Power to issue directions
Section 17 of the Payment and Settlement Systems Act, 2007 deals with power to issue directions. Where the Reserve Bank is of the opinion that,-- (a) a payment system or a system participant is engaging in, or is about to engage in, any act, omission or course of conduct that results, or is likely to result, in systemic risk being inadequately controlled; The Act came into force on 12 Aug 2008.
Where the Reserve Bank is of the opinion that,--
(a) a payment system or a system participant is engaging in, or is about to engage in, any act, omission or course of conduct that results, or is likely to result, in systemic risk being inadequately controlled; or
(b) any action under clause (a) is likely to affect the payment system, the monetary policy or the credit policy of the country,
the Reserve Bank may issue directions in writing to such payment system or system participant requiring it, within such time as the Reserve Bank may specify--
(i) to cease and desist from engaging in the act, omission or course of conduct or to ensure the system participants to cease and desist from the act, omission or course of conduct; or
(ii) to perform such acts as may be necessary, in the opinion of the Reserve Bank, to remedy the situation.
Section 17, The Payment and Settlement Systems Act, 2007 (Act 51 of 2007).
Questions about Section 17
What does Section 17 of the Payment and Settlement Systems Act deal with?
Section 17 of the Payment and Settlement Systems Act is headed "Power to issue directions". Where the Reserve Bank is of the opinion that,-- (a) a payment system or a system participant is engaging in, or is about to engage in, any act, omission or course of conduct that results, or is likely to result, in systemic risk being inadequately controlled;
How do I find court cases under Section 17 of the Payment and Settlement Systems Act?
In judgments and charge sheets this section is written several ways, and each form finds a different set of orders. These search the full text of every order eCourtsIndia holds, best matches first: Payment and Settlement Systems Act 17, section 17 Payment and Settlement Systems Act, section 17 of the Payment and Settlement Systems Act. Each opens the full list of orders on eCourtsIndia, where it can be narrowed by court, year and outcome.
When did Section 17 of the Payment and Settlement Systems Act come into force?
Section 17 of the Payment and Settlement Systems Act, cited as Payment and Settlement Systems Act 17, came into force on 12 Aug 2008, having been enacted on 20 Dec 2007. It is in force as at the date shown on this page.
Other sections of this Act
Source and method. Compiled from the enactments of Parliament and of the State legislatures as published on India Code, and republished together with commentary and other original matter under section 52(1)(q)(ii) of the Copyright Act, 1957. Structured, cross-referenced and maintained by eCourtsIndia. Text as in force on 20 Oct 2026. This page is not a substitute for legal advice.