The Reserve Bank of India has issued a warning to the public about unlicensed businesses issuing non-closed prepaid payment instruments. It has come to RBI’s attention that sRide Tech Private Limited, with its registered office at 1201, Tower-7, Close North, Nirvana Sector-50, Gurgaon, Haryana, is operating a semi-closed (non-closed) pre-paid instrument (wallet) through its car-pooling app (application) ‘sRide’ without obtaining the required authorisation from RBI under the Payment and Settlement Systems Act, 2007. As a result, the RBI has advised the general public to exercise extreme vigilance when utilising such applications, dealing with, and parting with money to any such illegal business.
Furthermore, the public should verify and satisfy themselves that the application they are using or the company they are dealing with is authorised to do or guarantee to perform the activity. The list of authorised payment system providers/authorized payment system operators is available on the RBI’s website.