RBI cancels Certificate of Authorisation of Muthoot Vehicle and Asset Finance, Eko India Financial Services
Customers or merchants having a valid claim on these companies as PSOs can approach them for settlement of their claims within three years from the date of cancellation
The Reserve Bank of India (RBI) on January 4 cancelled the Certificate of Authorisation (CoA) of two Payment System Operators (PSOs) — Muthoot Vehicle and Asset Finance Limited and Eko India Financial Services Private Limited — citing n
on-compliance with regulatory requirements.
The apex bank took the decision by exercising the powers conferred on it under the Payment and Settlement Systems Act, 2007. The RBI said the COA cancellation came into force on December 31, 2021.
"Following the cancellation of the CoA, these companies cannot transact the business of issuance and operation of prepaid payment instruments," the RBI said in a statement.
However, customers or merchants having a valid claim on these companies as PSOs can approach them for settlement of their claims within three years from the date of cancellation, the statement added.