Key Takeaways for Banks and Customers The Reserve Bank of India (Commercial Banks – Know Your Customer) Directions, 2025 represent a comprehensive reset of the KYC framework for commercial banks. Replacing the long-standing 2016 KYC Master Direction, the new Directions harmonise KYC references across the banking and payment ecosystem while strengthening customer due diligence, accountability,…
The Monetary Policy Committee (MPC) held its 58th meeting from December 3–5, 2025, under the chairmanship of Shri Sanjay Malhotra, Governor, Reserve Bank of India. The Committee noted a sharp moderation in headline inflation, which has softened more than earlier projections—primarily due to exceptionally benign food prices. Reflecting these favourable conditions, the MPC has further…
(A Practical Guide for Banks and financial institutions) 1. Understanding FIR, Section 154 CrPC and Section 173 BNSS Section 154 CrPC governs how police must record information relating to cognizable offences. Registration of an FIR for cognizable offences is a mandatory duty of the police. When an officer in charge refuses to register an FIR,…
Police in India can direct banks to freeze or seize an account if, during investigation, they develop a reasonable suspicion that the account is linked to a crime, but this power is not unlimited and is subject to statutory safeguards and judicial review. The Supreme Court has clarified that a bank account is “property” for…
A common question arises whether an unregistered partnership firm can be made an accused under Section 141 of the Negotiable Instruments Act, 1881 (NI Act), and whether the firm itself must be arraigned as an accused along with its partners for cheque bounce offences under Section 138. Historically, ambiguity persisted due to Section 69 of…
A wide range of civil actions in India are time-barred if not initiated within the specific periods prescribed by the Limitation Act, 1963; notably, execution of most civil decrees must be filed within 12 years from when the decree becomes enforceable, while perpetual injunction decrees have no limitation for enforcement. For banking and recovery practitioners,…
The Limitation Act, 1963 prescribes specific time limits within which legal actions must be initiated. For banks and financial institutions, understanding these timelines is crucial for debt recovery, enforcement of securities, filing suits, and responding to customer claims. Failure to act within the prescribed limitation period may result in the claim becoming time-barred, rendering it…
Keeping your Aadhaar details accurate is essential for hassle-free banking and accessing various government services. Whether you need to correct your name, update your address after relocation, change your date of birth, or link a new mobile number, UIDAI (Unique Identification Authority of India) provides convenient online and offline options for updating Aadhaar details. In…
The latest Supreme Court pronouncements on Section 138 NI Act in 2025 reaffirm statutory presumptions in favour of the payee, clarify procedural streamlining for faster trials, and address key substantive issues like cash loans above ₹20,000, partnership liability, territorial jurisdiction, and the effect of settlements on convictions. Core holdings (2025) Key case highlights Notice…
Policy Context and Objectives The Reserve Bank of India has issued draft “Commercial Banks – Capital Market Exposure (CME) Directions, 2025” proposing consolidated, risk-sensitive limits on banks’ direct and aggregate exposures to capital markets, with phased implementation envisaged from April 1, 2026 subject to finalisation. The draft CME framework seeks to rationalise and unify disparate…