Paytm Payments Services Limited gets govt nod for downstream investment
With this approval in place, PPSL will proceed to resubmit its payment aggregator application, parent company One 97 Communications Limited said.
Paytm Payments Services Limited (PPSL) received government approval for downstream investment from its parent, One 97 Communications Limited.
With this approval from the Ministry of Finance, Department of Financial Services in place, PPSL will proceed to resubmit its payment aggregator application, the parent company said in a stock exchange filing.
In the meantime, PPSL will continue to provide online payment aggregation services to existing partners.
Earlier this year, the Reserve Bank of India (RBI) had cancelled the company’s operating licence due to concerns surrounding payments from unverified accounts.
RBI had directed Paytm Payments Bank to stop accepting fresh deposits from customers on account of its failure to place an internal mechanism to detect and report suspicious transactions.
While the initial deadline was set to February 29, it was later extended to March 15. Subsequently, Paytm Payments Bank was wound down by the RBI, citing persistent non-compliance with guidelines.
Edited by Jyoti Narayan