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Banks playing both judge, executioner: Bombay HC on LOCs | India News

India News: MUMBAI: Public sector banks had become judge and executioner at once in having look out circulars or LOCs issued against defaulters, said Bombay high . ....

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Look Out Circulars: PSU lenders do not have the power to issue Look Out Circulars: Bombay HC

The Bombay High Court declared public sector lenders ineligible to issue Look Out Circulars (LOCs) under Central government office memoranda. While deeming this practice as arbitrary , the court upheld the constitutionality of the Central government s office memoranda. The ruling nullified all LOCs issued by public sector banks. ....

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Public sector banks don't have power to issue Look Out Circulars against defaulters: HC

Bombay HC rules public banks can t issue LOCs against defaulters. Verdict quashes all circulars. Centre s 2018 amendment allowed banks to issue LOCs in economic interest of India , but HC deems it unconstitutional. ....

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