The Bombay High Court on Friday refused to quash the order passed by the State Bank of India (SBI), which classified the loan account of Reliance Communications and also its chairman Anil Ambani as "fraud."

A division bench of Justices Revati Mohite-Dere and Dr Neela Gokhale pronounced the order.

Notably, Ambani and his company account's classification as "fraud" was made on June 13, 2025, under the Reserve Bank of India's Master Directions on Fraud Risk Management and SBI's internal policy.

Ambani had therefore challenged the action in the High Court pointing out that the bank did not follow the principles of natural justice as it did not grant an audience to the industrialist before classifying his account as fraud. He further pointed out that some material, based on which the classification orders were passed, was not initially provided to him and was later furnished to him only after a lapse of six months.

A detailed copy of the order is yet to be received.