What RBI Order Means For Paytm And Its Users

The Reserve Bank of India has ordered Paytm Payments Bank to stop its popular mobile wallet business along with other activities.

Indian regulators ordered the parent of digital-payments provider Paytm to halt a bulk of its business, dealing a severe blow to a high-profile tech pioneer that grappled for years with regulators and criticism around its Chinese backing.

The Reserve Bank of India on Wednesday ordered Paytm Payments Bank Ltd. to stop its popular mobile wallet business along with other activities, citing persistent non-compliance and supervisory concerns.

The abrupt action suggests regulators have grown dissatisfied with the fintech pioneer and raises the prospect of more action down the road.