RBI Lifts Business Restrictions On Edelweiss Group Entities

The Reserve Bank of India (RBI) has lifted business restrictions on ECL Finance Limited and Edelweiss Asset Reconstruction Company Limited, two key entities of the Edelweiss Group.

The restrictions were imposed on May 29, 2024, under the RBI Act, 1934, and the SARFAESI Act, 2002, due to supervisory concerns. ECL Finance was barred from structured wholesale transactions, while Edelweiss ARC was restricted from acquiring or reorganising financial assets. After implementing remedial measures to address these issues, both entities engaged with the RBI to demonstrate compliance with regulatory guidelines. The central bank, satisfied with its efforts, lifted the restrictions with immediate effect, signalling confidence in the entities’ adherence to ongoing regulatory standards.