The Reserve Bank of India (RBI) has imposed a penalty of Rs 6.2 lakh on Hinduja Leyland Finance for regulatory violations related to microfinance loan pricing and securitisation of assets.
According to the RBI, the company did not have a board-approved policy governing the pricing of its microfinance loans. The regulator also found that the company had undertaken activities that amounted to synthetic securitisation.
The penalty follows an RBI inspection of the company’s books as of March 31, 2025. The central bank said the action was taken after considering the company’s response to its notice and submissions made during a subsequent hearing.
The RBI said the penalty relates to regulatory compliance deficiencies and does not, by itself, invalidate any transactions or agreements entered into by the company.
First Published: Sep 04 2026 | 9:54 PM IST
