https://www.taxtmi.com/caselaws?id=312287 A wilful defaulter declaration under the RBI framework must follow the prescribed committee process: the Identification Committee must examine the material, issue the show cause notice, record reasons, and make its order known to the borrower, and the Review Committee must pass a reasoned decision. Where the notice is issued by the bank instead of the committee, the identifying order is not supplied, and the review confirmation gives no reasons, the borrower is denied a meaningful opportunity of hearing and the declaration is procedurally invalid. Consequential reporting to RBI/CIBIL based on such a defective declaration also cannot stand, and the matter must be reconsidered afresh in accordance with the circular. en-us Wed, 01 Dec 2021 00:00:00 +0530 Sat, 10 Feb 2024 05:45:35 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=312287 A wilful defaulter declaration under the RBI framework must follow the prescribed committee process: the Identification Committee must examine the material, issue the show cause notice, record reasons, and make its order known to the borrower, and the Review Committee must pass a reasoned decision. Where the notice is issued by the bank instead of the committee, the identifying order is not supplied, and the review confirmation gives no reasons, the borrower is denied a meaningful opportunity of hearing and the declaration is procedurally invalid. Consequential reporting to RBI/CIBIL based on such a defective declaration also cannot stand, and the matter must be reconsidered afresh in accordance with the circular. Case-Laws Insolvency and Bankruptcy Wed, 01 Dec 2021 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=312287