Archive · 13 Sep 2025
RBI Imposes ₹21 Lakh Penalty on PhonePe for Non-Compliance
The RBI, India's central bank, has fined PhonePe ₹21 lakh.
This is because PhonePe did not follow all the rules about how they handle prepaid money used for payments.
The RBI checked PhonePe's operations from October 2023 to December 2024 and found some problems.
One issue was that the money PhonePe kept in a special account was sometimes less than what they owed to users and businesses.
The RBI said the fine is due to these rule-breaking issues.
The RBI imposed a ₹21 lakh penalty on PhonePe Limited.
The penalty is for non-compliance with Prepaid Payment Instruments (PPIs) norms.
The RBI conducted an inspection of PhonePe's operations from October 2023 to December 2024.
The end-of-the-day balance in PhonePe's escrow account was less than the value of outstanding PPIs on certain days.
PhonePe did not immediately report the shortfall in the escrow account to the RBI.
- Who
- Reserve Bank of India (RBI)
- What
- Imposed a penalty on PhonePe Limited
- When
- Friday
- Where
- Not specified
- Why
- For non-compliance with Prepaid Payment Instruments (PPIs) norms
PhonePe
RBI
Compliance
PhonePe
PhonePe was found to not fully comply with RBI regulations.
RBI
RBI found PhonePe in violation of regulatory requirements, resulting in a penalty.
- Company
- PhonePe Limited
- Penalty Amount
- ₹21 lakh
- Reason for Penalty
- Non-compliance with Prepaid Payment Instruments (PPIs) norms
- Inspection Period
- October 2023 to December 2024
