RBI Cancels CoR of Datta Finance and Trading Pvt Ltd for Irregular Lending Practices.

On 22 September 2025, the Reserve Bank of India (RBI) cancelled the Certification of Registration (CoR) of Datta Finance and Trading Private Limited, a Non-Banking Financial Company (NBFC), following violations in its digital lending operations. Post-cancellation, the company is no longer permitted to carry on NBFC business.

      - The CoR was cancelled as the company violated RBI guidelines regarding the code of conduct in outsourcing financial services, particularly in its digital lending activities.

      - The violations affected several aspects of operations, including sourcing of customers, due diligence, loan disbursement, servicing, and recovery, leading to non-compliance with standard NBFC practices.

      - The irregular lending processes also disrupted Know Your Customer (KYC) verification, creating regulatory and operational challenges in providing financial services.

Main Point :-   The company’s digital lending operations relied on apps including KinCash app, DoLoan app (Zest Top One Technology Pvt Ltd), and ZestCash app (company’s in-house app), which were implicated in the irregularities.

About RBI