The Reserve Bank of India today said it has imposed a penalty of over Rs 3.06 crore on Amazon Pay (India) Pvt Ltd for non-compliance with certain provisions relating to Prepaid Payment Instruments (PPIs) and Know Your Customer (KYC) Directive.
“It was observed that the entity was not complying with the directions issued by RBI on KYC requirements,” RBI said in a statement.
The RBI had issued a notice to Amazon Pay (India) advising it to show cause as to why penalty should not be imposed for non-compliance of the directions.
“After considering the response of the unit, RBI concludes that the aforesaid allegation of non-compliance of RBI directions warrants imposition of monetary penalty,” it said.
However, the central bank said the penalty is based on deficiencies in regulatory compliance and is not intended to pronounce upon the validity of any transaction or agreement entered into by Amazon Pay (India) with its customers.
Amazon Pay is the digital payments arm of e-commerce giant Amazon.
(Except for the headline, this story has not been edited by NDTV staff and is published from a syndicated feed.)
featured video of the day
India, China to contribute over 50% of global growth: IMF