One 97 Communications, parent company of Paytm, announced the resignation of its managing director and CEO Surinder Chawla to the stock exchanges.

The news comes a month after Paytm Payments Bank Ltd (PPBL) withdrew its banking services from the orders of the Reserve Bank of India.

One 97 Communications also informed the exchanges that Paytm no longer has any connection with PPBL and that the bank’s board has been reorganized with five independent directors, including an independent chairperson.

In his resignation, Chawla stated that his reasons are personal, as well as that he is on the lookout for better career prospects and June 26th is said to be his last working day.

Chawla started off as a member of the payment bank on January 9th last year and he was the chief of branch banking at RBL prior.

While PPBL lost its top executive, Paytm has witnessed excessive market share loss on the Unified Payments Interface (UPI), which is the most widely used mode of payment in the country.

In March, Paytm received 1.2 million UPI payments which is said to be low from the 1.3 million UPI payments received in February and 1.4 billion transactions in January, as per NPCI data.

With rivals PhonePe and Google Pay registering increases in monthly transactions, Paytm's market share on UPI is currently less than nine percent. In the previous month, PhonePe accounted for 48 percent of all transactions with 6.5 billion, while Google Pay had 37 percent of all transactions with five billion.

At the moment, Paytm collaborates with Yes Bank, HDFC Bank, State Bank of India, and Axis Bank to provide this service as a third-party payment app on UPI.

Tuesday's closing price for One 97 Communications shares was Rs 404.3 per share, down 1.95 percent on the BSE, while the benchmark Sensex was down 0.08 percent, almost unchanged.