HC stays CIC’s order asking RBI to reveal loan defaulters

The court listed the next hearing on February 27,2012,on the RBI's petition.

The Delhi High court today stayed the direction of the Central Information Commission (CIC) asking the Reserve Bank of India to provide details of industrialists who have defaulted in repayment of loans taken from nationalized banks.

A bench of Justice Vipin Sanghi,in its interim ex-parte order,asked the information-seeker to respond to the petition filed by the RBI challenging the CIC order.

The court listed the next hearing on February 27,2012,on the RBI’s petition which said the CIC’s directives were in violation of the Right to Information Act.

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The CIC had on November 14 this year under section 8(2) of the RTI Act directed the RBI to provide the information sought by information-seeker P P Kapoor by December 10,2011.

Counsel T R Andhiyaarjuna,appearing for the RBI,contended the CIC’s order would have a far-reaching impact as this kind of information is confidential and the Information Commissioner has dealt with the matter in a wrong way,without considering all the relevant provisions under the RBI Act.

He also said the order of the CIC directing the RBI to provide information was beyond its jurisdiction under the transparency law,as the RBI is exempted from providing such info under section 8(1)(a).

“It’s not open to the CIC to issue such a direction under section 8 (2) of the RTI Act when the RBI is exempted under section 8 (1) (a),” he added.