[10] IIFL was founded on 18 October 1995, by Nirmal Jain, a 1986 graduate from University of Mumbai and an alumnus of Indian Institute of Management, Ahmedabad.

Jain is among the few successful entrepreneurs post the economic liberalisation era in India ushered by PV Narasimha Rao.

[17][18] IIFL Holdings has a consolidated net-worth of over Rs 45 billion; global presence in Canada, United States, UK, Singapore, Hong Kong, Switzerland, Mauritius, and UAE; An employee workforce of over 10,500, a strong network of over 2,250 service locations spread across India, over ₹233 billion loan assets under management; over ₹1,250 bn wealth assets under advice, management and distribution; over 500 stocks under research and more than 300 of the world's top institutional investors relying on IIFL's research.

[25][26] The EOW-Mumbai in its supplementary charge sheet has also accused the three brokerages IIFL, Motilal Oswal & Anand Rathi of cheating clients.

[27][28] In February 2019, SEBI declared IIFL and Motilal Oswal ‘not fit and proper’ as commodity derivative brokers based on the recommendations of SFIO & EOW's report.

[29][30][31][32] On 19 June, 2023, the Securities and Exchange Board of India (SEBI) passed an order restraining IIFL from accepting new clients for a period of two years, and imposing a penalty of Rs 2 crore.

"[33] The Securities Appellate Tribunal (SAT) set aside the SEBI's order prohibiting IIFL to accept new clients in December 2023.

[34] India Infoline Finance is a subsidiary of IIFL Holdings Ltd which in 2020, raised ₹100 Crore by issuing non-convertible debentures.