As deadline draws closer, Vijay Shekhar Sharma Quits Paytm Payments Bank

By Team Startupcity  |  Tuesday, 27 February 2024, 08:58 IST

As deadline draws closer, Vijay Shekhar Sharma Quits Paytm Payments Bank

Paytm founder Vijay Shekhar Sharma resigns as Non-executive Chairman and Board member of Paytm Payment Bank.

In front of the March 15 time - deadline to stop the payment activities, Paytm founder Vijay Shekhar Sharma has step down from the role of  Non-executive Chairman of Paytm Payments Bank Limited (PPBL).

Paytm, formerly known as One 97 Communications Limited said PPBL has further reinstated the Board of Directors accompanying the job of Ex-Central Bank of India Chairman Srinivasan Sridhar, elderly IAS deputy Debendranath Sarangi, Departed Executive Director of Bank of Baroda Ashok Kumar Garg and Departed IAS deputy Rajni Sekhri Sibal.

On this regard, the regulatory filing of the company said, “The Company has been separately informed that Vijay Shekhar Sharma has also resigned from the Board of Paytm Payments Bank to enable this transition. PPBL has informed us that they will commence the process of appointing a new Chairman”.

At the same, Surinder Chawla, CEO, Paytm Payments Bank said, “The new board members’ expertise will be “pivotal in guiding us toward enhancing our governance structures and operational standards, further solidifying our dedication to compliance and best practices”.

Sharma acknowledges a 51 percent stake in Paytm Payments Bank, while One 97 Communications, which is officially known as Paytm admits the rest of the stake.

The significant resolution comes among RBI’s restraint on the fees bank over determined disobedience & administrative concerns. The investment manager had orderly the fintech firm to stop the investment endeavours later on February 29 & now the extended the deadline to March 15.

The official statement from RBI said, “The comprehensive system audit report and subsequent compliance validation report of the external auditors revealed persistent non-compliances and continued material supervisory concerns in the bank, warranting further supervisory action”.

In accordance with Reuters, the troubled fintech is an inclined participant accompanying Axis Bank, HDFC Bank, State Bank of India and Yes Bank for handle undertakings by way of UPI.

 

 

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