Pramod Malhotra And Ors vs Union Of India And Ors

The Supreme Court addressed a writ petition concerning the repayment of fixed deposits by the erstwhile Sikkim Bank Ltd., invoking Section 22 of the Banking Regulation Act. The Court held that the Reserve Bank of India must ensure that banking companies can meet their obligations to depositors before granting licenses. The Court directed the RBI to take necessary actions to protect the interests of depositors, emphasizing the importance of safeguarding public interest in banking operations.