Fintech Compliance Chronicles

India's Reserve Bank Cracks Down on 150 Nonbank Lenders

On May 14 the Reserve Bank of India cancelled the certificates of registration for 150 non‑banking financial companies, most of them located in West Bengal and New Delhi. The move, exercised under Section 45‑IA(6), follows a recent Financial Intelligence Unit list that flagged many of these firms for AML/CFT lapses. It represents the biggest batch of NBFC cancellations in the past five years, signaling a systematic cleanup of inactive or non‑compliant legacy lenders. Major fintech platforms remain untouched, but the RBI is tightening oversight of smaller players.