Why does the change of control/ownership/management occur in NBFC? It is observed that for many reasons there are possibilities that existing NBFC may desire to undergo a change of management or change of control or change of shares (ownership) held by the shareholders of the NBFC etc. Generally, this happens when the existing shareholders want to discontinue the NBFC business and want to transfer their shares to new entrants desiring to carry on the NBFC business. Since the NBFC is regulated by the RBI, now it is mandatory to obtain prior approval of the RBI for undertaking such a change in NBFC. The RBI guidelines for such change of control/ownership/management The previous guidelines of the RBI for a change of control and management were relatively easier to follow and simple to undertake. Thus in any case of a change in management of NBFC , the guidelines were like 1. The transferor and transferee have to give a jointly signed public notice in leadin...