The Reserve Bank of India fined Paytm Payments Bank Ltd ₹1 crore for submitting information that did not reflect the factual position in its application for a final Certificate of Authorization.
“As this was an offence of the nature referred to in Section 26 (2) of the PSS Act, a notice was issued to PPBL. After reviewing the written responses and oral submissions made during the personal hearing, the RBI determined that the aforementioned charge was substantiated and warranted the imposition of a monetary penalty,” said the RBI statement.
In the case of Western Union, the central bank said the firm had reported instances of breach of the ceiling of 30 remittances per beneficiary during the calendar years 2019 and 2020 and filed an application for compounding of the violation. However, the RBI noted that these actions are based on deficiencies in regulatory compliance and are not intended to pronounce upon the validity of any transaction or agreement entered into by the entities with their customers.