RBI forms six-member working group to regulate digital lending frauds; Head- Jayant Kumar Dash, Executive Director, RBI
- The Reserve Bank of India (RBI) has set up a working group to study digital lending activities of the regulated and unregulated players, due to the growing instances of frauds in digital lending space.
- The six-member panel comprises of following four RBI internal and two external members:
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- Jayant Kumar Dash, Executive Director, RBI (Chairman)
- Ajay Kumar Choudhary, Chief General Manager-in-Charge, Department of Supervision (Member)
- P Vasudevan, Chief General Manager, Department of Payment and Settlement Systems, RBI (Member)
- Manoranjan Mishra, Chief General Manager, Department of Regulation (Member Secretary)
- Vikram Mehta, Co-founder, Monexo Fintech (External Member)
- Rahul Sasi, Cyber Security Expert & Founder of CloudSEK (External Member)
Role of the WG
- Suggest steps to regulate digital lending including online lending platform and mobile lending.
- Evaluate digital lending activities and assess the penetration and standards of outsourced digital lending activities in RBI regulated entities.
- Identify risks posed by unregulated digital lending to financial stability, regulated entities and consumers
- Recommend measures for expansion of specific regulatory or statutory perimeter and suggest the role of various regulatory and government agencies
- Prepare a robust Fair Practices Code for digital lending players
- Recommend measures for robust data governance, data privacy and data security standards for digital lending services.
Source: Business Standard