'Don't just cut, copy & paste, apply mind': HC to banks on Anil Ambani's plea against declaring account ‘fraud’

While considering industrialist Anil Ambani's appeal contesting Union Bank of India's October 10, 2024, order declaring his account "fraud," the Bombay high court chastised banks and stated that they cannot just "cut, copy, and paste" orders declaring accounts as "defaulter" or "fraud."

Ambani was instructed by a division bench consisting of Justices Revati Mohite Dere and Neela Gokhale to contest the order by going to the Reserve Bank of India (RBI).

Such cut-and-paste orders are not possible. There must be some mental application. In the end, this is public funds. Such directives cannot be made in such a casual way. Some sort of system must be implemented. Anil Ambani had alleged that prior to the ruling being issued, he was not given a hearing. He contested two of the bank's show-cause notifications and requested copies of the supporting documentation before the bank published its ruling. No documentation were provided, he said.