ARCs told to submit applications by Mar 20

The Reserve Bank of India has set a deadline of March 20, 2003, for securitisation or asset reconstruction companies to submit their registration applications and said such entities should have a minimum owned fund of Rs 2 crore (Rs 20 million).

These entities would be required to apply to RBI for registration under Section 3 of the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002, RBI said in a release on Friday.

The apex bank said owned funds would mean aggregate of paid up equity capital, paid up preference capital to the extent it is compulsorily convertible into equity capital and free reserves other than revaluation reserves and credit balance in profit and loss account as reduced by accumulated balance of loss among other things.