new delhi shares of one 97 communications the parent company of paytm fell 13 per cent on monday to touch an alltime low of rs 67200 after the reserve bank of india rbi on friday barred paytm payments bank from adding new customers with immediate effect due to likely gaps in its technology systems the bank has also been directed to appoint an it audit firm to conduct a comprehensive system audit of its it systempaytm payments bank was incorporated in august 2016 and formally began its operations in may 2017 from a branch in noidacurrently the stock is trading 65 per cent down from its alltime high of rs 196105 while on a yeartodate basis the stock is down 49its market cap slipped below rs 45000 crore on the bombay stock exchange during trading hours on monday at the time of its initial public offering the company had sought a market cap valuation of rs 139 lakh crore the stock made a tepid debut on november 18 2021 the scrip got listed at a discount of 930 per cent at rs 1950 on the nse against the issue price of rs 2150 per share on monday the stock closed at rs 68090 down 1221 percentonboarding of new customers by paytm payments bank ltd will be subject to specific permission to be granted by rbi after reviewing report of the it auditors the central bank said in a statementpaytm is continuing its southward journey and there is no end to a tough time for the investors of the company there is a serious allegation of data leaks to chinese firms whereas rbi also barred paytm bank from adding new customers unrealistic valuations at the time of ipo was a key concern initially then we didnt see any positive trigger that could have helped the stock to recover we dont have clarity of business model and timing of profitability while there are regulatory headwinds therefore new investors should avoid this stock despite a sharp fall in the price while existing investors may also look for exit opportunities however things can become better only if the company manages to come out of regulatory issues successfully and witness any signs of profitability said santosh meena head of research swastika investmart ltdpaytm said the rbis action does not impact any existing customers of ppbl who can continue to use all banking and payment services without interruptionall existing users of paytm upi paytm wallet paytm fastag and bank accounts can continue to use these instruments including debit cards and net banking for payments it said moreover new users can sign up on the paytm app and transact the users will have to create upi handles and then link them to their bank accounts they can also use thirdparty payment instruments for transactions on the paytm apphowever users can not until further notice sign up for new ppbl wallets or ppbl savings or current accounts one97 directedthe bank is taking immediate steps to comply with rbi