RBI Imposes Rs 9 Lakh Penalty on MobiKwik for Violating PPI and Fraud Reporting Norms:

The RBI has imposed a Rs 9 lakh penalty on MobiKwik for permitting PPI transfers to non-pre-registered beneficiaries beyond the prescribed time limit and failing to report certain frauds within the stipulated timeframe.

MobiKwik Penalised for Allowing PPI Transfers to Non-Registered Beneficiaries Beyond Deadline

Saloni Kumari

Nov 14, 2026

Last update on Nov 14, 2026

The Reserve Bank of India (RBI) has imposed a penalty amounting to Rs 9 lakh on MobiKwik over PPI transfer and fraud reporting lapses, vide an order dated November 06, 2026, under the Payment and Settlement Systems Act, 2007.

According to the RBI's report, the fintech company had not complied with certain directions related to prepaid payment instruments (PPIs) and fraud reporting.

According to the regulator, MobiKwik had permitted certain PPI holders to transfer funds to non-pre-registered beneficiaries even after the end of the prescribed time limit. Additionally, the company had not disclosed certain frauds within the prescribed time limit.

The action has been taken after conducting a statutory inspection of MobiKwik's operations between June 2025 and March 2026. Initially, the company was served a show cause notice (SCN) by the RBI. The bank upheld the proposed charges after considering the company's reply, additional submissions and oral submissions made during the personal hearing.

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Saloni Kumari

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Saloni is a Content Writer with 2+ years of experience at studycafe.in. She writes legal, taxation, and finance related content including GST, Income Tax etc. Skilled in translating complex judicial pronouncements and regulatory developments into clear, and reader-friendly articles. Experienced in covering judgements of ITAT, High Court, GSTAT, and news related to Income Tax, GST, and corporate law. She can be reached at [email protected].