Paytm shares fall by 13% after RBI restriction on payments bank

In yet another blow, Shares of One 97 Communications, the parent company of Paytm dropped by 13 per cent a day after RBI imposed restrictions. The Reserve Bank of India (RBI) has barred Paytm Payments Bank from adding new customers due to likely gaps in its technology systems.

The bank has also been directed to appoint an IT audit firm to conduct a comprehensive system audit of its IT system, the RBI said in a release.Following the development, shares of Paytm dropped as much as 13 per cent to Rs 672.10 before recovering to Rs 686.25 at 9.30 am. The scrip had settled at Rs 774.80 on Friday. In another news, the Co-founder and CEO of Paytm Vijay Shekhar Sharma was arrested and released on bail by Delhi Police last month for allegedly ramming his car into the official vehicle of South Delhi's Deputy Commissioner of Police.