RBI imposes Rs 6 crore penalty on 4 White Label ATM operators

A penalty of Rs 2 crore each has been imposed on BTI Payments and Hitachi Payment Services, and Rs 1 crore each on Tata Communications Payment Solutions Ltd and Vakrangee Ltd.

The RBI on Friday said it has imposed penalties totalling Rs 6 crore on four White Label ATM (WLA) operators, including Hitachi Payment Services, and Tata Communications Payment Solutions, for deficiencies in regulatory compliance. In a release, it also said a penalty of Rs 3 crore has been imposed on Transaction Analysts (India) Pvt Ltd for contravention of certain provisions of directions related to issuance and operation of prepaid payment instruments (PPIs), and Know Your Customer. The monetary penalty has also been imposed on four WLA operators for "contravention of / non-compliance" with certain provisions of the directions in the White Label ATMs in India Guidelines' dated June 20, 2012.