This week in Indian law: The RBI granted payment aggregator licences to major fintech companies including Zomato Payments and Stripe India. The Supreme Court commenced hearing on UAPA bail standards in Gurwinder Singh. Three significant legal developments this week across regulatory and criminal law.
Top story
RBI Grants Payment Aggregator Licences to Major Fintechs
Category: regulatory-updates | Date: 10 January 2024 | Source: Reserve Bank of India
The Reserve Bank of India granted Payment Aggregator licences to multiple fintech companies in a series of authorisation decisions spanning late December 2023 and January 2024. Entities including Zomato Payments (authorised 24 January), Stripe India, and Tata Pay received final authorisation to operate under the Payment and Settlement Systems Act, 2007, following earlier approvals to Razorpay, Cashfree, and Open in December 2023. The authorisations signal the completion of a multi-year licensing cycle that brings major technology platforms under formal RBI regulatory oversight.
Why it matters: Newly authorised entities can resume merchant onboarding, ending operational restrictions during the application period. The convergence of PA licensing with the card tokenisation mandate creates a layered compliance framework for the fintech sector.
Read more: Veritect analysis
Court judgments
SC Commences Hearing on UAPA Bail Rejection Test
Court: Supreme Court of India | Bench: Justice M.M. Sundresh and Justice Aravind Kumar | Date: January 2024
The Supreme Court took up the matter of Gurwinder Singh v. State of Punjab, addressing the interpretation of Section 43D(5) of the Unlawful Activities (Prevention) Act, 1967. The Court began examining the proper standard for bail rejection under anti-terrorism law.
Key point: The case would result in a landmark articulation of the two-stage bail inquiry under UAPA — first the Section 43D(5) prima facie test, then the conventional triple test only if the restrictive provision is cleared.
Also this week
- Bilkis Bano convicts begin surrender — Following the Supreme Court's 8 January order quashing Gujarat's remission, the eleven convicts commenced the surrender process within the two-week deadline set by the Court.
- Electoral bonds case listed — The five-judge Constitution Bench hearing on the Electoral Bonds Scheme challenge continued to be listed for hearing, with final arguments expected in February.
- Parliament Interim Budget Session approaching — Preparations continued for the session commencing 31 January, with the Interim Budget presentation on 1 February.
Looking ahead
- UAPA bail judgment expected: The Supreme Court's decision in Gurwinder Singh is expected to provide definitive guidance on Section 43D(5) bail standards.
- Interim Budget Session: Parliament to commence on 31 January with the budget presentation on 1 February.
- Electoral Bonds hearing: Constitution Bench expected to continue final arguments in the coming weeks.
This is the Veritect Weekly Legal Roundup for Week 2 of 2024. For daily updates, visit our legal news page. Subscribe to receive this roundup every Monday morning.
Veritect provides this content for informational purposes and does not constitute legal advice.