Paytm stock slides further even as CEO reassures data security

Paytm's top boss Vijay Shekhar Sharma came out guns blazing to refute the allegations that RBI had raised concerns with Paytm Bank sharing data with servers outside India.

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Speaking to CNBC TV18 Paytm Founder Sharma said "The report is completely baseless, there is no server of the bank outside India." Vijay Shekhar also reiterated that no foreign personnel was ever given access to the data held by the banks.

Bloomberg had reported quoting unnamed sources that the RBI barred Paytm Payments Bank from taking on new customers on March 11 because it had allowed data to flow to servers abroad in violation of India’s rules, and didn’t properly verify its customers.

Paytm stock plunged to on all-time low after RBI's directive, though Vijay Shekhar without disclosing contents of the RBI's letter to the firm said the RBI had not raised any concerns on data access or security.