The Delhi High Court has ordered the winding up of Paytm Payments Bank Limited (PPBL) after the Reserve Bank of India (RBI) cancelled the bank's licence earlier this year.
The move follows regulatory action initiated by the RBI, which revoked PPBL's banking licence on April 24, 2026, under Section 22(4) of the Banking Regulation Act, 1949. The cancellation became effective from the close of business on the same day.
Official copy of the Press Release is as follows
The Reserve Bank of India (RBI) has, vide order dated April 24, 2026, cancelled the banking licence issued to Paytm Payments Bank Limited (PPBL) under Section 22(4) of the Banking Regulation Act, 1949 (‘BR Act’) effective from close of business on April 24, 2026. As indicated in the Press Release issued on the said date, the Reserve Bank, in exercise of powers conferred under Sections 38 and 39 of the Banking Regulation Act 1949, made an application before the Hon’ble High Court of Delhi for winding up of PPBL and appointment of Shri Girikumar M Nair, former CGM of State Bank of India, as Liquidator of PPBL.
By an Order dated July 08, 2026 read with the Order dated July 22, 2026, the Hon’ble High Court of Delhi has ordered that PPBL be wound-up under the provisions of the Banking Regulation Act, 1949 read with the provisions of Companies Act, 2013. Further, the Hon’ble High Court appointed Shri Girikumar M Nair as the Official Liquidator of PPBL. As per the said Order, the Official Liquidator shall exercise all the powers prescribed under the provisions of the Banking Regulation Act, 1949 along with applicable provisions of the Companies Act, 2013. In terms of the said Order, the Official Liquidator shall, with effect from July 8, 2026, exercise all the powers of the Board of PPBL.
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