RBI issues notice on Cancellation of Certificate of Authorisation of MMP Mobi Wallet Payment Systems Ltd
By : Legal Era
Update: 2018-11-16 10:50 GMT
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On November 15, the Reserve Bank of India issued a Press Release regarding the Cancellation of Certificate of Authorisation of MMP Mobi Wallet Payment Systems Ltd.The Release stated, “The Reserve Bank of India, in exercise of the powers conferred on it under Payment and Settlement Systems Act, 2007, has cancelled the Certificate of Authorisation (COA) of the following Payment System...
On November 15, the Reserve Bank of India issued a Press Release regarding the Cancellation of Certificate of Authorisation of MMP Mobi Wallet Payment Systems Ltd.
The Release stated, “The Reserve Bank of India, in exercise of the powers conferred on it under Payment and Settlement Systems Act, 2007, has cancelled the Certificate of Authorisation (COA) of the following Payment System Operator (PSO), MMP Mobi Wallet Payment Systems Ltd, on account of voluntary surrender of authorisation by the company.”
The date of cancellation is November 14, 2018.
The Release added, “Following the cancellation of the COA, the above company [MMP Mobi Wallet Payment Systems Ltd] cannot transact the business of prepaid card issuance. However, customers or merchants having a valid claim, if any, on MMP Mobi Wallet Payment Systems Ltd as a PSO, can approach the company for settlement of their respective claims within two years from the date of this cancellation, i.e., up to 13.11.2020.”
In 2014, MMP Mobi Wallet Payment Systems Ltd, a wholly-owned subsidiary of Tata Teleservices Ltd that provides mobile money order & semi-closed wallet services, forayed into e-commerce space by launching an online shopping site mRupee. The company also integrated a dual payment gateway to its platform, which will enable customers to pay using their mRupee wallet or via net-banking, and debit/credit cards. This service is available to both B2C and B2B customers.
In this regard, a Notice has been displayed on the website of mRupee stating: “We wish to inform you that we are voluntarily surrendering our Certificate of Authorization, issued to MMP Mobi Wallet Payment Systems Limited, by Reserve Bank of India for issuance and operations of PPI service. This notice has been issued pursuant to the procedure to be followed under RBI circular (RBI/2015-16/396) dated 12th May 2016 for public notice. We have initiated process of closing our PPI business and have requested Reserve Bank of India for the same. Henceforth with immediate effect, we shall not be allowing any customer transaction & issuance of any new prepaid wallet.”