https://www.taxtmi.com/caselaws?id=165263 A special winding-up scheme for banking companies was upheld as a reasonable classification aimed at protecting depositors and banking stability. The Court accepted that banks form a distinct class requiring closer regulation because they handle public funds, and that the Reserve Bank, as the expert supervisory authority, could be entrusted to form the opinion that continuance of a company was prejudicial to depositors. The absence of a prior judicial determination did not make the process arbitrary or unreasonable, since the statutory design sought prompt action in the public interest. The dissent considered the exclusion of judicial hearing and the Reserve Bank's dual role unconstitutional. en-us Wed, 07 Mar 1962 00:00:00 +0530 Wed, 27 Aug 2014 11:58:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=165263 A special winding-up scheme for banking companies was upheld as a reasonable classification aimed at protecting depositors and banking stability. The Court accepted that banks form a distinct class requiring closer regulation because they handle public funds, and that the Reserve Bank, as the expert supervisory authority, could be entrusted to form the opinion that continuance of a company was prejudicial to depositors. The absence of a prior judicial determination did not make the process arbitrary or unreasonable, since the statutory design sought prompt action in the public interest. The dissent considered the exclusion of judicial hearing and the Reserve Bank's dual role unconstitutional. Case-Laws Companies Law Wed, 07 Mar 1962 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=165263