Atm: White label ATM firms flout rules: Cash management companies
NEW DELHI: Is cash generated by
kirana
shops and individuals going into white label ATMs that feed smaller towns and rural areas? That's the allegation that an industry body representing cash management companies - which have lost out on a large part of the business - has made to the
RBI
.
The Currency Cycle Association, which represents the cash management outfits, has said that the white label
ATM
operators do not follow guidelines prescribed by the RBI, and the cash replenishment system followed by them leaves them with little control over the genuineness of currency dispensed.
It has also accused the white label ATMs of violating other rules - from mounting electronic surveillance to how the machines are grouted. While there are over 2.5 lakh ATMs in India, around 55,000 are white label ones. On an average, estimates suggest that there are 90 transactions daily per ATM. In the case of the white label ATMs, the daily transactions range from 60-65 on an average.
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Friday, May 26, 2023 at 2:59 am