Airtel Payments Bank CEO Shashi Arora quits over eKYC licence row

Airtel Payments Bank Managing Director and CEO Shashi Arora resigned today in the wake of the Bharti Airtel's eKYC licence suspension by Unique Identification Authority of India (UIDAI). 

“Shashi has decided to move on to pursue opportunities outside of Airtel. We wish Shashi the very best for his future endeavours,” the company said in a statement.

The statement further said, “He has been an asset for Airtel and over the years has contributed to the company’s growth story. Having led the operations in key telecom circles followed by building a strong DTH business, he has laid the foundation for Airtel’s payments bank operations.” 

Arora, who has been working with the telecom firm in senior leadership roles since 2006, was appointed MD and CEO of Airtel Payments Bank on June 1, 2016.

The UIDAI had barred Bharti Airtel and Airtel Payments Bank from conducting Aadhaar-based verification of customers using the eKYC process due to 'malice', sources said, adding Shashi's resignation is fall out of that.

The UIDAI took action against the country's largest telecom firm on the allegations that it was using the Aadhaar-eKYC based SIM verification process to open payments bank accounts of its subscribers without their ‘informed consent.’

It, however, on Thursday allowed Bharti Airtel to do Aadhaar-based eKYC verification for telecom subscribers till Jan 10, with riders. 

But UIDAI maintained that Airtel Payments Bank eKYC licence will remain suspended till final enquiry and audit report.

Bharti Airtel, the India's largest telecom company with 282 million subscribers, got the temporary reprieve with conditions after Rs 138 crore Direct Benefit Transfer (DBT) was repaid into 55.63 lakh original accounts of its customers, sources privy to the development reportedly said.

Earlier on Sunday, UIDAI had suspended Bharti Airtel and Airtel Payments Bank’s e-KYC license for alleged misuse of the facility.
 
The "Aadhaar linked e-KYC" service of UIDAI provides an instant, electronic, non-repudiable proof of identity and proof of address along with date of birth and gender, resident`s mobile number and email address to the service provider.