Bombay High Court Upholds SBI's 'Fraudulent' Tag on Anil Ambani's Accounts

The Bombay High Court has affirmed the State Bank of India's (SBI) decision to label the accounts of Anil Ambani and Reliance Communications as 'fraudulent.' In its verdict, the court found no legal faults in the bank's procedure, dealing a blow to Ambani's contention of being treated unfairly.

A bench comprising Justices Revati Mohite Dere and Neela Gokhale dismissed Ambani's petition against the SBI order, noting that Ambani's arguments lacked 'merit.' Despite his claims of being deprived of a personal hearing and access to essential documents, the court emphasized that Ambani had never formally requested such a hearing in the first place.

The court underscored that the RBI's Master Directions offer the right to make a representation but do not guarantee a personal hearing. They stated that the principles of natural justice did not apply here, dismissing Ambani's claim that he was not a whole-time director and thus should have been exempt from the fraud classification.

(With inputs from agencies.)