Classification of Ratul Puri, his mother as wilful defaulters legally unsustainable: Delhi HC

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....lassification of Ratul Puri, his mother as wilful defaulters legally unsustainable: Delhi HC<BR>FEMA / RBI<BR>Dated:- 10-8-2025<BR>PTI<BR>New Delhi, Aug 10 (PTI) The Delhi High Court has held that the....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

.... classification of Ratul Puri, former director of Moser Baer India Limited, and his mother Nita Puri as "wilful defaulters" under the Reserve Bank of India (RBI) Master Circular is "legally unsustaina....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....ble". A division bench of Justices C Hari Shankar and Ajay Digpaul passed the order while dismissing appeals filed by the Bank of Baroda (BoB) and the Punjab National Bank (PNB). The bench held that....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

.... the "wilful defaulter" declarations were legally unsustainable since the banks had failed to establish, "through verified and objective material, that the transactions in question involved borrowed f....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....unds that had been intentionally diverted or siphoned off". "The authorities, at all stages, have to be alive to the fact that a declaration of wilful default, within the meaning of the Master Circul....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....ar, results in civil death," the bench said. It added that such decisions must be based on the objective facts and circumstances of the case and the borrower's overall track record. The division ben....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....ch was hearing an appeal against an order passed by a single-judge bench. The single-judge bench had held that the essential ingredients of wilful default under the RBI's Master Circular were not met....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

..... The banks had then filed the appeals. PTI UK RC<BR> News - Press release - PIB....