Supreme Court: RBI Has No Fiduciary Duty to Banks

Quick Summary

The Supreme Court has clarified that the Reserve Bank of India (RBI) does not hold a fiduciary relationship with banks. This means the RBI is not legally bound to act in the best interests of banks in a way that implies trust and confidence. The court emphasised that the RBI's statutory duty is to uphold the public interest, including that of depositors and the economy, and to act with transparency.

Court :
Supreme Court of India

Brief :
Information sought by the Respondents in Transferred Case (Civil) No.91 of 2015 was not given by the Reserve Bank of India (for short, ‘RBI’) on the ground that such information is exempted from disclosure under Section 8 (1) (a), (d) and (e) of the Right to Information Act, 2005 (hereinafter, the ‘Act’). Writ Petitions filed in the High Courts were transferred on the request of the RBI to this Court. By a judgment dated 16.12.2015 in Reserve Bank of India v. Jayantilal N. Mistry

Citation :
M.A. No.2342 of 2019

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