India: Supreme Court Denies Interim Injunction Against Reserve Bank Of India Restrictions

The Supreme Court of India declined to grant an interim injunction against the Reserve Bank of India circular banning banking services for companies dealing in cryptocurrency, according to a Twitter post by Crypto Kanoon May 11.

Supreme Court declined to grant interim injunction against RBI banking restriction.

11 different representatives from various crypto-related businesses who filed a petition with the Indian Supreme Court sought an interim injunction against the circular.

Court documents confirm that the injunction was denied and the case is still pending.

Last month, the RBI ordered regulated banks and payment platforms to "Immediately suspend their services" to companies dealing with digital currencies.

The RBI's statement was met with public outcry as the bank's move directly affected the interest of a great number of cryptocurrency companies and startups.

" it has been decided that, with immediate effect, entities regulated by the Reserve Bank shall not deal in VCs or provide services for facilitating any person or entity in dealing with or settling VCs. Such services include maintaining accounts, registering, trading, settling, clearing, giving loans against virtual tokens, accepting them as collateral, opening accounts of exchanges dealing with them and transfer / receipt of money in accounts relating to purchase/ sale of VCs.".

In April, a group of cryptocurrency exchanges in Chile appealed to the courts to fight the decision of the country's banks to close their accounts.

On April 25, Buda persuaded the country's anti-monopoly court to order the re-opening of its accounts at two major Chilean banks.

The court published the ruling on its website, ordering state bank Banco del Estado de Chile and Itau Corpbanca to re-open Buda's accounts while the exchange's lawsuit continues.