Kerala High Court ruled that a bank is responsible for paying compensation if it cashes forged cheques due to its own negligence. The Court said the customer can’t be blamed without proof they knew about the forgery.
Fugitive businessman Vijay Mallya has approached the Karnataka High Court against debt recovery actions on Kingfisher Airlines, stating that authorities have already recovered the “principal debt amount multiple times over.” He has also requested a halt on further recovery and a detailed account statement. Mallya, wanted in India since 2016, claims banks have recovered more than double the Rs 6,203 crore debt, while Finance Minister Nirmala Sitharaman confirmed Rs 14,131.6 crore of his assets were restored to banks.
The Supreme Court of India, in the Central Bank of India v. Smt. Prabha Jain case, stressed the necessity for banks to meticulously verify title clearance reports before granting loans on immovable property. The ruling advocates for standardized guidelines to curb fraudulent transactions and emphasize the jurisdiction of civil courts regarding property title disputes, enhancing public interest in secured lending.
In response to a Supreme Court ruling, banks are seeking clarification on loan sanctions against properties without completion and occupancy certificates. This impacts older and ancestral buildings as many lack these documents. The ruling complicates lending for properties under construction, prompting banks to explore legal options for compliance and clarity in their lending practices.
The Income Tax Appellate Tribunal (ITAT) has temporarily allowed the Indian National Congress to access its frozen bank accounts while subject to a lien imposed by the Income Tax Department. The decision follows the party’s disclosure of the account freeze, citing it as an attack on democracy. This milestone highlights the delicate balance between financial scrutiny and political freedom.