BHAVESH D PARIKH vs UOI

The Supreme Court upheld the validity of Section 9 of the Reserve Bank of India Act, 1934, as amended by the Amendment Act, 1997, rejecting the appellants' claims that it violated Articles 14 and 19(1)(g) of the Constitution. The Court established that the regulation of non-banking institutions by the RBI is a legitimate exercise of power aimed at ensuring monetary stability and protecting the public. The judgment affirmed the RBI's authority to impose restrictions on deposit acceptance by unincorporated bodies, thereby reinforcing the regulatory framework for financial institutions.