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Hyderabad: In a significant order, the Hyderabad City Civil Court has pulled up unverified allegations aired against Euro Exim Bank, observing that the respondents failed to produce any documentary evidence or credible material to support serious claims of “fraudulent” guarantees and involvement in a “mega scam.”

Delivering the interim order on 22 January 2026 in O.S. No. 413/2024, the court noted that the respondents did not substantiate key allegations, including the claim that the bank’s net worth was only around ₹8 crore. In contrast, Euro Exim Bank submitted its audited financial statements showing a net worth exceeding ₹1,900 crore for FY 2023-24.

The court further recorded that no material was placed before it to back accusations of illegal guarantee issuance, hawala transactions, or violations of RBI and FEMA regulations. It observed that there was no indication of any criminal proceedings initiated against the bank on these grounds.

Holding that Euro Exim Bank had established a prima facie case, with the balance of convenience in its favour, the court ruled that continued telecast of unsubstantiated imputations would cause irreparable harm to the bank’s reputation and business.

Accordingly, the court restrained the primary respondent from airing allegations without authenticity, supporting evidence, or verifiable material, and barred the use of defamatory or derogatory titles. It clarified that truthful, verifiable information published in good faith for public interest is not prohibited. However, any future publication or telecast must prominently disclose, both visually and audibly, that the matter is sub judice in O.S. No. 413/2024.The order stops short of a blanket gag but emphasises responsible journalism backed by verification. It comes after the Bombay High Court in March 2025 dismissed a related PIL citing suppression of facts.

Euro Exim Bank has welcomed the ruling, stating it will continue to rely on documentary evidence and the judicial process.