CASE COMMENTARY JOSEPH KURUVILLA VELLUKUNNEL V. RESERVE BANK OF INDIA

This commentary analyses the Supreme Court's 3:2 decision upholding Section 38 of the Banking Companies Act, 1949. The provision requires the High Court to order the winding up of a bank once the Reserve Bank applies for it. The majority held that banks are a distinct class because they hold public deposits, so Articles 14 and 19(1)(f) and (g) were not violated. The dissent found the exclusion of judicial review unreasonable. The commentary concludes that the outcome is defensible on the facts but leaves the structural concern about unchecked regulatory power open.