The Supreme Court of India has ruled that while borrowers are not entitled to a personal or oral hearing before their accounts are classified as “fraud” by banks, they must be furnished with the full Forensic Audit Reports (FAR) relied upon for such a classification. The Court clarified that the principles of natural justice are
No Personal Hearing Required Before Declaring Borrower’s Account as ‘Fraud’; Show Cause Notice, Reply & Reasoned Order Sufficient: Supreme Court
