New Delhi: The Delhi High Court has ordered the winding up of Paytm Payments Bank Limited (PPBL). The Reserve Bank of India (RBI) canceled its banking license under Section 22(4) of the Banking Regulation Act, 1949 (‘BR Act’) effective from close of business
on April 24, 2026. The licence was cancelled due to ongoing regulatory non-compliance and risks to depositors.
The RBI said in a press release, “in exercise of powers conferred under Sections 38 and 39 of the Banking Regulation Act 1949, made an application before the High Court of Delhi for winding up of PPBL and appointment of Girikumar M Nair, former CGM of State Bank of India, as Liquidator of PPBL.”
“By an Order dated July 08, 2026 read with the Order dated July 22, 2026, the High Court of Delhi has ordered that PPBL be wound-up under the provisions of the Banking Regulation Act, 1949 read with the provisions of Companies Act, 2013. Further, the High Court appointed Girikumar M Nair as the Official Liquidator of PPBL. As per the said Order, the Official Liquidator shall exercise all the powers prescribed under the provisions of the Banking Regulation Act, 1949 along with applicable provisions of the Companies Act, 2013. In terms of the said Order, the Official Liquidator shall, with effect from July 8, 2026, exercise all the powers of the Board of PPBL,” the RBI added.
