CFIC Introduction
Original title: License cancellation, agency name change! An industry ushered in a big "reshuffle"!
As the first administrative regulation in the financial sector issued after the Central Financial Work Conference, the Regulations on the Supervision and Administration of Non-bank Payment Institutions (hereinafter referred to as the "Regulations") have been officially implemented since May 1. China Banking and Insurance News noted that since the implementation of the "Regulations" for a month, there has been continuous news about non-bank payment institutions, and the payment industry is in the "ongoing" of accelerated adjustment.
31 payment institutions were approved to change their names
On May 31, the official website of the People's Bank of China disclosed 32 new pieces of change license information in the "Announcement of Permission Information for Changes in Major Matters of Non-bank Payment Institutions". Among them, 31 payment institutions such as Shanghai Business Travel Business Service Co., Ltd. were approved to change their names, and the relevant renamed institutions added the word "payment" to the company name. Su Xiaorui, chief researcher of Suxi Zhiyan, said in an interview with China Banking and Insurance News that the intensive name change of payment institutions is mainly in response to the spirit of supervision. In accordance with Article 6 of the Regulations, the word "payment" shall be indicated in the name of a non-bank payment institution. "The renamed payment institution has enhanced its compliance while improving the recognition of the name of the industrial and commercial entity." In addition to the approval of 31 payment institutions to change their names, the People's Bank of China issued an approval announcement on the same day, agreeing to the merger of Ping An Pay Electronic Payment Co., Ltd. with Ping An Pay Technology Service Co., Ltd. After the merger, the registered capital of Ping An Pay Electronic Payment Co., Ltd. increased to 1,169.58 million yuan, the business type of "Payment Business License" increased the issuance and acceptance of prepaid cards (nationwide), and Ping An Pay Technology Service Co., Ltd. terminated the payment business and cancelled the "Payment Business License". In the eyes of industry insiders, Ping An's payment license will be merged from two to one, which is also closely related to regulatory requirements. According to the Regulations, the controlling shareholder and actual controller of a non-bank payment institution shall comply with the provisions on the management of equity of non-bank payment institutions; The same shareholder shall not directly or indirectly hold more than 10% of the equity or voting rights of two or more non-bank payment institutions of the same business type; The same actual controller must not control two or more non-bank payment institutions of the same business type, except as otherwise provided by the state.
There is still a need to strengthen compliance
In fact, under the guidance of the new regulations, there are precedents for the sale, merger and cancellation of multiple payment licenses of the same company, such as UnionPay Commerce, which continues to "slim down". Whether it is an intensive name change or a cancellation of licenses, what points to the compliance adjustment of payment institutions is behind it. On May 31, the administrative penalty publicity information table released by the People's Bank of China showed that Zhejiang Aerospace Electronic Information Industry Co., Ltd. (hereinafter referred to as "Zhejiang Aerospace Electronics") was warned by the People's Bank of China for 8 illegal acts, confiscated 15.9631 million yuan of illegal gains, fined 28.2531 million yuan, and confiscated a total of 44.2162 million yuan. In addition, those responsible are also punished. Wang Pengbo, a senior analyst at Broadcom Consulting, told China Banking and Insurance News that judging from the announcement, Zhejiang Aerospace Electronics' violations are very "comprehensive", and they are the most common violations of the People's Bank of China. In addition, it is worth noting that the data shows that Zhejiang Aerospace Electronics is a holding subsidiary of cross-border payment giant PingPong (Hangzhou Ping Pong Intelligent Technology Co., Ltd.), with a shareholding ratio of 51%. "This penalty is also a reminder to companies like PingPong that acquire domestic payment licenses for cross-border licensing, and that they must also comply with domestic compliance requirements after the acquisition, and pay attention to the benign operation of their original domestic business." Wang Pengbo said. Looking ahead, in the view of industry insiders, the payment industry is in a period of violent reshuffle, and the compliance construction of non-bank payment institutions is still on the way. Su Xiaorui suggested that under the new payment regulations, existing non-bank payment institutions should first improve and improve the payment-related internal control system, and implement the specific payment business responsibility to the person; Secondly, it is necessary to benchmark the new payment regulations and sort out the fines in recent years, and go deep into the areas with compliance shortcomings to check and fill the gaps in a timely manner; In addition, it is also necessary to return to the original payment business, and continuously improve the ability to serve the real economy in terms of creating high-quality comprehensive services and enhancing scientific and technological innovation capabilities.
Source of this article: China Banking and Insurance News Intern Reporter: Yingcao Zhuoma
WeChat editor: Guan Qiao
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