Paytm Bank board alerted by RBI on non-compliance

RBI held discussions with Paytm Payments Bank before taking action. Two directors resigned. Paytm management is lobbying for the bank's survival. RBI follows a strategy of engaging with management and then the board before imposing restrictions. Monetary penalty imposed in October 2023. Governor Das listed supervisory strategy, while deputy governor Janakiraman explained the policy of engagement and restrictions.

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