Business Standard

SC refuses to stay Telangana HC order on RBI's fraud classification

However, it allowed the parties to file replies and rejoinders and listed the matter on July 13

crime
Premium

Dev Chatterjee Mumbai
The Supreme Court has refused to stay an order by the Division Bench of the Telangana High Court, which called the Reserve Bank of India's (RBI) circular on fraud classification  arbitrary and illegal. 

The Supreme Court has, however, allowed the parties to file replies and rejoinders and listed the matter on July 13. The SC was hearing an appeal filed against a small company that had defaulted on bank loans and its account was classified as fraud as per the RBI circulars. 

But as the Telangana court stated that the classification would impact other corporate accounts too, SBI and RBI

Don't miss the most important news and views of the day. Get them on our Telegram channel

First Published: Apr 22 2021 | 3:21 PM IST

Explore News

To read the full story, subscribe to BS Premium now, at just Rs 249/ month.

Key stories on business-standard.com are available only to BS Premium subscribers.

Register to read more on Business-Standard.com