**Executive Summary**
The Reserve Bank of India (RBI) has imposed a monetary penalty of ₹3.10 lakh on Mannakrishna Investments Private Limited due to 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. This penalty is effective as of November 28, 2025.
**Key Points / Main Content**
* **Penalty Imposition:**
* A monetary penalty of ₹3.10 lakh has been imposed on Mannakrishna Investments Private Limited.
* The penalty is for non-compliance with specific governance provisions.
* **Regulatory Basis:**
* The penalty is based on the 'Master Direction - Reserve Bank of India (Non-Banking Financial Company - Scale Based Regulation) Directions, 2023'.
* RBI is exercising powers under Section 58G and Section 58B of the Reserve Bank of India Act, 1934.
* **Violation Details:**
* The company failed to obtain prior written permission from the RBI when appointing a director, leading to a change in management exceeding 30% of directors, excluding independent directors.
* **Inspection and Notice:**
* RBI conducted a statutory inspection of the company’s financial position as of March 31, 2024.
* A show-cause notice was issued to the company regarding non-compliance.
* RBI considered the company's reply and oral submissions.
* **General Information**
* The action is based on deficiencies in regulatory compliance.
* The penalty is not intended to impact the validity of transactions with customers.
* The penalty is without prejudice to other actions RBI may take.
**Impact Analysis**
**Mannakrishna Investments Private Limited**
* **Impact:** Financial loss due to penalty and potential reputational damage.
* **Action Required:** Pay the penalty and address the regulatory compliance deficiencies to prevent future penalties and other potential actions from RBI.
Key Entities Referenced
Reserve Bank of India (RBI): The regulator imposing the monetary penalty and issuer of the referenced directions.
Master Direction - Reserve Bank of India (Non-Banking Financial Company - Scale Based Regulation) Directions, 2023: Directions issued by RBI, related to 'Governance Issues'.
Mannakrishna Investments Private Limited: The company on which the monetary penalty is imposed.
Section 58B of the Reserve Bank of India Act, 1934: Section of the Reserve Bank of India Act under which the penalty is imposed.
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भारतीय ररज़र्व बैंक
RESERVE BANK OF INDIA
वेबसाइट
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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