RBI imposes Rs 3.10 lakh fine on Maanaveeya Development & Finance Pvt Ltd

The Reserve Bank of India (RBI) has imposed a monetary penalty of ₹3.10 lakh on Maanaveeya Development & Finance Private Limited for non-compliance with regulatory directions related to governance. The penalty was imposed under Section 58G(1)(b) read with Section 58B(5)(aa) of the Reserve Bank of India Act, 1934. 

Issue Related to Appointment of Director 

The RBI action against Maanaveeya follows correspondence regarding the company’s intimation of the appointment of a director. RBI said the communication revealed non-compliance with its directions. Accordingly, the Reserve Bank of India issued a notice to Maanaveeya asking it to explain why a penalty should not be imposed for failing to comply with the relevant regulatory directions. 

After reviewing the company’s written response and oral submissions made during a personal hearing, RBI found that the charge against them sustained. The official release reflected that the company had appointed a director without obtaining prior written permission from RBI. This resulted in a change in management due to more than 30 percent of its directors being replaced, excluding independent directors. 

Source: RBI