Supreme Court Seek Action against RBI Governor

A number of petitions have been filed before the Supreme Court Seek Action against RBI Governor Shaktikanta Das, Chief Executive of Indian Banks Association (IBA) and others for allegedly flouting the Supreme Court’s earlier order, by the turning and declaring the account of the petitioners as Non Performing Assets (NPA) in connection with the moratorium matter.
The respondents, Reserve Bank of India (RBI) Governor, Shaktikant Das, Chief Executive of Indian Banks Association (IBA) were duty-bound to promulgate and ensure the compliance of the order of this court throughout the country but they deliberately didn’t, the petition said.
The Supreme Court’s order, dated September 3, 2020, was operational on all lending institutions/banks throughout the country and was passed in favour of all borrowers accounts to grant relief from financial stress during the COVID-19 pandemic, Tiwari said in the petition.

The petitioners – M/s Azeez Trading Company, Umrazz Trading Corporation, Ajay Hotel and Restaurant, Latur, Maharashtra — have filed their plea through lawyer Vishal Tiwari and Advocate On Record (AOR) Abhigya.

The respondents, Reserve Bank of India (RBI) Governor Shaktikanta Das and Chief Executive of Indian Banks Association were duty-bound to promulgate and ensure the compliance of the order of this court throughout the country but they deliberately didn’t, the petition said.

The Supreme Court’s order, dated September 3, 2020, was operational on all lending institutions/banks throughout the country and was passed in favour of all borrowers accounts to grant relief from financial stress during the Covid pandemic, Tiwari said in the petition.

The September 3 order was passed in the presence of the respondents represented by their counsel and all were very well aware of the stay order, the petition said.

It further claimed that the act of the respondents had not only disobeyed the court’s order but also caused severe irreparable damage and loss to the petitioners.

“The petitioners have lost their image and has been defamed as the possession notice was published in the new papers of his locality which made the dignity of the petitioner lower,” it added.

The act of all the respondents has shaken the confidence of the public and has degraded the trust of the borrowers, the petition said. The petitioners have sought the issuance of notice to the alleged contemnors for willfully violating the order of the Supreme Court.

“Punish the contemnors for having committed contempt of this Court,” the petition said.

Further, in the petition, Tiwari said that the stay order was passed in for the benefit of stressed borrowers so that they do not suffer in the ongoing financial crisis during the pandemic.

“There is already a slump in the work of the petitioner. The stay order was operating as a lifesaving drug but the contemptuous act of the respondent has brought a major setback to the petitioner and his survival has become critical,” the petition said.

Several petitions have already been filed in the same case before the Supreme Court.