The penalty has been imposed in exercise of powers vested in RBI under Section 30 of the Payment and Settlement Systems Act, 2007, the central bank said.
Mumbai: The Reserve Bank of India (RBI) has imposed a monetary penalty of ₹1.67 crore on Ola Financial Services Private Limited for lacking to comply with certain provisions.
“The RBI has imposed a monetary penalty of ₹1,67,80,000 on Ola Financial Services Private Limited for non-compliance with certain provisions of the Mastecompliancvr Directions on PPI dated 27 August, 2021 and the Master Direction – Know Your Customer (KYC) Direction, 2016 dated February 25, 2016,” it said.
This action is based on deficiencies in regulatory compliance and is not intended to pronounce upon the validity of any transaction or agreement entered into by the entity with its customers.
“It was observed that the entity was non-compliant with the directions issued by RBI on KYC requirements. Accordingly, notice was issued to the entity advising it to show cause as to why penalty should not be imposed for non-compliance with the directions.”After considering the entity’s response, RBI concluded that the aforesaid charge of non-compliance with RBI directions was substantiated and warranted imposition of monetary penalty,” said RBI.
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