Document title: RBI imposes monetary penalty on KLM Axiva Finvest Limited
Issuing authority: Reserve Bank of India
Reference number: Press Release 2026-2027/1181
Date: 24 September 2026
Regulatory and Policy Measures
The Reserve Bank of India, exercising powers under Section 58‑G(1)(b) read with Section 58‑B(5)(aa) of the RBI Act, 1934, issued an order dated 22 September 2026 imposing a monetary penalty of ₹2.70 lakh on KLM Axiva Finvest Limited for non‑compliance with RBI directions on the auction procedure. The statutory inspection that formed the basis of the order examined the company’s financial position as on 31 March 2025. The RBI’s supervisory findings indicated that the company failed to remit the surplus amount realised from the auction of pledged gold articles, exceeding the outstanding loan, to the respective borrowers. A notice was served on the company requiring it to show cause why the penalty should not be imposed. After considering the company’s written reply, additional submissions and oral arguments presented at a personal hearing, the RBI sustained the charge and imposed the penalty. The penalty is imposed without prejudice to any further action the RBI may initiate against the company. The press release is signed by the Chief General Manager, Brij Raj.