Mumbai Feb 7 (Reporter) The Bombay High Court on Friday stayed Canara Bank’s November 8, 2024, order that classified as "fraudulent" industrialist Anil Ambani’s loan account, linked to the insolvency-bound Reliance Communications. The court also asked the Reserve Bank of India (RBI) what action it proposed to take against banks that issued orders declaring loan accounts as "fraudulent" without hearing the parties or borrowers. A bench of Justices Revati Mohite-Dere and Neela Gokhale questioned whether the RBI would take action against banks that have repeatedly defied its master circular and the Supreme Court’s ruling, which mandates that borrowers must be given a hearing before their accounts are declared "fraudulent". “RBI needs to take some action against banks. This is repeatedly happening. Why should people repeatedly come to court?” the judges asked. While staying the fraud classification order, the court allowed Ambani to amend his petition to include the RBI as a respondent. It also referred to its December 20, 2024, order, in which it had stayed a similar classification against Manjari Kacker, an independent director of Reliance Communications. Ambani challenged Canara Bank’s order, arguing that he was not given a hearing before his loan account was classified as "fraudulent". His counsel contended that the fraud classification was issued on November 8 but was only communicated to Ambani on December 25 — after the Bombay High Court had already stayed a similar classification in a related matter...////...