Rajeev Chandrasekhar: Union Electronics and IT Minister Rajeev Chandrasekhar said that the case of Paytm Payments Bank is such that an aggressive businessman can flout regulatory norms while growing rapidly. Forgot to follow. Chandrashekhar said that RBI action against Payments Bank should not be described as action against fintech. However, due to this action, fintech companies have understood the importance of following the laws.
Complying with regulatory rules cannot be an option
The Union Minister said that companies cannot follow regulatory rules as an option. Every company owner will have to pay full attention to this. Paytm Payments Bank did not follow the rules, hence action was taken against them. It is not right to see it in any other way. If you are running a company then you have to follow all the rules. Whether the company is Indian or foreign, small or big, it will have to fully comply with the laws of India. RBI has not taken this action to harass fintech companies. This is action against just one company. This will not have any bad impact on the fintech industry. Politicians, businessmen and technocrats are also not thinking like this.
Chandrashekhar said – I myself had run a startup
Rajeev Chandrashekhar said that young businessmen sometimes get so engrossed in expanding their business that they do not pay attention to the regulatory laws. He said that he himself has started a startup. He has worked as a businessman. So I can understand that a businessman gets lost in the product he creates. Everyone has to keep in mind that the market regulator does not take action seeing whether you are a social media company, fintech company or any other company.
Ban on taking deposits after March 15
RBI had banned Paytm Payments Bank from taking deposits due to violation of rules. The bank cannot make any kind of deposit, top up or recharge after March 15. Since then the situation of Paytm has remained bad. BharatPe co-founder Ashneer Grover had recently alleged that RBI does not want to allow fintech companies to grow. Banks are important for them. But, not fintech.
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