New Delhi, July 18 -- In a significant ruling related to online banking, the Allahabad High Court has said that in cases of unauthorised electronic banking, the burden to prove a customer's liability lies on the bank, reported Live Law.

Citing Clause 12 of the Reserve Bank of India's (RBI) circular dated June 6, 2017 titled "Customer Protection-Limiting Liability of Customers in Unauthorised Electronic Banking Transactions", the High Court bench of Justices Shekhar B. Saraf and Praveen Kumar Giri said: "A careful perusal of the aforesaid circular would show that the burden of proving the customer's liability in case of unauthorised electronic banking, lies upon the bank."

The ruling was passed in a case of embezzlement.

Petitioners, a ...