RBI imposes Rs 9 lakh penalty on One Mobikwik Systems over PPI, fraud reporting lapses
RBI has imposed a Rs 9 lakh penalty on One Mobikwik Systems Limited after finding that it did not comply with RBI directions on prepaid payment instruments and fraud reporting.
Key points
- RBI imposed a monetary penalty on One Mobikwik Systems Limited by an order dated 6 November 2026.
- The penalty is Rs 9 lakh; RBI found the company did not comply with its directions on prepaid payment instruments and fraud reporting.
- RBI said the action is for regulatory deficiencies and does not pronounce on the validity of any transaction with customers.
Photo: Subhrasingh / Wikimedia Commons, CC BY-SA 4.0 (cropped). File photo.
The Reserve Bank of India (RBI) has imposed a monetary penalty of Rs 9 lakh on One Mobikwik Systems Limited for not complying with certain RBI directions on prepaid payment instruments and fraud reporting, RBI said. The penalty was imposed by an order dated 6 November 2026 and announced by RBI on 13 November 2026.
What Happened
RBI said it imposed the penalty under section 30(1) read with section 26(6) of the Payment and Settlement Systems Act, 2007. Prepaid payment instruments, or PPIs, are wallets and cards that customers load with money in advance and use to pay or send money.
RBI carried out a statutory inspection of the company covering its operations from June 2025 to March 2026. Based on its supervisory findings and related correspondence, RBI issued a notice asking the company to show cause why a penalty should not be imposed on it.
After considering the company's reply, its additional submissions and oral submissions made at a personal hearing, RBI found that two charges were sustained. According to RBI, the company allowed certain PPI holders to transfer funds to beneficiaries who were not pre-registered, beyond the prescribed limit. RBI also found that the company failed to report certain frauds within the prescribed timeline.
What It Means
RBI said the action is based on deficiencies in regulatory compliance and is not intended to pronounce upon the validity of any transaction or agreement the company entered into with its customers. RBI added that the penalty is without prejudice to any other action it may take against the company.
For people who use the company's prepaid wallet, the order is about how the company followed RBI's rules, not a ruling on their own transactions. The two lapses RBI cited concern limits on sending money to beneficiaries who have not been registered in advance, and the timely reporting of frauds.
Customers with an unresolved complaint about a payment service can file it with RBI at https://cms.rbi.org.in. Anyone who has lost money to online fraud should report it at https://cybercrime.gov.in or call the helpline 1930.
Source: RBI press release
This report describes enforcement actions and allegations on the public record, attributed to the officials cited. An order, FIR or chargesheet is not a conviction; parties are presumed innocent until proven guilty.
Named in this report, or spotted an error? Corrections and responses: editor@oquilia.com. We correct errors promptly and record responses from named parties.
Sources & Citations
- RBI press release — Reserve Bank of India