Versatile Wires Limited & Anr vs The Reserve Bank Of India & Ors
2025 Latest Caselaw 431 Cal/2

Calcutta High Court

Versatile Wires Limited & Anr vs The Reserve Bank Of India & Ors on 17 July, 2025

Author: Amrita Sinha

Bench: Amrita Sinha

OD-4                            ORDER SHEET

                             WPO No.513 of 2025
                       IN THE HIGH COURT AT CALCUTTA
                        CONSTITUTIONAL WRIT JURISDICTION
                                ORIGINAL SIDE


                           VERSATILE WIRES LIMITED & ANR.
                                    VS
                           THE RESERVE BANK OF INDIA & ORS.

BEFORE
THE HON'BLE JUSTICE AMRITA SINHA
Date: 17th July, 2025.

                                                              Appearance:
                                                 Mr. Shounak Mukhopadhyay, Adv.
                                                 Ms. Sananda Ganguli, Adv.
                                                 Mr. Shubradip Roy, Adv.
                                                           For the Petitioners.

                                                  Mr. Diganta Das, Adv.
                                                             For the SBI.




1.

The petitioners are aggrieved by the unilateral closure of their

complaint without granting an opportunity of hearing.

2. A complaint was lodged before the Reserve Bank of India, Ombudsman

on 17th April, 2025. The petitioners were communicated by the

Ombudsman on 13th May, 2025 that the said complaint was examined

and closed under clause 16(2) (a) of the Reserve Bank of India

Ombudsman Scheme, 2021.

3. Clause 16(2) (a) of the Scheme mentions that the Ombudsman may

reject a complaint at any stage if in his opinion there is no deficiency

in service.

4. The Ombudsman has not given any opportunity of hearing to the

petitioners prior to closure of the complaint. There is nothing on record

to suggest the basis relying on which the Ombudsman did not find any

deficiency in the service of the bank.

5. Learned advocate for the petitioners relies upon the judgment

delivered by the Hon'ble Division Bench of this Court on 10 th July,

2024 in M.A.T 483 of 2024 with I.A. No. CAN 1 of 2023 (Axis Bank

Limited Vs. Indian Cable Net Company Limited & Ors.) wherein the

Court, inter alia, held that the Ombudsman has been vested with the

power to consider the complaint presented before it in terms of the

2021 Scheme and take a decision. The Ombudsman is acting as a

quasi judicial authority and the principles of natural justice have also

been incorporated in the Scheme.

6. The Court went on to hold that even while rejecting a complaint, the

Ombudsman has to assign reasons in support of such conclusion so

as to enable the aggrieved party to be aware of the factors that weighed

in the mind of the judicial authority. The Ombudsman has to consider

the complaint after giving a reasonable opportunity of hearing to both

the parties.

7. In the instant case it appears that the complaint of the petitioners

stood closed without affording any opportunity of hearing. The reason

provided by the banking Ombudsman in closing the complaint of the

petitioners is a cryptic one. Mere mentioning of a Section without any

supporting fact or document cannot save the impugned order of the

Ombudsman from the vice of arbitrariness. The same is violation of the

principle of natural justice.

8. In view of the above, the closure report of the Ombudsman is set aside.

9. The banking Ombudsman is directed to re-consider the complaint of

the petitioner strictly in terms of the Scheme after giving a reasonable

opportunity of hearing to all the necessary parties and by passing a

reasoned order at the earliest.

10. The writ petition stands disposed of.

11. Urgent photostat certified copy of this order, if applied for, be supplied

to the parties upon compliance of all legal formalities.

(AMRITA SINHA, J.)

nm.