Fino Payments Bank CEO arrested in GST probe linked to partner, board names interim head – BusinessToday

Rishi Gupta, Managing Director and CEO of Fino Payments Bank, was arrested on February 27 beneath provisions of the Central Items and Companies Tax (CGST) and State Items and Companies Tax (SGST) Acts, the financial institution mentioned in a regulatory submitting.

The financial institution clarified that the investigation relates to sure enterprise associate(s) and never to its personal GST compliance.

The lender mentioned it’s cooperating with authorities and offering all essential info. “Presently there isn’t any impression on the financial institution. In case of any impression in the long run, applicable disclosure can be made to the inventory exchanges,” it added.

In a disclosure to the BSE and NSE beneath Regulation 30 of the SEBI (Itemizing Obligations and Disclosure Necessities) Rules, 2015, the lender mentioned Gupta was arrested beneath Part 132(1)(a) and 132(1)(i) of the CGST and SGST Act, 2017 on February 27, 2026. The bottom of arrest was issued at 03:55 a.m. (IST).

Fino Payments Bank additionally said that the arrest has been made solely in respect of Gupta and that not one of the financial institution’s officers are concerned in the matter. The event has been reported to the Reserve Bank of India (RBI), the submitting famous. The estimated quantity concerned, if any, stays beneath assessment.

Following the arrest, the board convened a particular assembly on Friday night, which commenced at 06:45 p.m. and concluded at 07:06 p.m. Through the assembly, Chief Monetary Officer Ketan Service provider was appointed as Head of the Organisation to keep it up and oversee the day-to-day operations of the financial institution in Gupta’s absence. Service provider will stay in cost till in any other case resolved by the board or till Gupta resumes workplace, whichever is earlier.

“The Bank is actively taking applicable measures to tackle and overcome the above scenario,” the corporate mentioned, including that the disclosure can be accessible on its web site.

In an announcement, Ketan Service provider, Chief Monetary Officer, Fino Payments Bank Restricted, mentioned, “Following our inventory alternate disclosure dated February 27, 2026, we wish to reiterate that the Bank maintains robust company governance requirements, a sound compliance framework and sturdy inner processes. As a regulated entity, we adhere to all relevant legal guidelines, together with GST rules. The matter pertains to a GST investigation involving sure enterprise associate(s). The Bank and its MD & CEO, Mr. Rishi Gupta, will not be linked with the actions of those enterprise associate(s). We have now full religion in the nation’s judicial system and can proceed to cooperate absolutely with the authorities in the continuing proceedings.”

“We additionally want to guarantee our prospects, traders and all stakeholders that our operations stay regular and uninterrupted, with no impression on companies. We stay steadfast in our dedication to buyer centricity and delivering constant worth,” the assertion added.