Wilful defaulter classification left open as bank permitted to begin fresh proceedings under the Master Circular.

A writ challenge to a bank's classification of an account as a wilful defaulter was not finally decided on merits; the court left that challenge open for consideration in proceedings conducted under the Master Circular. The bank was permitted to initiate fresh proceedings in accordance with law, so the classification issue could be examined within the prescribed framework rather than being conclusively interfered with in writ jurisdiction.

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Issues: Whether the bank's decision classifying the account as a wilful default was liable to be interfered with in writ proceedings, and whether the bank could be permitted to initiate fresh proceedings under the Master Circular for wilful defaulters.

Outcome: The writ petition was disposed of by permitting the bank to initiate proceedings in accordance with law, while keeping the challenge to classification open for consideration in such proceedings.

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