Rajya Sabha Passes the Boilers Bill, 2024  ||  NCLAT: Authority Can’t Pass Adverse Remarks against RP Performing Duties as Per CoC’s Instruction  ||  Tel. HC: Teacher Eligibility Test Guidelines Framed to Ensure that Competent Persons are Recruited  ||  Ker. HC: Loss in Derivative Business Would be a Business Loss for Purposes of Section 72 of IT Act  ||  Rajasthan High Court: Suo-Motu Cognizance Taken Over Lack of Public Washrooms  ||  Gau. HC: Thorough Enquiry to be Conducted before Declaring a Monument as Ancient  ||  SC: Buttondar Knife to be Prohibited Only if Used for Manufacture, Sale or Possession for Sale or Tes  ||  Del. HC: Collection of Funds to Commit Offence in Future Not Money Laundering Under PMLA  ||  Rajya Sabha Passes Oilfields (Regulation and Development) Amendment Bill, 2024  ||  Lok Sabha passes Banking Laws (Amendment) Bill, 2024    

Action against Paytm Payments Bank Ltd under Section 35A of the Banking Regulation Act, 1949- (Reserve Bank of India) (31 Jan 2024)

MANU/RPRL/0068/2024

Banking

1. In Press Release dated March 11, 2022, the Reserve Bank of India, in exercise of its powers under section 35A of the Banking Regulation Act, 1949, had directed Paytm Payments Bank Ltd (PPBL or the bank) to stop onboarding of new customers with immediate effect.

2. The Comprehensive System Audit report and subsequent compliance validation report of the external auditors revealed persistent non-compliances and continued material supervisory concerns in the bank, warranting further supervisory action.

3. Accordingly, in exercise of its powers under section 35A of Banking Regulation Act, 1949 and all other powers enabling it in that behalf, the Reserve Bank of India, has today directed PPBL as below:

i. No further deposits or credit transactions or top ups shall be allowed in any customer accounts, prepaid instruments, wallets, FASTags, NCMC cards, etc. after February 29, 2024, other than any interest, cashbacks, or refunds which may be credited anytime.

ii. Withdrawal or utilisation of balances by its customers from their accounts including savings bank accounts, current accounts, prepaid instruments, FASTags, National Common Mobility Cards, etc. are to be permitted without any restrictions, upto their available balance.

iii. No other banking services, other than those referred in (ii) above, like fund transfers (irrespective of name and nature of services like AEPS, IMPS, etc.), BBPOU and UPI facility should be provided by the bank after February 29, 2024.

iv. The Nodal Accounts of One97 Communications Ltd and Paytm Payments Services Ltd. are to be terminated at the earliest, in any case not later than February 29, 2024.

v. Settlement of all pipeline transactions and nodal accounts (in respect of all transactions initiated on or before February 29, 2024) shall be completed by March 15, 2024 and no further transactions shall be permitted thereafter.

Tags : PAYTM PAYMENTS BANK   DIRECTION  

Share :        

Disclaimer | Copyright 2024 - All Rights Reserved