Mumbai: Observing that courts are not magicians, the Bombay High Court on Monday refused to grant any interim relief to depositors of Punjab and Maharashtra Cooperative bank.
The court also observed that advocates should not give “false hopes” to depositors, as courts cannot do much in such financial matters. Also, the Reserve Bank of India is the competent authority in such cases.
A bench of Justices Satyaranjan Dharmadhikari and Riyaz Chagla, accordingly, asked the RBI to spell out on an affidavit the steps it has taken so far to protect depositors of the PMC bank.
The judges were dealing with a bunch of petitions challenging the numerous restrictions imposed on the operations of the PMC bank. A few petitions have also challenged the cap on the cash withdrawal limit.
Having heard the submissions, Justice Dharmadhikari said, “The RBI knows all the affairs of this bank. It is the bankers' bank and an expert body on such issues. Let us clarify that we are not willing to interfere and dilute the powers of the RBI.”
“We are of the firm opinion that the RBI will be the judge in such financial issues and not the courts. If the customers want, they can sue the bank,” the court observed.
One of the petitioner highlighted the fact that the depositors are not being given access to their own lockers in the PMC bank. At this, Justice Dharmadhikari remarked, “The RBI has acted against some alleged illegalities; then, how can you expect this court to prevent it from placing such bars on depositors? If the apex bank has denied access, comply with its orders.”
“Let us clarify, we are not magicians. Please do not give false hopes to the depositors,” Justice Dharmadhikari remarked. “We will only look into what the RBI has done till now to protect the interests of the depositors.
We won't go beyond that,” Justice Dharmadhikari added. The bench has accordingly posted the matter for further hearing on November 19, with a direction to the RBI to file a detailed affidavit in this regard.
