Sunday, November, 27, 2022 07:34:17
Paytm Mall teams up with EY to implement fraud prevention technology
Some Paytm Mall staff have seemingly plotted with third-party vendors, made fake orders and received negotiated payment for their assistance
Paytm Mall, an Indian e-commerce platform, has recently announced its collaboration with Ernst & Young (EY), a Global professional services firm, to develop a technology-driven fraud prevention system.
According to company, this move is aimed at undertaking regular audits to recognize and deter collusion, apply learnings from worldwide practices as it extends operations into other geographical areas and reinforces the marketing and merchant on-boarding processes.
Citing reliable sources, it was recently claimed that some Paytm Mall staff plotted with third-party vendors, made fake orders and received negotiated payment for their assistance. Paytm Mall, which is backed by Alibaba, did not offer any direct comments on the statement.
Senior Vice President of Paytm Mall, Srinivas Mothey, said that the collaboration with EY will aid in benchmarking with worldwide best practices as Paytm Mall has built a tech-driven fraud prevention system to scale their operations. The company is focused on creating a trusted commerce platform and will take stringent actions against wherever it is needed. Along with this, the teams continue to work closely with EY to share their insights and learnings, he added.
Apparently, apart from finance, admin and other support functions, Paytm Mall also has a business operations team which works closely with partnered dealers to plan and implement cashback offers and promotions. The EY partnership will also efficiently handle audit and fraud prevention using both human and Artificial Intelligence, sources said.
As per Forrester Research, in 2018, the market share of Paytm Mall was almost halved to 3% from 5.6% in 2017 and in terms of market share, Paytm Mall lags the top two e-commerce players. It has a single digit share against the topmost leaders which are commanding more than 30% market share.
Reportedly, Paytm Mall has until now managed to raise more than $650 million from SAIF Partners, SoftBank, and Alibaba.
Source Credit https://www.cnbctv18.com/finance/cashback-fraud-hit-paytm-mall-partners-ey-to-catch-conmen-3308971.htm