The Reserve Bank of India (RBI) has rejected six applications for formation of banks. Among them are applications related to the establishment of small finance banks. The Reserve Bank said that these applications have been rejected after being found not suitable.
The central bank said, “The process of scrutiny of these applications has been completed as per the prescribed norms. During this it was found that these applications are not fit for in-principle approval for setting up of banks.
The applications found inappropriate in the bank category were from UAE Exchange & Financial Services Limited, Repatriates Cooperative Finance & Development Bank Limited, Chaitanya India Fin Credit Private Limited and Pankaj Vaish et al. At the same time, applications of VSoft Technologies Pvt Ltd and Calicut City Service Cooperative Bank Ltd have been found inappropriate in the Small Finance Banks category.
11 applications were received: Let us tell you that a total of 11 applications were received by RBI under the Banks and Small Finance Banks category. Thus five applications still remain a part of the licensing process. The central bank said that the remaining applications are still being scrutinized.
The remaining applications pertain to the setting up of small finance banks. These applications have been made by West End Housing Finance Limited, Akhil Kumar Gupta, Regional Rural Finance Services Private Limited, Cosmi Financial Holdings Private Limited and Tele Solutions Private Limited.
