The Supreme Court has quashed proceedings against bank officials arising from a loan dispute, finding that alleged non-compliance with RBI rehabilitation guidelines did not itself establish an offence under the SC/ST Act.
Judge / Bench — Justices J.B. Pardiwala and K. Vinod Chandran.
In Chavan Dharmendar v State of Telangana, decided on 12 October 2026, the court examined allegations under Section 3(1)(q). The complaint did not contain specific allegations of caste-based insults; the dispute concerned treatment of a borrower’s account and recovery measures.
The ruling does not exempt bank officials from the statute. It found the necessary criminal ingredients absent in this case. The borrower’s contentions remained open before the appropriate debt-recovery forum.
Advocates appearing — For the appellants — Rajiv Shakdher, senior counsel. For the respondent company and its director — Shadan Farasat, senior counsel. For Telangana — Disha Wadekar.