Banks stood as mute spectators as Amrapali diverted funds: Supreme Court

Top court says Bank of Baroda, Syndicate Bank, Bank of India, and Corporation Bank did not monitor fund utilisation

In its judgment cancelling the Real Estate Regulation and Development Act (RERA) registration of debt-laden Amrapali Group, the Supreme Court has also pulled up the Bank of Baroda, Syndicate Bank, Bank of India, and Corporation Bank for not monitoring the utilisation of funds advanced by them to the real estate company. The top court also said that the lenders “acted as a mute spectator” to the fund diversion being carried out.

The judgment, delivered by a two judge Bench of Justice Arun Mishra and Justice U U Lalit, rapped the banks on the knuckle and said that there was no