Madras High Court backs bank appointment cancellation over adverse CIBIL report

India Today

a day ago

The Madras High Court has upheld a decision by a public sector bank to cancel the appointment of a candidate due to a poor credit history. The court ruled that financial discipline is crucial in banking jobs and found no fault in the bank's action.The petitioner, who had cleared all stages of recruitment for the post of Circle Based Officer (CBO) at State Bank of India (SBI), including exams, interviews, and medical checks, had his appointment cancelled after the bank found an adverse credit report in his CIBIL history.advertisementAccording to a report on Live Law, the candidate argued that he had no pending dues at the time of the job notification and claimed that his appointment was unfairly revoked. He also alleged discrimination, saying others in similar situations were allowed to join.
SBI maintained that Clause 1(E) of the eligibility criteria of its recruitment policy, disqualifies candidates with poor credit histories or defaults in repaying loans or credit card dues. The bank noted that the candidate's CIBIL report showed multiple credit irregularities and more than ten credit enquiries, indicating serious financial mismanagement.The bank also alleged that the candidate had failed to fully disclose this history during the application process.Justice N Mala said the bank had acted prudently. She observed that banking employees handle public money and therefore must maintain strong financial discipline. 'A person with poor or no financial discipline cannot be trusted with public money,' the judge noted.advertisementThe court also dismissed the claim of discrimination, stating that only those who met all eligibility requirements were appointed.Finding no merit in the petition, the court upheld the bank's decision and dismissed the plea.- EndsTune InMust Watch