https://www.taxtmi.com/caselaws?id=396593 A statutory RBI moratorium circular issued to ease pandemic-related debt stress was treated as a public regulatory framework enforceable against private lenders under Article 226. The circular was read as creating an operative entitlement for eligible borrowers, requiring lenders to apply it consistently with its purpose and not to defeat business continuity. The relief was held to extend to structured lending arrangements, including lease rental discounting, because the circular contained no exclusion for such facilities. In a multi-bank structure, one lender could not refuse moratorium when the others were willing to extend it, as fragmented treatment could trigger default and NPA consequences contrary to the circular's object. en-us Wed, 08 Jul 2020 00:00:00 +0530 Mon, 13 Jul 2020 10:56:30 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=396593 A statutory RBI moratorium circular issued to ease pandemic-related debt stress was treated as a public regulatory framework enforceable against private lenders under Article 226. The circular was read as creating an operative entitlement for eligible borrowers, requiring lenders to apply it consistently with its purpose and not to defeat business continuity. The relief was held to extend to structured lending arrangements, including lease rental discounting, because the circular contained no exclusion for such facilities. In a multi-bank structure, one lender could not refuse moratorium when the others were willing to extend it, as fragmented treatment could trigger default and NPA consequences contrary to the circular's object. Case-Laws Indian Laws Wed, 08 Jul 2020 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=396593