Data servers must be in India, Paytm told

Members of the panel from different political parties asked Paytm why the server on which data of its customers is collected and stored is abroad when it claims to be an Indian firm, sources said.

The panel members told Paytm representatives that the server on which customer data is stored should be based in India, sources said, adding that they also wanted to know about the quantum of Chinese investments in the digital payment service and specifics about its “backend linkages”. Questions were also raised about the possible conflict of interest considering that Paytm also sells its own products on its e-commerce platform, they said.