RBI Steps In: Aviom India Housing Finance Board Superseded

The Reserve Bank of India has superseded the board of Aviom India Housing Finance due to governance issues and payment defaults. Ex-CGM of Punjab National Bank, Ram Kumar, is appointed as the Administrator. The RBI, following NHB's recommendation, plans to resolve the company under insolvency proceedings.

In a decisive move, the Reserve Bank of India (RBI) has superseded the board of Aviom India Housing Finance Pvt Ltd, addressing concerns over governance lapses and defaulted payments. The action underscores the central bank's commitment to financial stability.

Appointed to steer the resolution process is Ram Kumar, former Chief General Manager of Punjab National Bank, who will assume the role of Administrator for the New Delhi-based firm. This appointment comes on the heels of a recommendation from the National Housing Bank (NHB).

The RBI announced its intention to initiate insolvency proceedings under the 2019 Insolvency and Bankruptcy Rules, further planning to apply to the National Company Law Tribunal (NCLT) in New Delhi to officially designate Ram Kumar as the Insolvency Resolution Professional.

(With inputs from agencies.)