The Reserve Bank of India (RBI) has taken control of Aviom India Housing Finance Pvt. Ltd, citing concerns over the company’s governance and its failure to meet payment obligations. The RBI, following recommendations from the National Housing Bank (NHB), appointed former Punjab National Bank executive Ram Kumar as the administrator to oversee the company's operations.

 

This move follows a notice from Aviom’s auditors in November, which flagged potential discrepancies in its accounts and highlighted concerns over possible fraud. The company also reported liquidity issues, which have led to delays in interest payments.

 

RBI’s action paves the way for initiating insolvency proceedings through the National Company Law Tribunal (NCLT), in line with guidelines that allow only regulators to refer financial companies to bankruptcy tribunals.