Wilful Defaulter

A borrower classified by banks as a wilful defaulter when default is intentional despite capacity to repay, funds are siphoned off, or assets are disposed of without bank knowledge. Debarred from accessing bank credit and capital markets.

Wilful Defaulter is governed by the Reserve Bank of India under applicable banking and monetary policy frameworks. Understanding this concept is essential for ensuring regulatory compliance, avoiding penalties, and making informed corporate decisions in India.

Wilful Defaulter is relevant for company secretaries, compliance officers, chartered accountants, corporate lawyers, board members, and all professionals dealing with RBI regulatory matters in India.