Document title: RBI imposes monetary penalty on PAN Emami Cosmed Limited
Issuing authority: Reserve Bank of India
Reference number: Press Release: 2026-2027/700
Date: July 17, 2026
Banking and Credit
The Reserve Bank of India conducted a statutory inspection of PAN Emami Cosmed Limited’s financial position as of March 31, 2025. The inspection revealed that the company breached the prescribed regulatory limit for credit exposure to a single group of parties, violating the RBI’s ‘Credit / investment concentration Norms’.
Regulatory and Policy Measures
Pursuant to powers conferred under Section 58G(1)(b) read with Section 58B(5)(aa) of the Reserve Bank of India Act, 1934, RBI issued a show‑cause notice to the company asking it to explain why a penalty should not be imposed. After considering the company’s written reply and oral submissions made during a personal hearing, RBI sustained the charge of non‑compliance and imposed a monetary penalty of ₹3.10 lakh (Rupees Three lakh ten thousand only). The penalty is imposed without prejudice to any other action that RBI may initiate against the company.
The order was signed by the Chief General Manager, Brij Raj.
In conclusion, RBI’s action underscores strict enforcement of credit concentration norms, penalising PAN Emami Cosmed Limited for exceeding exposure limits and signalling that further regulatory measures may follow if compliance is not achieved.