Banks in India will not provide a personal hearing to companies before classifying them as ‘fraud’ accounts, but will re-evaluate the decision if legally challenged. The procedure, which aims to codify the steps to classify companies with outstanding loans of ₹50 crore or more as fraud accounts, follows a Supreme Court direction in March 2023 to provide a hearing to borrowers before such a step is taken. Some bankers and legal experts believe the procedure may lead to court disputes.
Big movers on D-Street: What should investors do with Bajaj Finance, Zomato and Adani Green?
Benchmark Sensex dives 930 points, Nifty slips below 24,500, marking over two-month lows due to widespread sell-off. Stocks like Adani Green, Zomato, and Bajaj Finance