Bombay HC puts bank actions against Anil Ambani on hold
The Bombay High Court has hit pause on public sector banks taking any action against Reliance Group chairman Anil Ambani over alleged fraud.
This move comes as Ambani questions the validity of a forensic audit report that sparked the whole issue.
The judge pointed out that acting before sorting out if the report is even legit could seriously harm Ambani's reputation and rights.
Why this matters
The audit report at the center of all this, dated October 15, 2020, is being called out for not being in consonance with the Reserve Bank of India Master Directions.
Ambani's lawyers also argued it was prepared by a firm not competent to conduct the external audit.
For now, banks like Indian Overseas Bank, IDBI Bank, and Bank of Baroda have to wait until the court decides if this report actually holds up—meaning no further action against Ambani just yet.