Paytm, a digital payment and financial services company, is in trouble. The Reserve Bank of India (RBI) has ordered that Paytm Bank stop adding new customers. According to reports, Paytm Bank must comply with this order immediately.
Action against Paytm Payments Bank Ltd under Section 35A of the Banking Regulation Act, 1949https://t.co/bswaWHSxtk
— ReserveBankOfIndia (@RBI) January 31, 2024
RBI said a detailed audit report and compliance verification report of external auditors revealed non-compliance and material supervisory concerns at the bank. In such a situation, further action is needed. Additionally, transactions have been banned in customers’ accounts after February 29, 2024.
The Reserve Bank has said that after February 29, no deposits or withdrawals will be possible in customers’ accounts, prepaid instruments, wallets, Fastag, etc. However, RBI has clarified that there is no restriction on withdrawing or using the amount available in the account, including services like savings bank account, current account Fastag, etc.
