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ED Launches Preliminary Probe into FEMA Breach in Paytm Payments Bank Case: Report

The directorate of enforcement (ED) has launched a preliminary investigation or a pre-open inquiry into alleged violations related to the Foreign Exchange Management Act (FEMA) in the Paytm Payments Bank Ltd case, says a report. Meanwhile, citing regulatory actions, the National Highway Authority of India (NHAI) has removed Paytm Payments Bank from its list of 30 authorised banks for the FASTag service.

ED to probe Fema breach in Paytm bank case

The Directorate of Enforcement (ED) has launched a preliminary investigation or a pre-open inquiry into alleged violations related to the Foreign Exchange Management Act (Fema) in the Paytm Payments Bank case, according to sources in the know. The probe follows serious concerns raised by the Reserve Bank of India on multiple violations by the Paytm bank, which is a joint venture between One97 Communications, which is the parent company of Paytm, and the group s founder Vijay Shekhar Sharma.

Paytm Payments Bank, Wallet Woes Explained: What are the Options Before the Company?

It can continue to be the UPI third-party application just like Google Pay and Amazon Pay, but this will depend on the National Payments Corporation of India; If PPBL loses its licence, it will need another sponsor bank, which will be held responsible for PayTM’s actions

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