Delhi HC orders Paytm Payments Bank to wind up after RBI licence cancellation

The Delhi High Court has ordered Paytm Payments Bank’s winding-up and appointed Girikumar M. Nari as liquidator. Paytm has moved UPI operations to partner banks while awaiting approval to relaunch its wallet under a PPI licence.

— Source publishedTue, 28 Jul, 2026, 18:11 IST·First seen Tue, 28 Jul, 2026, 18:26 IST·Source Inc42 · Buzz

What happened

Delhi High Court ordered Paytm Payments Bank to wind up and appointed Girikumar M. Nari as liquidator after RBI cancelled its licence. Paytm has shifted UPI to

Key facts

  • ₹220 Cr consolidated net profit
  • 78.8% YoY profit growth
  • ₹2,448 Cr operating revenue
  • 27.6% YoY revenue growth
  • ₹1,308.90 share price
  • 1.54% share-price gain
  • March 2022 RBI ban on new customer onboarding
  • April banking licence cancellation
  • 2024 TPAP approval from NPCI

Why this matters

Banks, wallet providers and payment platforms may find partnership or customer-acquisition opportunities as Paytm’s former banking relationships and users are redistributed.

What to watch

  • RBI decision and timeline on Paytm's PPI wallet application.
  • Liquidator notices on depositor repayment, creditor claims, asset realization and final winding-up milestones.
  • UPI transaction-volume trends, active merchant counts and merchant payment-device deployment after the shutdown.
  • Announcements of additional bank partnerships or changes in settlement-bank concentration.
  • Any RBI, NPCI or court communication indicating residual compliance liabilities, penalties or restrictions.
  • Evidence of wallet-user migration, merchant attrition or increased promotional spending by payment competitors.
  • Complete transfer or closure of remaining PPBL customer balances, deposits, merchant settlements and contractual obligations under the liquidator's process.
  • Increase disclosures on UPI continuity, partner-bank arrangements, wallet status and grievance redressal to reduce merchant churn.
  • Seek and operationalize RBI approval for a PPI wallet, with revised KYC, safeguarding and compliance architecture.
  • Renegotiate commercial and data-sharing arrangements with partner banks as payment volumes migrate off PPBL rails.
  • Use merchant incentives, device support and settlement assurances to defend high-value merchant cohorts against rival payment apps.

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