https://www.taxtmi.com/caselaws?id=300525 Under the Master Circular on Wilful Defaulters dated 1 July 2015, the Identification Committee's initial decision had to be communicated to the borrowers so they could know the materials and reasons relied on and make an effective representation. A show-cause notice that omitted the full initial decision and the supporting materials denied a meaningful opportunity to contest the proposed classification. The Calcutta HC held that principles of natural justice apply to wilful defaulter proceedings under the circular, and non-communication of the first-stage decision amounted to a breach of those principles. The Bank's action could not be sustained and all steps taken against the petitioners were quashed. en-us Mon, 09 Sep 2019 00:00:00 +0530 Wed, 09 Feb 2022 05:42:43 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=300525 Under the Master Circular on Wilful Defaulters dated 1 July 2015, the Identification Committee's initial decision had to be communicated to the borrowers so they could know the materials and reasons relied on and make an effective representation. A show-cause notice that omitted the full initial decision and the supporting materials denied a meaningful opportunity to contest the proposed classification. The Calcutta HC held that principles of natural justice apply to wilful defaulter proceedings under the circular, and non-communication of the first-stage decision amounted to a breach of those principles. The Bank's action could not be sustained and all steps taken against the petitioners were quashed. Case-Laws Indian Laws Mon, 09 Sep 2019 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=300525