Last week, the Reserve Bank of India (RBI) directed Paytm to halt the acceptance of new deposits in its accounts and popular digital wallets starting from February 29.
According to ANI, Vijay Shekhar Sharma, the founder and CEO of Paytm, met with Union Finance Minister Nirmala Sitharaman on Tuesday to address the ongoing challenges faced by his fintech company due to the RBI’s restrictions.
This meeting occurred shortly after Sharma and several Paytm officials had discussions with the RBI regarding regulatory issues. Reuters reported that although the central bank listened to the concerns raised by the fintech giant, no firm commitments were made.
“Discussions are underway to address the regulatory concerns and compliance issues with both the RBI and the ministry,” a source informed Reuters.
Paytm has requested an extension of the deadline from the RBI and has also been seeking clarification from the central bank regarding the transfer of its license for the wallets business and FASTag services.
Furthermore, Paytm has refuted reports suggesting an investigation by the Enforcement Directorate into either the company or its founder, Vijay Shekhar Sharma, for alleged anti-money laundering activities.
“We categorically deny any investigation by the Enforcement Directorate into OCL, our associates, and/or its Founder and CEO for anti-money laundering activities. Neither the company nor its founder and CEO are under investigation by the Enforcement Directorate regarding money laundering,” stated the company.
Paytm emphasized its commitment to complying with Indian laws and treating regulatory orders with the utmost seriousness.
