The Reserve Bank of India (RBI) has lifted business restrictions on two important parts of the Edelweiss Group: ECL Finance Ltd and Edelweiss Asset Reconstruction Company Limited. This change took effect immediately after the companies made improvements to fix earlier concerns raised by the RBI.
On May 29, 2024, the RBI imposed certain rules on these two companies because of issues it found. ECL Finance Ltd was told to stop doing complex transactions for its big loans, except for regular payments or closing accounts. At the same time, Edelweiss Asset Reconstruction Company Limited was not allowed to buy financial assets or reorganize existing agreements into different parts.
After these restrictions were placed, the companies worked hard with the RBI to address the problems. The RBI, after checking the changes and efforts made by the companies, was happy with their progress and their promise to follow the rules in the future.
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