Recorded RBI impact
Fine: Rs 14.8 L
Monetary penalty · Fresh imposition
Published by RBI
7 Mar 2022
Case Brief
The Reserve Bank of India imposed a monetary penalty on LivQuik Technology (India) Private Limited for non-compliance with certain provisions of the Master Direction on Issuance and Operation of Prepaid Payment Instruments. RBI said the entity was not compliant with its directions on net-worth requirement, issued a show-cause notice, and after considering the reply, concluded that the contravention was substantiated and warranted penalty under Section 30 of the Payment and Settlement Systems Act, 2007.
Why RBI Acted
RBI imposed a monetary penalty under Section 30 of the Payment and Settlement Systems Act, 2007 after finding that LivQuik Technology (India) Private Limited was non-compliant with certain provisions of the Master Direction on Issuance and Operation of Prepaid Payment Instruments dated October 11, 2017 (updated November 17, 2020). RBI specifically observed non-compliance with directions on net-worth requirement and concluded that the charge was substantiated after considering the entity’s response to the show-cause notice.
Operating Impact
LivQuik Technology (India) Private Limited must absorb the monetary penalty; the release does not mention a separate operational restriction or suspension. The regulatory finding may affect compliance scrutiny going forward, but no direct customer-facing restriction is stated in this release.
Regulatory Basis
- Section 30 of the Payment and Settlement Systems Act, 2007
Action Facts
- Primary Impact
- Fine: Rs 14.8 L
- Entities Affected
- 1
- Entity Role
- Primary
- Entity Type
- Payment entity