Google India Digital Services Pvt Ltd has told the Delhi High Court that its Google Pay app does not require RBI authorisation as it is not a payment system operator but a third-party application provider. The PSO authorised by the Reserve Bank of India is the National Payment Corporation of India which is the owner and operator of the entire unified payment interface network. The affidavit was filed in response to a PIL which has alleged that Google”s mobile payment app, Google Pay or GPay in short, was facilitating financial transactions without the requisite authorisation from RBI.
Google said it is complying with the circular, even though it is only applicable to system providers and not service providers like itself. RBI had earlier told the court that Google Pay is a third-party app provider and does not operate any payment systems. RBI had also told the high court that since Google Pay does not operate any payment system, it does not find a place in the list of authorised payment system operators.
