RBI supersedes Reliance Capital board citing defaults, to start insolvency process

The Reserve Bank of India (RBI) has superseded the board of Reliance Capital as the company defaulted on various payment obligations to its creditors and the company will go under the insolvency process soon.

The Reserve Bank of India has superseded the board of ailing Reliance Capital Limited (RCL) and plans to start the insolvency resolution process soon.

The RBI said in a press release that it has decided the action against RCL in view of defaults by the firm and serious governance concerns that have not been effectively addressed by the board of directors of the firm. It may be noted that the firm has defaulted on multiple repayment obligations to its creditors.