Vijay Shekhar Sharma has stepped down from the Board of Paytm Payments Bank Ltd (PPBL), as announced by One97 Communications (OCL) on February 26. This decision aims to facilitate the restructuring of the board. OCL, which owns the Paytm brand, conveyed that PPBL will initiate the process of appointing a new chairman.
A press release from One97 Communications Ltd revealed 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, along with Surinder Chawla, who remains MD & CEO at Paytm Payments Bank.
The statement from OCL expressed 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, emphasizing their expertise as integral to enhancing governance structures and operational standards at PPBL.
It’s noteworthy that on January 31, the RBI imposed significant business restrictions on PPBL, including a halt on 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 currently reviewing One97 Communication’s request to function as a Third-Party Application Provider (TPAP) for the UPI channel, ensuring the continued operation of the Paytm UPI app.
