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Paytm Payments Bank licence cancelled by RBI, regulator moves for winding up

RBI revokes Paytm Payments Bank licence over regulatory violations and begins winding-up process.

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Reserve Bank of India

Central bank cites regulatory violations and depositor interest concerns, initiates process to shut down operations

The Reserve Bank of India (RBI) has cancelled the banking licence of Paytm Payments Bank Limited, marking a major regulatory action against one of India’s prominent digital banking entities. The decision came into effect from the close of business on April 24, 2026.

With the licence revoked, the bank is no longer permitted to carry out any banking activities, including accepting deposits or offering services defined under banking laws. The RBI has also said it will approach the High Court to initiate the process of winding up the bank.

Reasons behind RBI action

The central bank cited multiple serious concerns in its order. It stated that the affairs of the bank were conducted in a manner detrimental to the interests of depositors and the broader public. Additionally, the management practices were found to be prejudicial to depositor interests.

The RBI further noted that the bank failed to comply with conditions attached to its payments bank licence, and allowing it to continue operations would not serve any public interest.

Long history of regulatory issues

The latest move comes after prolonged regulatory scrutiny. Earlier, in January 2024, the RBI had already barred Paytm Payments Bank from accepting fresh deposits due to non-compliance issues, including lapses in customer due diligence, fund usage, and technology systems.

Over time, restrictions tightened as the bank failed to address regulatory concerns, ultimately leading to the cancellation of its licence.

What happens to customers

Despite the shutdown process, the RBI has indicated that the bank has sufficient liquidity to repay its depositors during the winding-up phase.

Customers are expected to be able to withdraw their existing funds, although the bank will not be allowed to continue normal banking operations going forward.

Impact on fintech sector

The cancellation of Paytm Payments Bank’s licence is being seen as one of the strongest regulatory actions in India’s fintech space. It signals stricter enforcement of compliance norms and could have wider implications for digital banking and payments companies operating under similar frameworks.

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Raghav Chadha seeks Bhagwant Mann’s resignation over video row, alleges fake forensic report cover-up

Raghav Chadha has demanded Punjab CM Bhagwant Mann’s resignation, alleging that a fabricated forensic report was used to conceal facts related to a controversial video.

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BJP Rajya Sabha MP and former AAP leader Raghav Chadha on Thursday intensified his attack on Punjab Chief Minister Bhagwant Mann, demanding his resignation over the ongoing controversy surrounding a purported video linked to the Punjab leader.

Chadha alleged that recent developments in the investigation have exposed attempts to suppress the truth by using a fabricated forensic report. His remarks came after Haryana Police registered a case and arrested individuals accused of trying to arrange a fake forensic report connected to the controversial video.

The controversy centres on a purported video allegedly showing a person resembling Bhagwant Mann engaging in objectionable acts in the presence of images of Sikh gurus and Jarnail Singh Bhindranwale. The issue had earlier drawn criticism from Sikh religious bodies, with the Akal Takht declaring Mann “guru dokhi” and “Khalsa panth virodhi”.

Questioning Mann’s continuation as chief minister, Chadha claimed that the alleged attempt to procure a fabricated forensic report had removed doubts over whether the video was genuine, manipulated or AI-generated. He also sought a wider probe into the alleged conspiracy, asking investigators to examine whether government officials or public funds were involved in obtaining the report.

According to police, two people have been taken into custody in connection with the case. Investigators are probing allegations that the accused were approached to procure a forged forensic analysis of the video. Police have also indicated that the suspects were not associated with any government-recognised forensic laboratory.

Bhagwant Mann has rejected the allegations, maintaining that the video was fabricated and asserting that technology, including the possible use of masks, was employed to create misleading footage. The Punjab Chief Minister has accused political opponents of using the issue for political purposes.

The controversy has further sharpened political tensions in Punjab, with opposition parties and Sikh organisations stepping up demands for action against the chief minister.

