Supreme Court Unlocks Information Withheld By RBI

• Court upholds disclosure of information relating to banks under RTI Act
• Information cannot be withheld from public on grounds of economic interest of the country
• There is no fiduciary relationship between the RBI and the Banks

Introduction

Recently, the Supreme Court of India ("the Court") in Reserve Bank of India & Ors. v. Jantilal & Ors.¹ emphatically ruled against objections of Reserve Bank of India ("RBI") and held that it cannot shy away from disclosing the information sought in applications filed under the Right to Information Act, 2005 ("RTI Act") acquired during inspection/ audit of private and public banks or financial institutions. Applicants sought information such as details of loans taken by industrialists, top defaulters who have not repaid to public sector banks, details of show cause notices and fines imposed by RBI on various banks etc. Disclosure was denied on grounds of fiduciary relationship shared between RBI and the banks,