No permission granted to Albaraka says Reserve Bank
The Reserve Bank of India rejected the application of Albaraka financial service for Islamic Banking because of incomplete documents submitted. RBI informed this matter to High Court of Kerala. RBI will grand permission to Albaraka financial service, if they resubmit their application after clearing all mistakes. The functioning nature of this institution will be analysed in detail before grading licence.
State Government already gave sanction for this firm and RBI questioned the basis of this approval.
The Albaraka director told that their functionality is legal.Janata Party leader Subramanian Swami told that a financial institution outside the control of Reserve Bank norms is not good for the country
