RBI rejected the application of these two companies, they had applied to open a small finance bank
It has been said that the investigation of only Regional Rural Financial Services and Tally Solutions Private Limited has been completed. Keeping all the standards in mind, these applications have been rejected. While the remaining applications are being examined. In July last year, the RBI rejected the applications of Akhil Kumar Gupta Cosmia Financial Holdings Private Limited and West End Housing Finance Limited.
Two companies' applications have been turned down by the Reserve Bank of India. Two companies, Dwar Kshetriya Gramin Financial Services Pvt Ltd and Tally Solution Pvt Ltd, submitted applications to establish small bank financing. These, however, were turned down because they didn't match the RBI requirements.
The RBI had previously turned down three applications in July 2023. About twelve applications had been submitted to RBI to establish banks by the Small Finance Banks (SFBs) and Universal Banks On Tap Licencing Guidelines. The RBI said in a statement on Friday that it has finished reviewing two more applications to establish small finance banks by the current regulations.
It has been said that the investigation of only Regional Rural Financial Services and Tally Solutions Private Limited has been completed. Keeping all the standards in mind, these applications have been rejected. While the remaining applications are being examined. In July last year, the RBI rejected the applications of Akhil Kumar Gupta Cosmia Financial Holdings Pvt Ltd and West End Housing Finance Ltd.
As per RBI rules, the minimum paid-up equity capital for a universal bank should be Rs 500 crore. Apart from this, the bank should have a minimum net worth of Rs 500 crore at all times. The minimum paid-up voting capital/net worth for SFB should be Rs 200 crore.
