Archive · 11 Sep 2026
RBI Imposes Rs 27.30 Lakh Penalty on ACRE Over Fees
The Reserve Bank of India, or RBI, fined a company called Asset Care & Reconstruction Enterprise Limited.
The fine is Rs 27.30 lakh.
The RBI said the company did not follow certain rules about recognizing income and charging management fees.
The regulator inspected the company using information from March 31, 2025.
It then sent the company a notice asking for an explanation.
The company gave written responses and spoke at a personal hearing.
After reviewing these submissions, the RBI said the management-fee violation was established.
The RBI also said it could take more action later if needed.
The Reserve Bank of India imposed a Rs 27.30 lakh penalty on Asset Care & Reconstruction Enterprise Limited.
The penalty concerns non-compliance with regulatory directions on income recognition and management fees.
The RBI’s statutory inspection examined ACRE’s financial position as of March 31, 2025.
The penalty order was issued on September 8, 2026, under the SARFAESI Act, 2002.
The RBI said the action addresses regulatory deficiencies and does not determine the validity of ACRE’s customer transactions or agreements.
- Who
- The Reserve Bank of India imposed the penalty on Asset Care & Reconstruction Enterprise Limited, an asset reconstruction company.
- What
- A monetary penalty of Rs 27.30 lakh was imposed for non-compliance with regulatory directions concerning income recognition and management fees.
- When
- The penalty order was dated September 8, 2026; the inspection referred to ACRE’s financial position as of March 31, 2025.
- Where
- The report identifies Mumbai as the location and concerns an action by the Reserve Bank of India.
- Why
- The RBI said its examination established that ACRE had not complied with regulatory requirements related to management fees.
- Penalty
- Rs 27.30 lakh
- Penalized entity
- Asset Care & Reconstruction Enterprise Limited
- Regulator
- Reserve Bank of India
- Order date
- September 8, 2026
- Inspection reference date
- March 31, 2025
- Legal basis
- Sections 12 and 30A(1) of the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002
- Regulatory issue
- Non-compliance involving income recognition and management fees