RBI/2015-16/327
DNBR (PD) CC.No.075/03.10.001/2015-16

Date : February 18, 2016

All Deposit taking NBFCs (including RNBCs) and
NBFCs- ND-SI

Madam/ Sir,

Frauds – Future approach towards monitoring of frauds in NBFCs

Please refer to circulars DNBS.PD.CC.No.127/ 03.10.42/2008-09 dated August 14, 2008, DNBS.PD.CC.No.256/03.10.042/2011-12 dated March 02, 2012 and DNBS.PD.CC.No.314/03.10.042/2012-13 dated December 13, 2012 on the captioned subject. It has been decided to revise the threshold for reporting of frauds and submission of quarterly progress reports on frauds to Central Fraud Monitoring Cell, Reserve Bank of India, Department of Banking Supervision, from ₹ 25 lakh as on date to ₹ 1 crore with immediate effect.

2. As regard reporting of frauds and submission of quarterly progress reports on frauds below the revised threshold, NBFCs will have to furnish the same to the Regional Office of Reserve Bank of India, Department of Non-Banking Supervision under whose jurisdiction the Registered Office of the NBFC falls.

3. All other instructions contained in the above mentioned circulars continue to remain in effect.

Yours faithfully

(C.D. Srinivasan)
Chief General Manager

More Under Fema / RBI

Posted Under

Category : Fema / RBI (3504)
Type : Circulars (7809) Notifications/Circulars (32203)
Tags : RBI Notifications (1977)

One response to “Frauds – Future approach towards monitoring of frauds in NBFCs”

  1. CA. M. Lakshmanan says:

    Whether increasing the limit from Rs. 25 Lakhs to Rs. 1 crore means the instances have increased?

    Whether any data available regarding number of such frauds reported and detected/not detected?

    If the nature of frauds committed are made public the people who are interested such as depositors, share holders etc., can be cautious while dealing with such NBFCs. Whether increasing the limit from Rs. 25 Lakhs to Rs. 1 crore means the instances have increased?

    Whether any data available regarding number of such frauds reported and detected/not detected?

    If the nature of frauds committed are made public the people who are interested such as depositors, share holders etc., can be cautious while dealing with such NBFCs.

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