Through Aditya Kalra and Chris Thomas
NEW DELHI/BENGALURU (Reuters) – Traders in India’s Paytm shouldn’t have get right of entry to to buyer information of its bills financial institution, CEO Vijay Shekhar Sharma instructed Reuters in an interview on Monday, searching for to allay issues over experiences of consumer information being leaked to Chinese language corporations.
Paytm is subsidized by way of China’s Alibaba Crew Preserving and its associate Ant Crew.
The Reserve Financial institution of India remaining week barred Paytm Bills Financial institution from taking up new consumers and ordered a complete audit of its IT methods, mentioning “subject matter” supervisory issues seen within the financial institution, with out elaborating additional.
Paytm has denied a information file from Bloomberg that stated previous on Monday RBI discovered Paytm Bills Financial institution’s servers have been sharing data with China-based entities that not directly personal a stake within the company.
In an interview to Reuters, Sharma stated no investor had get right of entry to to the corporate’s buyer information, and the rustic’s central financial institution had raised no issues associated with information garage or get right of entry to.
“There is not any get right of entry to of any financial institution buyer information to anyone, of any nationality … RBI has (in its observations) no longer discussed anything else on the subject of traders,” Sharma stated.
Paytm Bills Financial institution, which facilitates transactions on cell trade platform Paytm, has over 300 million wallets and 60 million financial institution accounts, consistent with its web page. Paytm is one in all India’s hottest virtual bills provider.
Stocks of Paytm slumped 13% on Monday after RBI’s transfer, with Macquarie Analysis analysts pronouncing they be expecting a vital have an effect on on Paytm’s emblem and buyer loyalty.
The RBI motion is the most recent setback for Paytm, which had a flop inventory marketplace debut of its $2.5 bln IPO in November. Its stocks are down virtually 70% from the problem value.
Sharma instructed Reuters “we’re assured” of addressing RBI’s issues on the earliest. The RBI has ordered a complete audit of Paytm Cost Financial institution’s IT methods.
In a separate observation, a Paytm spokesperson stated its bills financial institution information is living throughout the nation.
The RBI didn’t instantly reply to a Reuters request for remark.
(Reporting by way of Chris Thomas in Bengaluru; further reporting by way of Swati Bhat; Enhancing by way of Vinay Dwivedi)