APPLE COMMODITIES LIMITED vs PUNJAB NATIONAL BANK

Judgment text excerpt

$~235 * IN THE HIGH COURT OF DELHI AT NEW DELHI % Date of Decision:20th January, 2025 + W.P.(C) 5413/2024 & CM APPL. 22352/2024 APPLE COMMODITIES LIMITED .....Petitioner Through: Mr. Manohar Malik, Advocate. versus PUNJAB NATIONAL BANK .....Respondent Through: Mr. Aditya Hooda, Ms. Rashmi Rawat and Dr. S.S. Hooda, Advocates. CORAM: HON'BLE MR. JUSTICE MANOJ JAIN J U D G M E N T (oral) 1. In the present writ petition, besides asserting that the petitioner company was never served with any Show Cause Notice, it has also been claimed that the impugned order is not a reasoned and speaking order and the account in question has been classified as ‘fraud‟ merely on the premise that no reply had been received from the concerned account holder. 2. This Court has gone through the impugned order dated 30.03.2024 whereby the account of petitioner was classified as „fraud.‟ Such order reads as under:- “Ref: Our Show Cause Notice (SCN) REF. No: Apple Com./2023/Fraud/1 dated 18/11/2023. RE: No response received from your side within prescribed timelines In this regard, it is informed that as no reply was received from you within prescribed timelines at ours in response to the subject Show Cause Notice. Based on the findings of investigation (as applicable) conducted by our Bank and shared with you vide our above cited Show Cause Notice dated 18.11.2023, we have perceived your account/s as fraud. Accordingly, Bank has decided to classify your loan account as „Fraud‟ for the following reasons: “Misappropriation and Criminal Breach of Trust.” Signature Not Verified Digitally Signed By:SONIA THAPLIYAL W.P.(C) 5413/2024 1 Signing Date:24.01.2025 14:38:41 The Bank shall be taking further course of action to report the account/ your name to the Reserve Bank of India (RBI) as per the directio