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Yogi Adityanath attacks SP-Congress alliance, says Akhilesh is undermining Mulayam Singh’s legacy

Yogi Adityanath accused Akhilesh Yadav of undermining Mulayam Singh Yadav’s legacy by continuing the Samajwadi Party’s alliance with the Congress.

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Uttar Pradesh Chief Minister Yogi Adityanath on Thursday criticised the Samajwadi Party’s renewed alliance with the Congress, alleging that SP chief Akhilesh Yadav is acting against the political legacy of his father, late Mulayam Singh Yadav.

Speaking on the 51st anniversary of the Emergency, the Chief Minister claimed that Mulayam Singh Yadav had consistently opposed any alliance between the Samajwadi Party and the Congress during his lifetime. He alleged that Akhilesh Yadav’s repeated association with the Congress runs contrary to that position.

Yogi Adityanath said Mulayam Singh had objected whenever the SP considered an alliance with the Congress and accused Akhilesh Yadav of aligning with what he described as the Congress’s “sinking ship”. He further alleged that such political decisions were damaging Mulayam Singh’s legacy.

The remarks come as the Samajwadi Party and the Congress continue their political understanding ahead of the 2027 Uttar Pradesh Assembly elections. The two parties had also contested previous elections together, including the 2017 state polls.

SP and Congress respond

The Chief Minister’s comments triggered strong reactions from opposition parties.

Samajwadi Party spokesperson Anurag Bhadouria defended his party, saying it has consistently worked to protect the Constitution. He alleged that the country is currently witnessing an “undeclared Emergency” and criticised the suspension of MPs and the splitting of opposition parties.

Congress spokesperson Pooja Tripathi also criticised the Uttar Pradesh government, questioning its priorities in the aftermath of the recent coaching centre fire in Lucknow that claimed several lives. She said the state government should focus on issues affecting citizens rather than opposition politics.

Mulayam Singh Yadav, one of the prominent opponents of the Emergency imposed in 1975, had on multiple occasions publicly expressed reservations about alliances between the Samajwadi Party and the Congress.

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Delhi gets relief as thunderstorms bring sharp temperature drop, Mumbai rains disrupt transport

Thunderstorms and rainfall brought much-needed relief from heat in Delhi, causing temperatures to fall sharply. The IMD has predicted more weather activity in the national capital, while Mumbai grappled with heavy rainfall and flooding.

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Thunderstorms accompanied by rainfall brought considerable relief from scorching conditions in Delhi, leading to a sharp decline in temperatures across the national capital, according to the India Meteorological Department (IMD).

The weather department said thunderstorm activity on Wednesday evening significantly reduced temperatures in several parts of the city. Between 6:30 pm and 8:30 pm, temperatures at Safdarjung and Palam weather stations dropped substantially following rainfall and gusty winds.

Officials said the temperature at Safdarjung fell by around 11 degrees Celsius during the two-hour period, while Palam recorded a drop of nearly 9 degrees Celsius.

According to IMD data, Delhi has received 39.6 mm of rainfall so far this month, compared to the normal average of 48.3 mm, leaving the city with a rainfall deficit of around 18 per cent.

IMD forecasts more weather activity in Delhi

The IMD has forecast a partly cloudy sky for Delhi on Thursday, with the possibility of thunderstorms and lightning at isolated locations. The minimum temperature is expected to remain around 27 degrees Celsius, while the maximum temperature could reach nearly 39 degrees Celsius.

The latest weather activity has provided temporary respite from the prevailing heat conditions in the city.

Heavy rainfall disrupts normal life in Mumbai

Meanwhile, Mumbai witnessed intense rainfall that disrupted both road and rail traffic during peak morning hours on Wednesday.

Several low-lying areas reported waterlogging, affecting commuters and slowing traffic movement across the city. In some locations, rainfall exceeded 300 mm during the 24-hour period ending at 8 am, officials said.

The heavy showers also impacted suburban train services, causing inconvenience to thousands of daily passengers.

Weather officials have advised residents in affected areas to remain cautious and stay updated on official advisories as monsoon activity intensifies across several parts of the country.

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