SadaPay Under Pressure in Pakistan Amid Papara Scandal
Hey FinTech Fanatic!
A year after being acquired, SadaPay is now facing growing regulatory pressure in Pakistan. The reason is that its parent company, Turkish FinTech Papara, is at the center of a $330 million money laundering investigation that has led to the arrest of 15 individuals, including founder and CEO Ahmed Faruk Karslı.
While the case remains focused on activities in Türkiye, scrutiny has begun to shift toward Papara’s overseas subsidiaries. In Pakistan, FinTech analyst Muhammad Yasir has called on the State Bank to review its oversight of foreign-backed digital payment firms.
“While the allegations pertain to activities in Türkiye, the reputational impact on SadaPay is inevitable,” Yasir said. He emphasized the need for “continuous due diligence” in managing cross-border financial risks.
SadaPay has not yet issued a statement. But it is not the only firm potentially exposed. Papara’s expansion spree over the past year included the acquisition of Spanish neobank Rebellion Pay, Turkish investment platform Finfree, and T-Bank. Each move brought Papara closer to its goal of becoming a financial “Super App.”
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