Document Title: RBI imposes monetary penalty on Repco Home Finance Limited
Issuing Authority: Reserve Bank of India
Reference: Press Release 2026-2027/446
Date: 12 June 2026
Regulatory and Policy Measures
The Reserve Bank of India, by an order dated 5 June 2026, imposed a monetary penalty of ₹70,000 (Rupees Seventy thousand only) on Repco Home Finance Limited for non‑compliance with RBI directions on the Fair Practice Code. The statutory inspection was carried out by the National Housing Bank, referencing the company's financial position as of 31 March 2025. Following supervisory findings of non‑compliance, a show‑cause notice was issued to the company, which responded in writing and through oral submissions during a personal hearing. RBI sustained the charge that the company failed to disclose the approach for gradation of risk and the rationale for charging different rates of interest to different borrower categories in its application forms and sanction letters. The penalty is imposed under the powers conferred by section 52A of the National Housing Bank Act, 1987, and is without prejudice to any further action RBI may initiate. The RBI clarified that this action addresses regulatory compliance deficiencies and does not comment on the validity of any transactions or agreements between the company and its customers.
The press release, numbered 2026-2027/446, is signed by the Chief General Manager, Brij Raj.
In conclusion, the RBI has exercised its supervisory authority to enforce fair‑practice disclosures in housing finance, levying a modest monetary penalty while reserving the right to pursue additional measures if required.