Legal30 March 2026 at 09:38 am
Tijaria Polypipes Ltd: High Court Quashes Rejection of One-Time Settlement Proposal
AI Summary
In a significant development, the High Court of Judicature for Rajasthan, Bench at Jaipur, quashed the rejection of a One-Time Settlement (OTS) proposal by Tijaria Polypipes Ltd. The company had submitted an OTS proposal of Rs.38,00,00,000/- to the respondent - Bank, which was earlier rejected. The High Court, while allowing the writ petition, directed the respondent - Bank to strictly decide the OTS application in terms of the RBI Circular dated 08.06.2023 and any policy formulated thereafter. The Court also directed the respondent - Bank to place the OTS proposal before the appropriate authority as per the Board Approved Policy in terms of the Circular dated 08.06.2023 issued by the Reserve Bank of India.
Key Highlights
- High Court quashes rejection of OTS proposal by Tijaria Polypipes Ltd.
- Company had submitted an OTS proposal of Rs.38,00,00,000/- to the respondent - Bank.
- High Court directs the respondent - Bank to strictly decide the OTS application in terms of the RBI Circular dated 08.06.2023.
- Respondent - Bank directed to place the OTS proposal before the appropriate authority as per the Board Approved Policy.
- Court directs the respondent - Bank to refund the sum of Rs.12 Crores deposited by the Petitioner.