Regulatory and policy measures
The Reserve Bank of India, by an order dated 5 June 2026, imposed a monetary penalty of ₹3.90 lakh (Rupees Three Lakh Ninety Thousand only) on IIFL Samasta Finance Limited for non‑compliance with the Reserve Bank of India (Know Your Customer) Directions and the Reserve Bank of India (Fraud Risk Management in NBFCs) Directions. The penalty is exercised under section 58G(1)(b) read with section 58B(5)(aa) of the RBI Act, 1934.
A statutory inspection of the company’s financial position as on 31 March 2025 was conducted. Following supervisory findings of non‑compliance, a notice was issued to the company asking it to show cause why a penalty should not be imposed. After considering the company’s written reply and oral submissions made during a personal hearing, the RBI sustained two charges: (i) failure to put in place a robust software system for effective identification and reporting of suspicious transactions; and (ii) failure to disclose correct details of frauds reported for the financial year 2024‑25 in the Financial Statement – Notes to Accounts.
The RBI clarified that this action is based solely on deficiencies in regulatory compliance and is not intended to pronounce upon the validity of any transaction or agreement entered into by the company with its customers. The imposition of the monetary penalty is without prejudice to any other action that may be initiated by the RBI against the company.
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