‘Every violation of RBI rules not open to court scrutiny’

RBI master directions are meant to safeguard public money , says the HC

- Urvi Mahajani

The Bombay High Court has lifted the stay on action initiated by three public sector banks to classify the loan accounts of industrialist Anil Ambani and Reliance Communications Ltd (RCom) as fraud, holding that the Reserve Bank of India’s (RBI) master directions are meant to safeguard public money and cannot be routinely subjected to judicial scrutiny.

A division bench of Chief Justice Shree Chandrashekhar and Justice Gautam Ankhad on Monday quashed a December 2025 interim order passed by a single judge which had restrained banks from proceeding against Ambani under the RBI master directions on fraud classification. The detailed 52-page judgment was made available on Tuesday.