RBI bans DHFL from taking deposits from customers, revokes status

RBI has banned DHFL from taking any loans, the deposit-taking status of the bankrupt Dewan Housing Finance (DHFL) has been revoked ahead of a final nod to Piramal Group for takeover. 

DHFL is the first financial firm to go bankrupt and the NCLT's Mumbai bench has ordered a take over by Piramal Capital & Housing Finance for Rs 35,250 cr leading to a hit of over 65% for lenders. The order also specifies that DHFL is no longer is a deposit taking NBFC but a non-deposit taking one.

More than 55,000 retail and institutional investors hold Rs 5,375 crore worth of fixed deposits in DHFL.