16 Apr 2026
Trilegal secures an order from the Delhi High Court for the removal of fraud classification against a leading NBFC
04 Sep 2025
04 Sep 2025
Matter Overview | Trilegal successfully represented Religare Finvest Limited (RFL) in a writ petition before the Delhi High Court (High Court) against 14 commercial banks for wrongful classification of RFL’s accounts as ‘Fraud’ under the Reserve Bank of India’s Master Directions on Frauds – Classification and Reporting by Commercial Banks and Select FIs, 2016 (Master Directions on Fraud).
In the writ proceedings, Trilegal pursued quashing of the ‘Fraud’ classification against RFL by the 14 commercial banks, arguing that such classification was made in violation of the principles of natural justice as RFL was neither given a notice nor an opportunity to be heard before the said actions were taken. Trilegal also argued that RFL had anyway made necessary efforts to rectify past mismanagement by its ex-promoters, RFL had repaid all its dues and received ‘No Due Certificates’ from all the Respondent Banks – thereby, making and continuing the ‘Fraud’ classification unjustified on merits as well.
Matter Significance | The Delhi High Court set aside the wrongful and arbitrary classification of RFL’s accounts as ‘Fraud’ by a consortium of banks, holding that the action was taken without affording the RFL an opportunity to be heard. The Court highlighted that the Respondent Banks’ decision contravened the principles of natural justice, as read into the Master Directions of Fraud – by the Supreme Court.
This matter was critical for RFL as the ‘Fraud’ classification had penal consequences and was causing severe and direct prejudice to RFL’s business and functioning. Further, this order will assist RFL in re-establishing its reputation.
The Trilegal Dispute Resolution Team advising on the matter was led by Partner: Shankh Sengupta; and supported by Counsels: Aubert Sebastian and Ribhu Garg; and Associates: Arnav Doshi.
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About Trilegal
Trilegal is a leading full-service law firm in India with over 25 years of experience, trusted for its in-depth expertise and client-centric approach. The firm advises a diverse set of clients, including Fortune 500 companies, global investment funds, major Indian conglomerates, domestic and international banks, technology and media giants, family offices, and high-net-worth individuals. With more than 145 partners operating under a distinctive lockstep model, Trilegal is the largest equity partnership in the country. The firm retains over 1,100 professionals across Mumbai, Delhi, Bengaluru, and Gurugram offices.
Trilegal has consistently been recognised among India’s top-tier firms in leading legal directories such as Chambers & Partners (Asia Pacific and Global), Legal 500 Asia Pacific, and Benchmark Litigation. It has also earned several prestigious accolades, including being named Best Overall Law Firm by India Business Law Journal (IBLJ) 2025, Innovative Lawyers in Disputes & Crisis Management by the Financial Times (FT) Innovative Lawyers Asia-Pacific Awards in 2025, M&A Firm of the Year by IFLR Asia-Pacific in 2024, Law Firm of the Year by Deal Volume at the VCCircle Awards in 2024, India Deal Firm of the Year at the Asian Legal Business (ALB) India Law Awards in 2023, and Best Law Firm to Work by Vahura in 2022.
For more information, please get in touch with Prakruti Jani | Mob: +91-9867868976 | BD@trilegal.com
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