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Reserve Bank of India imposes Rs 1 crore penalty on Paytm Payments Bank

Mumbai: The Reserve Bank of India (RBI) has imposed a fine of Rs 1 crore on Paytm Payments Bank Limited (PPBL). The fine was imposed for an offence committed of the nature referred to in Section 26 (2) of Payment and Settlement Systems Act, 2007 (PSS Act).

RBI said that after checking the application of PPBL for issue of final Certificate of Authorization (CoA), the apex bank found that PPBL had submitted information which did not reflect the factual position. The fine was imposed for this offence.

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RBI also imposed a fine of Rs 27,78,750 on Western Union Financial Services Inc (WUFSI), a Money Transfer Service for non-compliance with certain provisions of the directions contained in the Master Direction on Money Transfer Service Scheme (MTSS Directions) dated February 22, 2017.

Earlier RBI had imposed a fine of Rs 1 crore on State Bank of India (SBI) for failing to comply with fraud classification criteria.

 

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