India, Nov. 27 -- The Delhi high court on Thursday ruled that banks cannot impose late fees, interest or other charges on customers who have reported fraudulent credit card transactions, particularly when their complaints remain unresolved.

"The charging of late payment of fee, interest, etc., in such cases when customers have lodged complaints and that too without resolving the same, shall not be permissible," justice Prathiba M Singh said in the verdict.

The ruling was delivered in a petition filed by Sarwar Raza, an advocate, who was hounded for repayment of a fraudulent credit card transaction which he never authorised. In the present case, Citibank had issued him a credit card in January 2022 without any request; despite his compla...