Synopsis:
Fino Payments Bank Limited has settled a case with SEBI for not reporting employee frauds on time and paid Rs. 5.88 lakh as part of the resolution.
The shares of a small-cap company focused on offering a variety of financial services to the rural, low-income, and underserved classes caught investors’ attention after the bank settled the case with SEBI.
With a market capitalization of Rs.2,564.79 crores, the shares of Fino Payments Bank Limited were trading at Rs.308.20, up by 3.09 percent from its previous day closing price of Rs.298.95.
What’s the news?
On Monday, Fino Payments Bank Limited solved a case with SEBI over the delays in reporting employee fraud and paid Rs. 5.88 lakhs as part of the settlement. The settlement order was received on 6th October,2025, resolving the case without the bank admitting or denying any fraudulent acts. SEBI has issued show show-cause notice after knowing the bank didn’t inform timely manner about the employees’ frauds.
SEBI found out 15 cases of fake investment schemes that should have been disclosed under the rules. The bank’s share price was impacted due to these incidents at that time.
The bank mentioned that the issue has been solved now, and SEBI confirmed that the case is closed. The settlement had very little financial or operational impact on the bank. With this resolution, the bank proceeded further, and SEBI ended the proceedings after receiving the settlement amount. The bank neither accepted nor declined SEBI’s findings.
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About the company
Fino Payments Bank Limited provides various financial services mainly to rural areas and people who have limited or no access to banking. It focuses on digital, payment-based products and services. The company follows a light business model, earning most of its income through fees and commissions from its merchant network and business partnerships.
The company’s revenue increased from Rs.45 crore in Q1FY25 to Rs.61 crore in Q1FY26, while net profit declined to Rs.18 crore from Rs.24 crore during the same period. It recorded a return on equity of 13 percent and a return on capital employed of 6.64 percent. The company’s price-to-earnings ratio stands at 30.02, with the industry average of 18.79.
Written by Jhanavi Sivakumar
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