RBI tells BoB not to sign up users on app

livemint.com:

MUMBAI : The Reserve Bank of India (RBI) on Tuesday asked Bank of Baroda (BoB) to immediately suspend further onboarding of customers onto their mobile app ‘bob World’. This ban comes after RBI found material supervisory concerns while onboarding customers onto the app. Any further onboarding of customers of the bank on the app will be subject to rectification of deficiencies observed and strengthening of the related processes by the bank to the satisfaction of RBI, said an RBI release.

The bank has been further directed to ensure that already onboarded ‘bob World’ customers do not face any disruption on account of this suspension. In July, a digital news outlet ‘The Reporters’ Collective’ had reported that the bank’s staff had linked bogus mobile numbers with customers’ accounts to fraudulently sign them up on the bank’s app, bob World. In a notification to the exchanges on Tuesday, Bank of Baroda said corrective measures were being taken to address the deficiencies.

“We have initiated further steps to plug any remaining gaps identified, and we will work closely with the RBI to address their concerns at the earliest to their satisfaction," the bank said. BoB assured that existing customers will not face any disruption and would continue to have uninterrupted services on the mobile app. “We would like to reassure all our customers that our Bank’s Mobile Banking application is fully secure with robust security controls and features," the bank said.