An applicant filed a petition against Google pays that it was flouting the laws of UPI because it is not allowing to donate in the PM Cares Fund without making a different ID on the app.
Delhi High Court has sought the response of Reserve Bank of India and the Center a petition contending, immediate steps to be taken to cancel the operation as of Google India Digital Service in UPI through its app “Google Pay” unless it totally accepts the interoperability.
The hearing of the case was conducted through video conferencing and Justice Asha Menon of Delhi High Court orders to RBI, the Center, and Google India Digital Services Pvt.Ltd to submit their respective responses via issuing the notice.
The pleader knocked High Court’s door after the UPI payment the app, Google pay did not allow him to put his contribution in PM Cares Fund without creating a fresh VPA or UPI ID on the app itself.
When the applicant, named Shubham Kapaley tried to make other transactions using his already existing UPI/ VPA ID, a similar issue of refusal of interoperability happened.
Google India’s app, Google Pay was not following the rules and regulations of the Unified Payment Interface ( UPI) interoperability. The app does not give permission to the new users to make their transactions via existing Virtual Payment Address (VPA) on its pa platform that the users might have developed through different UPI/VPA applications or platforms.
According to the norms of earlier circular, no merchant shall or can put pressure on the customers to make a VPA or enroll in UPI in order to enjoy advantages on the merchant apps.
In the petition, it was claimed that Google Pay forces customers to make a UPI ID or VPA, to use its features and the plea demanded action against, Google India Digital, which is rendering its services through Google Pay in the nation.
It asks to direct RBI and the Center to hold a thorough third party and independent inquiry of the app so that to check compliance of every norms and guideline disclosed by the National Payment Corporation of India( NPCI). The NPCI regulates multiple digital payment tools including RBI and UPI. According to the NPCI rules of 2017 circulation “ the merchant should allow the client to enter his/ her VPA as a proportional choice or option and not compel the creation of VPA for purchase or using the benefits on the merchant app.”
Google spokesperson said in the favor, “The Google Pay app enables users with any UPI ID to make donations and transactions. Some users might not have seen this as assistance was rolled out in phases.”
The plea suggested imposing a heavy penalty, at least 10 times the total revenue of Google Pay since its commencement in the country and that amount should be used as a donation in COVID- 19 Relief Fund.
- Varsha Verma