companies Acceptance of Public Deposits (Reserve Bank) Directions, 2016.
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