RBI fined Rs 21 lakh on phone calls

 

The Reserve Bank of India said on Friday that a fine of Rs 2 lakh has been imposed on Phone Limited for failing to comply with some of the criteria related to ‘Prepaid Payment Instruments’ (PPI).In a statement, the RBI said that the company’s legal inspection was conducted by the Central Bank in respect of its functioning from October 2023 to December 2024.

In that regard, on the basis of supervisory findings and correspondence of the RBI directions and correspondence in that regard, the Apex Bank has given a notice to the phone, suggesting that the penalty should not be imposed on failing to comply with those instructions.

After considering the reply to the company’s suggestion, an oral submission made by IT and an oral submission during personal hearing, the RBI found that the charge was maintained against the company and guaranteed financial penalty.

“Balance in the company’s escrow account a few days in a few days .This was less than the outstanding PPLs and payments, and the company did not record the RBI shortage in that escrow account,” he said.

The RBI also states that the penalty is based on the lack of regulatory compliance and the company does not intend to pronounce any transaction or contract with the company with its customers.

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