Document title: RBI imposes monetary penalty on Utsav Securities Limited
Issuing authority: Reserve Bank of India
Reference: Press Release 2026-2027/839
Date: 07 August 2026
Regulatory and Policy Measures
The Reserve Bank of India, exercising powers under sections 58(G)(1)(b) and 58(B)(5)(aa) of the RBI Act 1934 and sections 25(1)(iii) and 23(4) of the Credit Information Companies (Regulation) Act 2005, imposed a monetary penalty of ₹3.90 lakh on Utsav Securities Limited. The penalty stems from non‑compliance with RBI directions on governance and the submission of data to Credit Information Companies (CICs). A statutory inspection of the company’s financial position as of 31 March 2025 was conducted, followed by a show‑cause notice. After reviewing the company’s response, RBI sustained two charges: key management personnel held offices in other NBFCs (middle‑layer) and the company failed to submit credit information for certain loan accounts to CICs. RBI clarified that the penalty does not prejudice any other regulatory action that may be taken and does not comment on the validity of any customer transactions.
The RBI’s action underscores its focus on strict adherence to governance standards and timely reporting to credit bureaus, signalling continued supervisory vigilance over non‑bank financial entities.