Vijay Shekhar Sharma’s resignation from the Board of Paytm Payments Bank Ltd (PPBL) was announced by One97 Communications (OCL) on February 26, with the aim of facilitating a board restructuring. OCL, the owner of the Paytm brand, stated that PPBL will begin the process of appointing a new chairman.
In a press release from One97 Communications Ltd, it was disclosed that several new members have been appointed to the PPBL Board as independent directors. These include former Central Bank of India Chairman Srinivasan Sridhar, retired IAS officer Debendranath Sarangi, former Executive Director of Bank of Baroda Ashok Kumar Garg, and retired IAS Rajni Sekhri Sibal. Additionally, former Executive Director of Punjab & Sind Bank Arvind Kumar Jain will serve as an Independent Director, alongside Surinder Chawla, who continues as MD & CEO at Paytm Payments Bank.
OCL expressed its support for PPBL’s decision to transition to a board consisting solely of independent and executive directors by removing its nominee. Surinder Chawla welcomed the new board members, stressing their expertise’s importance in enhancing governance structures and operational standards at PPBL.
Of note, on January 31, the RBI imposed significant business restrictions on PPBL, including a cessation of accepting fresh deposits and conducting credit transactions after February 29, with an extension granted until March 15 on February 16. Meanwhile, the National Payments Corporation of India (NPCI) is presently reviewing One97 Communication’s request to operate as a Third-Party Application Provider (TPAP) for the UPI channel, ensuring the continued operation of the Paytm UPI app.
