![RBI Identifies Unauthorized BPSP Operations in One Card Network RBI Identifies Unauthorized BPSP Operations in One Card Network](https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhQW3_uLTSf5kLgC5sOdZfxizQ-4-ioLC9rf-gl_8WaA1ZgC0ygHm5NfQFhWj_u8sVubVs1rzMlLtOJp-FBBu7drMMEY04Lvu5CKYKuh4bg7H2iYDqMLYm3O0PwVBkLevpwsWUG4U9LvKah5JN9k98Ku_G8hbrvUMUEk8awaRt_JMKdtzsQx8BMHsAi5zXz/w320-h192-rw/Copy%20of%20Copy%20of%20Copy%20of%20Untitled%20(500%20%C3%97%20300%20px)%20(500%20%C3%97%20280%20px)%20(500%20x%20300%20px)%20(10).png)
- Key points:
- Unapproved arrangement: The RBI identified an arrangement facilitated by a card network that allowed businesses to use intermediaries to make card payments to entities that don't accept card payments directly.
- Concerns: This arrangement raised concerns about bypassing card acceptance protocols and potentially violating the Payment and Settlement Systems Act (PSS Act).
- Only one network: While the RBI didn't name the specific network, they clarified that only one card network had implemented this arrangement in India so far.
- Action taken: The RBI directed the unnamed network to stop this unauthorized practice and keep all such arrangements on hold until further investigation.
Question:
Q.1 What action did the RBI take against the unnamed card network?a. Imposed a fine
b. Directed the network to stop the unauthorized practice
c. Took no action
d. Encouraged the practice