Policy · Financial Services

Court dismisses Fino Payments Bank CEO's bail plea

By Startup Enthusiast · 23 March 2026

What they do

Fino Payments Bank is a payments bank that adds about 10,000 CASA accounts daily

Telangana High Court dismissed MD & CEO Rishi Gupta's bail plea in a GST evasion case involving about ₹840 crore

The bank says operations are unaffected, but shares fell nearly 28% since Gupta's arrest in late February

Telangana High Court dismissed the writ petition of Fino Payments Bank MD & CEO Rishi Gupta seeking bail and a declaration that his arrest was unlawful.
The case is titled Rishi Nand Kishore Gupta v Union Of India, heard by a bench of Chief Justice Aparesh Kumar Singh and Justice GM Mohiuddin.
Gupta was arrested in late February by the Directorate General of GST Intelligence (DGGI) under GST law.
The alleged GST evasion is pegged at around ₹840 crore, based on an estimated ₹3,000 crore in transactions routed through shell entities.
Ketan Merchant has been appointed interim CEO of Fino Payments Bank following Gupta's arrest.
The bank said its operations and financial position are unaffected, with customer balances and transaction volumes stable.
Fino Payments Bank shares fell close to 28% since Gupta's arrest, hitting a fresh 52-week low of ₹135.20 intraday and closing at ₹139.50, down 7.52% from the previous Friday's close.

The bank adds around 10,000 CASA accounts daily.
The bank is proceeding with its transition to a small finance bank, having received in-principle approval from RBI in December 2025.
The transition window is 18 months from the approval date.

Fino Payments Bank adds around 10,000 CASA accounts daily.
It is proceeding with a transition to a small finance bank, with in-principle approval from RBI in December 2025.
The transition window is 18 months from the approval date.

The bank is proceeding with its transition to a small finance bank.
The transition is to be completed within the 18-month window from the RBI's in-principle approval in December 2025.