Key Points
The Delhi High Court Friday refused to interfere with state-owned Bank of Barodas (BoB) plan to sell its majority stake in Nainital Bank, saying divestment being a policy decision involving complex economic factors cannot be interfered with by the courts...
Dismissing the Nainital Bank Officers Association plea challenging issuance of an advertisement by BoB inviting expressions of interest (EoI) from interested parties for acquisition of its stake holding in Nainital Bank, Justice Purushaindra Kumar Kaurav said in the absence of there being a clear violation of any statutory provision, no interference is called for..
More so, the decision of BoB for divestment cannot be said to be arbitrary or illegal so as to warrant interference of this court under its power of judicial review...
The courts have consistently refrained from interfering with economic decisions as it has been recognised that economic expediencies lack adjudicative disposition and unless the economic decision, based on economic expediencies, is demonstrated to be so violative of constitutional or legal limits on power or so abhorrent to reason that the courts would decline to interfere...
