Paytm founder Vijay Shekhar Sharma has discovered robust assist from his fellow startup founders. A gaggle of startup founders have written to Reserve Financial institution of India governor Shaktikanta Das and FM Nirmala Sitharaman asking the regulator to “evaluation” and “rethink” its regulatory directive towards Paytm Funds Financial institution’s operations. It’s relatively rarity for firms and its founders to hunt such form of a evaluation by a monetary regulator, particularly RBI.
Signatories to the letter embody Innov8 founder Ritesh Malik, Policybazaar’s Yashish Dahiya, MakeMyTrip’s Rajesh Magow and Bharat Matrimony’s Murugavel Janakiraman.
What the letter says
“We’re notably involved in regards to the potential ramifications of the present regulatory directive on Paytm Financial institution, extending far past the rapid impression on the corporate itself. This motion, perceived as overly punitive, may ship a unfavorable sign to the worldwide enterprise group… a vibrant fintech ecosystem thrives on regulatory readability, predictability and a supportive atmosphere. Whereas safeguarding monetary stability stays paramount, attaining this goal mustn’t come at the price of stifling innovation and entrepreneurial spirit,” the founders stated of their illustration, urging additionally the Prime Minister to think about their plea.
The group additionally requested for a provision “granting Paytm Funds Financial institution a transparent and sensible window to handle recognized deficiencies and exhibit compliance” and looked for “open dialogue and collaboration”.
On January 31, the Reserve Financial institution of India (RBI) informed Paytm Funds Financial institution to cease accepting new deposits in its accounts and its digital wallets from March, citing supervisory issues and non-compliance with guidelines.
Signatories to the letter embody Innov8 founder Ritesh Malik, Policybazaar’s Yashish Dahiya, MakeMyTrip’s Rajesh Magow and Bharat Matrimony’s Murugavel Janakiraman.
What the letter says
“We’re notably involved in regards to the potential ramifications of the present regulatory directive on Paytm Financial institution, extending far past the rapid impression on the corporate itself. This motion, perceived as overly punitive, may ship a unfavorable sign to the worldwide enterprise group… a vibrant fintech ecosystem thrives on regulatory readability, predictability and a supportive atmosphere. Whereas safeguarding monetary stability stays paramount, attaining this goal mustn’t come at the price of stifling innovation and entrepreneurial spirit,” the founders stated of their illustration, urging additionally the Prime Minister to think about their plea.
The group additionally requested for a provision “granting Paytm Funds Financial institution a transparent and sensible window to handle recognized deficiencies and exhibit compliance” and looked for “open dialogue and collaboration”.
On January 31, the Reserve Financial institution of India (RBI) informed Paytm Funds Financial institution to cease accepting new deposits in its accounts and its digital wallets from March, citing supervisory issues and non-compliance with guidelines.
