RBI Doesn’t Authorize Flipkart, Amazon etc Cash-on-delivery Deals

Reserve Bank of India has made it clear through reply of a Right to Information (RTI) query that Cash-on-delivery (CoD) by services Aggregators/payment intermediaries like Amazon and Flipkart are not authorized under Section 8 of the PSS (Payments and Settlements Systems) Act, 2007.

are not authorized under the definition of payment system and system provider of the Payments and Settlements Systems Act, 2007. 

Whether Cash on Delivery Services are legal or illegal, a good subject for debate now ?