Section 45IA(3) in The Reserve Bank of India Act, 1934
(3)Notwithstanding anything contained in sub-section (1), a non-banking financial company in existence on the commencement of the Reserve Bank of India (Amendment) Act, 1997 and having a net owned fund of less than twenty-five lakh rupees may, for the purpose of enabling such company to fulfil the requirement of the net owned fund, continue to carry on the business of a non-banking financial institution—(i)for a period of there years from such commencement; or(ii)for such further period as the Bank may, after recording the reasons in writing for so doing, extend,subject to the condition that such company shall, within three months of fulfilling the requirement of the net owned fund, inform the Bank about such fulfilment:Provided that the period allowed to continue business under this sub-section shall in no case exceed six years in the aggregate.
