Datta Finance and Trading’s Licence Cancelled by RBI due to Irregular Digital Lending Practices
Moneylife Digital Team 22 September 2025
Reserve Bank of India (RBI) has cancelled the certificate of registration (CoR) of Datta Finance and Trading Pvt Ltd, a Delhi-based non-banking financial company (NBFC), due to irregular lending practices, violating regulatory guidelines.
 
The cancellation, exercised under Section 45-IA (6) of the RBI Act, 1934, means the company can no longer carry out the business of a NBFC. 
 
Datta Finance and Trading, incorporated in March 2000, was operating through multiple digital platforms, including KinCash and DoLoan apps run by Zest Top One Technology Pvt Ltd and its own ZestCash app.
 
According to RBI, the company violated the code of conduct on outsourcing of financial services by delegating critical decision-making functions to third-party service providers. These functions included customer acquisition, due diligence, loan disbursement, servicing, recovery and even know-your-customer (KYC) verification all of which are considered core responsibilities of an NBFC.
 
The regulator observed that such practices compromise transparency, accountability and consumer protection in the fast-growing digital lending space. RBI has repeatedly emphasised that regulated entities must retain control over essential credit functions and cannot outsource activities that carry significant financial and reputational risks.
 
With the CoR cancellation, Datta Finance and Trading is now barred from carrying out lending or any other NBFC-related activity. This move underscores RBI’s continued crackdown on irregular digital lending practices and its commitment to protecting borrowers from potential exploitation through unregulated or improperly managed lending apps.
Comments
info.welcometimes
6 months ago
Customer ka Khoon choos raha tha yeh company.. Personal loan deta tha Property/Flat ka Document rakhke .1 Installment nahi diya toh Ghar pe kabza direct kar liya..CAR jabardasti utha kar le gaya .jan se marne ki Dhamki bhi diya..itna ghatiya nature . Owner Satyendra Updadhya and Nishant ne Bahut bekar mahaul bana rakha tha..iss ke name pe kabhi Licence na mile..hamari life kharab kar di Datta finance and Trading walon ne..marne ke kagar pe lakar khada kiya tha Dono ne
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