The Bombay HC invoked the RBI’s ‘zero liability’ clause to protect a Pune senior citizen whose life savings were siphoned off by cyber fraudsters from his bank account in less than an hour. The court’s decision also sent a stern warning to private banks regarding their responsibilities in safeguarding customer funds
In a landmark judgment that could go a long way in protecting victims of online fraud, the Bombay High Court has ruled that a bank cannot escape responsibility by merely claiming a customer was “negligent.”