Vijay Shekhar Sharma, the founder and majority owner of Paytm Payments Bank, has stepped down from the board of the troubled unit days after the Indian regulator signal continuity at the financial firm Paytm.

Paytm Payments Bank said Monday it was reconstituting the board of directors at the Paytm Payments Bank, an associate of Paytm, with the appointment of ex-Central Bank of India Chairman Srinivasan Sridhar, retired IAS officer Shri Debendranath Sarangi, former executive director of Bank of Baroda Shri Ashok Kumar Garg, and Retd. IAS Smt Rajni Sekhri Sibal as independent directors.

The appointment follows the Indian central bank penalizing Paytm Payments Bank, in which Sharma owns a 51% stake, with severe business restrictions. Most of the restrictions are set to go into effect on March 15.

TechCrunch reported early this month that the Indian central bank has weighed ordering a board shakeup at Paytm Payments Bank and removing some of the company officials, including Paytm founder Sharma.

More to follow.