Overview
- The Supreme Court, which ruled Thursday, upheld a Bombay High Court order letting Bank of Baroda, Indian Overseas Bank and IDBI proceed with fraud-tag steps under Reserve Bank of India rules.
- The bench recorded Kapil Sibal’s statement that Ambani seeks a settlement with lenders, though it offered no view after Solicitor General Tushar Mehta objected.
- The judges said Division Bench remarks will not affect Ambani’s civil suit and told the High Court to fast-track the case.
- Ambani’s team said the 2020 BDO India forensic review failed RBI and company law standards because the lead investigator was not a chartered accountant, warning the tag means “virtual civil death.”
- The court noted ongoing CBI and ED probes into alleged diversion of public funds, and the dispute stems from an October 2020 review that flagged about ₹31,580 crore and led banks to seek a fraud label in 2025.