Rishi Gupta with elements of the Telangana High Court and Fino Payments Bank.
The Telangana High Court dismissed the writ petition filed by Fino Payments Bank MD and CEO Rishi Gupta, weeks after his arrest in an alleged tax evasion case. The bench, led by Chief Justice Aparesh Kumar Singh and Justice GM Mohiuddin, rejected Gupta’s plea to declare his arrest unlawful.
Gupta’s petition sought his release on bail, claiming the arrest violated Articles 14, 19, 21, and 22 of the Indian Constitution. Fino Payments Bank acknowledged the court’s order and awaits the judgment copy. The bank reiterated that the ongoing investigation concerns program managers associated with multiple banks and not Fino Payments Bank’s GST compliance.
The case, Rishi Nand Kishore Gupta v Union Of India, stems from a Directorate General of GST Intelligence (DGGI) probe. Gupta is alleged to be a mastermind in routing funds from illegal online gaming platforms through shell entities, with estimated GST evasion around ₹840 Cr on ₹3,000 Cr in transactions.
Following Gupta’s arrest in February, CFO Ketan Merchant was appointed interim CEO. Fino Payments Bank maintains that operations and financial position remain stable, with consistent customer balances and daily CASA account additions. The bank is proceeding with its transition into a small finance bank, approved by the Reserve Bank of India in December 2025, and expects to complete the transition within 18 months.
Since Gupta’s arrest, Fino’s shares have declined nearly 28%, closing at ₹139.50 after hitting a 52-week low of ₹135.2 during intraday trading, marking a 7.52% drop from the previous close.
About the Author
