February 18, 2016
The Reserve Bank of India on Thursday increased the threshold for reporting of frauds and submission of quarterly progress reports on frauds, by non-banking finance companies (NBFCs) to the Central Fraud Monitoring Cell, from ₹25 lakh as on date to ₹1 crore with immediate effect.
As regards reporting and submission of quarterly progress reports below the revised threshold, NBFCs will have to furnish the same to the Regional Office of the RBI, Department of Non-Banking Supervision, under whose jurisdiction the Registered Office of the NBFC falls.
The RBI directive on frauds applies to all deposit-taking NBFCs (including Residuary Non-Banking Companies) and non-deposit taking NBFCs that are systemically important.