Can A Bank Tag An Account As Fraudulent If A Borrower Defaults In Repayment? – Outlook Money
The Bombay High Court held in a recent case that tagging an account as fraudulent without serving a show-cause notice on the defaulter is invalid. The court noted that when financial institutions classify accounts as fraudulent, for accountholders, this is not merely a technical label, but can lead to severe legal consequences and the freezing of credit facilities. The court…
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