The Reserve Bank of India (RBI) on Tuesday fined Ola Financial Services Rs 1.67 crore for not complying with its directions on prepaid payment instruments. The company is a unit of the ride-hailing platform.
Ola Financial Services was found to be non-compliant with the directions issued by RBI on Know Your Customer (KYC) requirements. Accordingly, the central bank issued a notice to the entity advising it to show cause as to why a penalty should not be imposed on it.
Following the company’s response to a notice, the central bank concluded that the charge of non-compliance with the directions issued by it was substantiated and it warranted a monetary penalty on the company.