What is CERSAI

• Full Form : Central Registry of Securitisation Asset Reconstruction and Security

interest of India
• CERSAI was formed to identify and check fraudulent activity in lending
transactions against equitable mortgages.
• In other words, the CRESAI was established to discourage and prevent the
practice of taking out various loans from several banks using the same asset or
property.
• Major shareholders of the CERSAI are the Central Government of India, National
Housing Bank and public sector banks, out of which the central government
incidentally holds a 51% share in the company. Before the setting up of Central
Registry of Securitisation Asset Reconstruction and Security Interest of India
(CERSAI), a property’s encumbrance details rested solely with the borrower and
the lender
In CERSAI how to upload KYC records with central KYC
records registry
• Uploading of the existing clients' KYC details with Central KYC Records
• Registry (CKYCR) System by the registered intermediaries
• This has reference to SEBI circular no. CIR/MIRSD/66/2016dated July, 2016 on
operationalisation of Central KYC Records Registry (CKYCR)where in the registered
intermediaries were directed to upload the KYC data with CKYCR, in respect of all
individual accounts opened on or after August 01, 2016
• Mutual funds and Intermediaries other than mutual funds may follow the following time
lines in respect of uploading KYC data of the existing individual clients with CKYCR.
• Mutual funds may ensure 30% completion of uploading of existing KYC data by
November 30, 2016, another 30% of KYC data by January 31, 2017 and the rest 40% data
by March 31, 2017
• Intermediaries other than mutual funds may ensure 50% completion of uploading of
existing KYC data by November 30, 2016 and the remaining 50% of KYC data by
December 31, 2016.
 What is DSA & DMA?
The European Commission proposed two legislative initiatives: the Digital Services
Act (DSA) and the Digital Markets Act (DMA). The DSA and DMA have two main
goals: to create a safer digital space in which the fundamental rights of all users of
digital services are protected.
 What is the code of conduct or Responsibilities of Direct Sales Agents
(DSA)/ Direct Marketing Agents (DMA)/ Recovery Agents
1. NBFCs shall ensure that the DSA/ DMA/ Recovery Agents are properly trained to
handle their responsibilities with care and sensitivity, particularly aspects such as
soliciting customers, hours of calling, privacy of customer information and conveying
the correct terms and conditions of the products on offer, etc.
2. NBFCs shall put in place a board approved Code of conduct for DSA/ DMA/
Recovery Agents, and obtain their undertaking to abide by the code. In addition,
Recovery Agents shall adhere to extant instructions on Fair Practices Code for NBFCs
as also their own code for collection of dues and repossession of security. It is
essential that the Recovery Agents refrain from action that could damage the integrity
and reputation of the NBFC and that they observe strict customer confidentiality.
3. The NBFC and their agents shall not resort to intimidation or harassment of any kind,
either verbal or physical, against any person in their debt collection efforts, including
acts intended to humiliate publicly or intrude the privacy of the debtors' family
members, referees and friends, making threatening and anonymous calls or making
false and misleading representations.
 What are the guidelines we need to follow as a NBFC?
1.They cannot receive deposits which are payable on demand.
2.The public Deposits which the company can take should be for a minimum time period of 12
months and a maximum time period of 60 months.
3.The interest charged by the Company cannot be more than the ceiling prescribed by the
Reserve Bank of India from time to time.
4.The repayment of any amount so taken by the Company will not be guaranteed by the
Reserve Bank of India.
5.All the information about the company as well as any change in the composition of the
Company has to be furnished to the Reserve Bank of India.
6.The deposits taken by the Public will be unsecured.
7.The Company has to submit its audited balance sheet every year.
8.A statutory return on the deposits taken by the company has to be furnished in the form NBS
– 1 every year.
9.A Quarterly Return on the liquid assets of the company has to be furnished.
10.A certificate from the auditors had to be taken stating that the company is in a
position to pay back all the deposits or money taken from the Public.
11.A half-yearly Asset Liability Management (ALM) return has to be given by the
company which has a Public Deposit of Rs. 20 Crore and above or has assets worth Rs.
100 Crore and above.
12.The credit rating has to be taken every 6 months and submitted to the RBI.
13.A minimum level of 15% of the Public Deposits has to be maintained by the
Company in Liquid Asset
 What is IU portal? and how to upload debt
information
IU portal:
Information Utilities(IU) are entities which are registered with IBBI under Section 210
of Insolvency and Bankruptcy Code (IBC) as per the eligibility criteria, act as data
repositories of financial information which receive, authenticate, maintain and deliver
financial information pertaining to a debtor with a view to 
Procedure for submission of financial information to the IU
The IU Regulations, provides for the registration of users with the IU for
1.submitting information to; or
2. accessing information stored with any of the information utilities.
Before submitting the financial information, the person/entity has to enroll itself as a
“User” with the IU.
By declaring its identity and producing the identity documents like- Aadhaar, PAN, CIN
etc.
NeSL(National e-Governance Services Ltd) would be verifying the identity and only thereafter,
User Registration will be done and User Id informed, by e-mail.
For Institutions like- Banks/FIs, a Super User would be created with a facility to create sub-users.
Details would be communicated to individual banks/FIs.
A person registered once with an IU shall not register itself with any other IU again.
As per Section 3 (23), the word “Person” includes- an individual, a Hindu Undivided Family, a
Company, a Trust, a Partnership, a Limited Liability Partnership; and any other entity established
under a statute and includes a person resident outside India.

Format for submitting the financial information to an IU

The financial creditor is required to submit the financial information and shall expeditiously update
such information as submitted.
The required financial information shall be submitted in the Form-Cas prescribed under IU
regulations as Part IX of the IU regulations.
The form contains details regarding the creation of debt, which includes the details of the user
submitting information, details of the other parties to debt (debtor/creditor/debenture
trustee/guarantor), details regarding the creation of the security interest and details regarding the
default of the debt.
 What is NBS9 return?and how to file that return?
Return on Financial Indicators by NBFCs with asset size below ₹ 100 crore to capture
profile information and financial details, viz. components of Assets and Liabilities,
Profit and Loss account, Branch Information etc
How to file that return?
• All Non Banking Financing Companies must have to file its returns with RBI
according to its business size and asset size. For NBFC’s who’s asset size is below
Rs.100crore have to file Form NBS-9.Every NBFC will get an login ID & two
passwords (i.e one for form download & another for form upload)
1.First of all , download blank form either through Login to RBI
websitehttps://cosmos.rbi.org.in/COSMOS/rbilogin.do
2.First is Login to RBI website via your login ID & Form download PW & navigate to
download form>Select Form number & download form.
3.Another option is Google”Download NBS 9 RBI”and navigate here to download.
4.The form is in Excel format and now open it and start filing it.But we can’t edit excel
sheet without some specific settings.
5.We have to enable macros in our excel software by navigating to MS Office button (On
top left corner )>Excel option <Right Corner>Trust centre >Trust centre setting >Macro
setting >Enable all macros.
6.Save all changes.After enabling macros press edit button located on top right of the
general sheet and start feeding data.
7.We have to read all the details carefully and fill all details of balance sheet together will
profit & loss account from sheet “Part 1 to Part 4”and branch details in Annex-1 .
8.After filing the details ,Click validate button .
9.Save the excel sheet .
10.Now login to RBI website cosmos.rbi.org.in by using login id and form upload password
.
11.Click on “Upload Return”located on the left side.
12.Select appropriate form(i.e NBS 9 ) and select the period and choose the excel file and
click upload submit .
13.Your return is Filed .