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Bombay High Court
Zanmai Labs Pvt Ltd vs Reserve Bank Of India on 20 May, 2026
IN THE HIGH COURT OF JUDICATURE AT BOMBAY
ORDINARY ORIGINAL CIVIL JURISDICTION
WRIT PETITION (LODGING) NO.17756 OF 2026
Zanmai Labs Private Limited, ] .. Petitioner
Versus
1. Reserve Bank of India, ]
2. Yes Bank Limited, ]
3. Union of India, ]
Through Ministry of Finance Department, New Delhi ] .. Respondents
Mr. Mustafa Doctor, Senior Advocate, with Mr. Vyapak Desai and
Mr. Tejas Mahamuni, i/by Mr. Indrajeet Hingane, Advocates for the
Petitioner.
Ms. Hita Chandarana with Ms. Shubhi Dotiya, Advocates, i/by Desai &
Diwanji, for Respondent No.1-RBI.
Ms. Niyomi Jariwala, Advocate for Respondent No.2-Yes Bank.
CORAM : GAUTAM A. ANKHAD &
SANDESH D. PATIL, JJ.
DATE : 20TH MAY 2026
[ VACATION COURT ]
P.C. :
1. The Petitioner is engaged in providing crypto-exchange services
and operates the "WazirX Platform" which facilitates trading in virtual
digital currencies / crypto currencies for its users. Mr. Doctor, learned
senior advocate appearing on behalf of the Petitioner submits that the
Petitioner has all necessary statutory permissions to operate the "WazirX
Platform". In its ordinary course of its business, large volumes of
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financial transactions are processed through Respondent No.2-Bank,
which had been providing Application Programming Interface ("API")
services enabling seamless transfer and settlement of funds between the
Petitioner and its customers trading on the said platform.
2. Mr. Doctor submits that the Petitioner has been continuously
availing the API services since February 2024 and has been operating
multiple bank accounts maintained with Respondent No.2. He submits
that by an email of 24th March 2026, Respondent No.2 informed the
Petitioner that it shall discontinue the API services with effect from 22 nd
April 2026 on account of changes in its internal policy. The Petitioner
protested and Respondent No.2, by an e-mail dated 16 th April 2026
withdrew the discontinuation notice and informed that its API services
will not be discontinued. Despite this, the API services were abruptly
discontinued on 21st April 2026 without any prior intimation. The
Petitioner was informed on 24th April 2026 that the API activation
request could not be enabled. The Petitioner was simultaneously
informed to approach the Office of Banking Ombudsman under
Respondent No.1-RBI in the event of any grievance.
3. Mr. Doctor submits that the Petitioner accordingly lodged a
complaint before the Office of Banking Ombudsman on 30 th April 2026.
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However, till date, no steps have been taken on its complaint by
Respondent no.1. Thereafter on 12th May 2026, Respondent No.2 has
also blocked the Petitioner from manually accessing the payment
application and online banking facilities required for operating its
accounts. The Petitioner has been prevented from accessing and
operating its funds lying in the accounts maintained with Respondent
No.2. Such arbitrary action has brought the Petitioner's business
operations to a complete standstill and causes grave commercial
prejudice. He therefore prays for ad-interim relief of restoration of the
API services along with all incidental banking services to the Petitioner
as were available to it prior to 21st April 2026.
4. Ms. Chandarana, learned counsel appearing on behalf of
Respondent no.1 submits that a copy of the Petition has been served only
recently and therefore she is unable to obtain complete instructions in the
matter. The learned counsel submits that there is no regulatory
framework for directing Respondent no.2 to provide the API facility to
the Petitioner.
5. Ms. Niyomi Jariwala, learned counsel appearing on behalf of
Respondent No.2, raises an objection on the maintainability of the
Petition and submits that matters of contractual arrangement cannot be
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agitated before the writ Court. She submits that the API facility is a
discretionary banking service extended by the Bank and the Petitioner
cannot claim, as a matter of legal right, continuation of such services. No
prejudice is caused as the Petitioner can avail similar arrangements with
any other banking institution. On instructions, the learned counsel
submits that the manual banking facilities/access would be restored
shortly, though the Bank opposes restoration of the API services in view
of an internal review undertaken in accordance with its policies and
guidelines.
6. We have considered the submissions and perused the material
placed on record. The Petitioner had been availing the API services
continuously since February 2024 as a part of its business operations.
Although a notice proposing discontinuation was initially issued on 24 th
March 2026, Respondent No.2 by an email dated 16th April 2026
informed the Petitioner to ignore the earlier communication and that the
API services would continue. Despite such communication, the services
were abruptly disabled on 21st April 2026, on the basis of unspecified
internal policies and guidelines without disclosing any particulars for the
abrupt action. When a grievance/complaint is lodged with the Banking
Ombudsman, there is no response which has rendered Petitioner without
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any forum to agitae its issue. It is only in these circumstances, in our
prima facie view, denial of banking access and API services and
non-redressel of its complaint by Respondent no.1 is likely to cause
irreparable prejudice to the Petitioner, as the functioning of its business
will get severely affected. Hence, ad-interim relief in terms of prayer
clause (b) as modified by us is granted, which reads as follows:
"Until the next date of hearing, Respondent No.2 is directed to restore
the API services provided to the Petitioner together with all incidental
banking facilities and services which were being availed by the Petitioner
prior to 21st April 2026."
7. The aforesaid directions shall be complied with within 3 working
days. Affidavit-in-reply shall be filed by the Respondents on or before
8th June 2026. It is clarified that all rights and contentions of the parties,
including the issue of maintainability of the Writ Petition are expressly
kept open.
8. List the matter on 12th June 2026.
[ SANDESH D. PATIL, J.] [GAUTAM A. ANKHAD, J.]
Digitally
signed by
ABHAY DIXIT
ABHAY Date: 13-WP(L)-17756-2026.doc Dixit
DIXIT 2026.05.21
17:08:15
+0530
