RBI Action: Fine Imposed on JM Financial and Experian for Regulatory Violations

The Reserve Bank of India (RBI) has taken strict action against JM Financial Products Limited and Experian Credit Information Company of India for non-compliance with regulatory guidelines. The penalties were imposed due to violations of provisions under the Credit Information Companies (Regulation) Act, 2005 and the Credit Information Companies Rules, 2006.

Fines Imposed by RBI

🔹 JM Financial Products Limited – Fined ₹3.1 lakh for non-compliance with directives related to Non-Banking Financial Companies (NBFCs) that are systemically important and accept deposits.

🔹 Experian Credit Information Company of India Pvt. Ltd. – Fined ₹2 lakh for violating provisions of the Credit Information Companies (Regulation) Act, 2005 and associated rules.

📌 RBI’s Clarification: The central bank stated that the penalties were imposed due to regulatory deficiencies and do not impact the validity of any transactions or agreements between these companies and their customers.

New ₹100 and ₹200 Banknotes to be Issued

The RBI has announced that it will soon issue ₹100 and ₹200 banknotes featuring the signature of Governor Sanjay Malhotra. These new notes will have the same design as the existing ₹100 and ₹200 notes from the Mahatma Gandhi (New) Series.

✅ Important Note: All previously issued ₹100 and ₹200 banknotes will continue to be legal tender and remain valid for transactions.

RBI’s Focus on Digital Payments & UPI Expansion

RBI Governor Sanjay Malhotra, who took charge in December 2024, has emphasized the central bank’s commitment to:

💡 Encouraging innovation in payment systems while maintaining regulatory security.
🌍 Expanding UPI (Unified Payment Interface) for efficient cross-border payments.
📱 Promoting digital transactions through collaboration with banks, fintech firms, and payment system operators.

These steps are aimed at making India’s financial ecosystem more secure, efficient, and globally integrated.

Conclusion

RBI’s recent actions reflect its strict oversight on financial compliance while continuing to foster technological advancements in banking and payments. Companies must ensure they adhere to regulatory norms to avoid penalties, while customers can expect seamless digital transactions and updated currency notes in the near future.