**Executive Summary**
The Reserve Bank of India (RBI) has imposed a monetary penalty of ₹3.10 lakh on Mannakrishna Investments Private Limited for non-compliance with specific provisions of the 'Master Direction – Reserve Bank of India (Non-Banking Financial Company – Scale Based Regulation) Directions, 2023' related to 'Governance Issues'. The order was issued on November 25, 2025, following a statutory inspection of the company's financial position as of March 31, 2024. The press release is dated November 28, 2025.
**Key Points / Main Content**
* **Monetary Penalty:**
* RBI imposed a penalty of ₹3.10 lakh on Mannakrishna Investments Private Limited.
* The penalty is for non-compliance with regulatory directions related to governance.
* **Regulatory Basis:**
* The penalty is based on 'Master Direction – Reserve Bank of India (Non-Banking Financial Company – Scale Based Regulation) Directions, 2023'.
* Powers exercised under Section 58G read with Section 58B of the Reserve Bank of India Act, 1934.
* **Non-Compliance:**
* The company failed to obtain prior written permission from RBI when appointing a director resulting in a change in management.
* **Inspection and Notice:**
* The statutory inspection was conducted on the company's financial position as of March 31, 2024.
* A notice was issued, giving the company an opportunity to explain why a penalty should not be imposed.
* **Scope of Action:**
* The action is based on deficiencies in regulatory compliance.
* The penalty does not affect the validity of the company's transactions with its customers.
* RBI retains the right to initiate further action against the company.
**Impact Analysis**
**Mannakrishna Investments Private Limited**
* **Impact:**
* The company is subjected to a monetary penalty of ₹3.10 lakh due to regulatory non-compliance.
* The company’s reputation may be affected due to the public announcement of the penalty.
* **Action Required:**
* The company must pay the monetary penalty.
* The company must ensure adherence to RBI's 'Master Direction – Reserve Bank of India (Non-Banking Financial Company – Scale Based Regulation) Directions, 2023' directions to prevent future penalties, especially regarding director appointments.
**RBI**
* **Impact:**
* The RBI demonstrates its commitment to enforcing regulatory compliance within the financial sector.
* **Action Required:**
* RBI should continue to monitor Mannakrishna Investments Private Limited to ensure compliance.
Key Entities Referenced
Reserve Bank of India (RBI): The regulator that imposed the monetary penalty.
Master Direction - Reserve Bank of India (Non-Banking Financial Company - Scale Based Regulation) Directions, 2023: The directions which Mannakrishna Investments Private Limited did not comply with.
Mannakrishna Investments Private Limited: The company on which the monetary penalty was imposed.
Reserve Bank of India Act, 1934: Act which allows RBI to impose penalties.
प्रेस प्रकाशनी PRESS RELEASE
भारतीय ररज़र्व बैंक
RESERVE BANK OF INDIA
वेबसाइट
:
www.rbi.org.in/hindi
संचार वर्भाग, केंद्रीय कायाालय, शहीद भगत ससिंह मागा, फोटा, म िंबई - 400 001
Website : www.rbi.org.in Department of Communication, Central Office, Shahid Bhagat Singh Marg, Fort,
ई-मेल/email : helpdoc@rbi.org.in Mumbai - 400 001 फोन/Phone: 022 - 2266 0502
November 28, 2025
RBI imposes monetary penalty on Mannakrishna Investments Private Limited
The Reserve Bank of India (RBI) has, by an order dated November 25, 2025,
imposed a monetary penalty of ₹3.10 lakh (Rupees Three lakh ten thousand only) on
Mannakrishna Investments Private Limited (the company) for non-compliance with
certain provisions of the ‘Master Direction – Reserve Bank of India (Non-Banking
Financial Company - Scale Based Regulation) Directions, 2023’ issued by RBI, relating
to ‘Governance Issues’. This penalty has been imposed in exercise of powers
conferred on RBI under clause (b) of sub-section (1) of Section 58G read with clause
(aa) of sub-section (5) of Section 58B of the Reserve Bank of India Act, 1934.
The statutory inspection of the company was conducted by RBI with reference to
its financial position as on March 31, 2024. Based on the supervisory findings of non-
compliance with RBI directions and related correspondence in that regard, a notice
was issued to the company advising it to show cause as to why penalty should not be
imposed on it for failure to comply with the said directions.
After considering the company’s reply to the notice and oral submissions made
during the personal hearing, RBI found, inter alia, that the following charge against the
company was sustained, warranting imposition of monetary penalty:
The company had failed to take prior written permission of the RBI while appointing
a director resulting in change in management on account of change in more than 30
per cent of its directors, excluding independent directors.
This action is based on deficiencies in regulatory compliance and is not intended to
pronounce upon the validity of any transaction or agreement entered into by the
company with its customers. Further, imposition of this monetary penalty is without
prejudice to any other action that may be initiated by RBI against the company.
(Brij Raj)
Press Release: 2025-2026/1586 Chief General Manager