Paytm Bank Director Resigns Amidst RBI Action

New Delhi, Feb 12 (PTI) Paytm Payments Bank Ltd independent director Manju Agarwal resigned from the board due to personal reasons, Paytm said in a regulatory filing on Monday.

Agarwal resigned from PPBL a day after RBI issued an order to Paytm Payments Bank to stop accepting deposits or top-ups in customer accounts, wallets, FASTags and other instruments after February 29.

"Paytm Payments Bank Ltd (PPBL), has informed us that Ms. Manju Agarwal, Independent Director resigned from the Board of PPBL on February 01, 2024, due to her personal commitments which were noted by PPBL Board on February 06, 2024," Paytm informed stock exchange in response to the clarification sought by the bourses.

Paytm Payments Bank Limited (PPBL) is an associate of One97 Communications Limited (OCL). One97 Communications holds 49 per cent of the paid-up share capital (directly and through its subsidiary) of PPBL. Vijay Shekhar Sharma has a 51 per cent stake in the bank.

Paytm Payments Bank independent director Shinjini Kumar has also resigned from the board with effect from February 1, 2024.

However, the PPBL has not replied to the media query sent in this regard.

RBI has said that persistent non-compliance by PPBL with the regulatory guidelines despite nudges over a period of time ultimately led to stern action against the fintech.

RBI has earlier on June 19, 2018, prohibited PPBL from opening any new account and wallet with effect from June 20, 2018, on account of supervisory concerns, which were lifted by RBI on December 27, 2018, with effect from December 31, 2018.