RBI cancels NBFC registrations of Star Finserv India and Polytex India due to irregular lending practices.

The Reserve Bank of India (RBI) has canceled the registration certificates of two Non-Banking Financial Companies (NBFCs), Star Finserv India and Polytex India, due to irregular lending practices. Star Finserv violated guidelines on outsourcing financial services and data confidentiality, while Polytex India outsourced core decision-making functions and charged high interest rates, violating the Fair Practice Code. Both companies are barred from conducting business as NBFCs.

July 08, 2024
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