Lucknow: In yet another jolt to the Sahara India Parivar, the Reserve Bank of India has cancelled the license of Sahara India Financial Corp. Ltd (SIFCL). According to officials, the action has been taken by the department of non-banking supervision of the RBI in Kanpur. The notice cancelling its license to conduction financial business has been sent to the Kapurthala headquarters of the Sahara Group.
The move comes in wake of alleged irregularities by Sahara, an official said. SIFCL was the flagship company of the Sahara India Parivar from which money was collected through small time subscribers and then routed to other wings such as media, real estate and others.
Under the new order, the Sahara India would be barred from any sort of financial transactions. RBI had in 2008 barred the company from taking any deposits from the people under its chit fund operations.
Many depositors had since then complained to RBI that they were not being paid back their money by Sahara, following which a probe was ordered by the bank. A report of the investigations was sent to RBI last month after which the penal action of cancelling the license of SIFCL was taken.
