M.M. Kumar, J. - (1.) CHALLENGE in the present petition is to the order dated 5.6.2008 (P -2), issued by the Oriental Bank of Commerce -respondent No. 2 to the petitioner. A perusal of the order shows that the Canara Bank has informed the Oriental Bank of Commerce that the petitioner has been availing Cash Credit Limit I.E.O.C.C. Limit with the Canara Bank and the account in Canara Bank has been running irregular. As per the guidelines issued by the Reserve Bank of India, a parry availing Cash Credit Limit from a bank cannot open a Current Account in any other bank. On the basis of the aforementioned factual position, the Oriental Bank of Commerce -respondent No. 2 has asked the petitioner to close the account with their bank and operation has been stopped.
(2.) AFTER hearing learned Counsel at some length we are of the considered view that there is no legal infirmity in the impugned order. Once the petitioner is availing the Cash Credit Limit facility from the Canara Bank and the account is irregular then as per the guidelines issued by the Reserve Bank of India, it could not have opened a Current Account in any other bank. The aforementioned position has also not been seriously disputed.
(3.) ACCORDINGLY , the writ petition fails and the same is dismissed.;