Breaking News
1. Kolkata gangrape case: Accused drank alcohol in college for hours after assault; warned guard to stay quiet      2. Supreme Court admin seeks removal of ex-CJI Chandrachud from official residence      3. 'To give you your freedom back': Elon Musk officially launches new political party; names it 'America Party'      4. "I Am A Simple Buddhist Monk": Dalai Lama's 90th Birthday Message      5. "I Am A Simple Buddhist Monk": Dalai Lama's 90th Birthday Message      6. PM Modi arrives in Brazil for four-day visit, to attend BRICS Summit      7. India Seeking US Trade Deal Even as it Toughens Stance      8. China gave Pakistan live inputs on Indian deployment: Top Army officer      9. Businessman-BJP Leader Gopal Khemka Shot Dead In Front Of Patna House      10. China Warns India to Choose Its Words Carefully on Dalai Lama and Tibet      11. PM Modi arrives in Argentina on two-day visit      12. White House 4th of July celebrations: B-2 Bombers roar overhead as Donald Trump marks Independence Day      13. The curious case of the British jet stuck in India      14. Russia becomes first country to formally recognise Taliban rule in Afghanistan      15. Defence Acquisition Council approves defence purchases worth ₹1.05 trn      16. Watch: PM Modi mentions India has 2,500 parties in Ghana Parliament. Then this happens      17. Delhi government says it won’t scrap old vehicles; cites public backlash, systemic challenges      18. War planes to fly over White House as Trump signs Big Beautiful Bill. Here's how much it could cost      19. Kolkata rape accused Manojit Mishra's lawyer license cancelled      20. Mumbai school teacher arrested for sexually assaulting 16-year-old male student     

Paytm Payments Bank Chairman, Vijay Shekhar Sharma, Steps Down

  • Posted on February 26, 2024
  • Business
  • By Arijit Dutta
  • 399 Views

Vijay Shekhar Sharma has resigned as chairman of Paytm Payments Bank amidst regulatory concerns raised by the RBI. The move comes after the RBI directed NPCI to scrutinize Paytm's UPI channel. Paytm Payments Bank has been barred from certain transactions due to non-compliance highlighted in audits.

Paytm Payments Bank Chairman, Vijay Shekhar Sharma, Steps Down Image Source -www.gujaratsamachar.com

Amidst regulatory scrutiny and strategic adjustments, Vijay Shekhar Sharma has opted to resign from his position as chairman of Paytm Payments Bank. This significant decision follows a recent restructuring of the bank's board, signaling a pivotal moment for the organization. One 97 Communications Ltd (OCL), the parent company of Paytm, officially confirmed Sharma's departure from the role of part-time non-executive chairman and board member. This move is part of a broader effort to navigate regulatory challenges and ensure compliance with industry standards.

The catalyst for Sharma's resignation stems from regulatory interventions initiated by the Reserve Bank of India (RBI). The RBI directed the National Payments Corporation of India (NPCI) to conduct a thorough examination of Paytm's use of the Unified Payments Interface (UPI) channel. This scrutiny is aimed at assessing Paytm's adherence to regulatory guidelines and facilitating the smooth transition of @paytm handles to multiple banks. The regulatory directive underscores the importance of ensuring transparency and accountability in digital payment ecosystems.

The regulatory scrutiny on Paytm Payments Bank intensified following the RBI's recent actions. Last month, the RBI imposed restrictions on PPBL, prohibiting the bank from accepting additional deposits or conducting credit transactions. Exceptions were made only for specific scenarios, such as interest payments, cashbacks, or refunds. These restrictions were imposed in response to audits that revealed persistent non-compliance issues and significant supervisory concerns within the bank's operations. The RBI's actions underscore the importance of regulatory oversight in maintaining the stability and integrity of financial institutions.

Also Read: Former English Cricketer Extols Kuldeep Yadav's Performance, Likens Him To Left-Arm Shane Warne

As part of the regulatory measures, the RBI has mandated the termination of nodal accounts associated with One97 Communications Ltd and Paytm Payments Services Ltd. This directive aims to streamline operations and ensure compliance with regulatory standards. The termination of these accounts represents a proactive step towards addressing regulatory concerns and fostering a culture of compliance within the organization.

Overall, Vijay Shekhar Sharma's decision to step down as chairman of Paytm Payments Bank reflects the organization's commitment to addressing regulatory challenges and upholding the highest standards of corporate governance. The restructuring of the board and the implementation of regulatory directives demonstrate Paytm's proactive approach to navigating the evolving regulatory landscape in the financial sector.

Author
No Image
Author
Arijit Dutta

You May Also Like