The Lucknow Bench of the Allahabad High Court on Thursday stayed the RBI's order banning Sahara India Financial Corporation Ltd from accepting fresh deposits.
On Wednesday evening, the regulator, to "protect the interests of depositors and in public interest", had barred Sahara from raising fresh deposits and renewing the maturity of funds it had already mopped up from 42.5 million depositors.
RBI had said that the violations related to maintenance of directed investments, payment of minimum interest rate, asset-liability management guidelines and know-your-customer (KYC) norms stipulated for opening of deposit accounts and the details on the agents of the company deployed for deposit mobilisation.
