The case has been tagged with several similar petitions, suggesting that the High Court is considering a wider challenge to the RBI’s governance framework for cooperative banks. In its petition, the bank has questioned the legality of RBI Circular RBI.DOR/2025-26/273 dated November 28, 2025, and the subsequent Circular RBI/DOR/2026-27/94 dated May 25, 2026. It has argued that the circulars are ultra vires the powers conferred on the RBI under the Banking Regulation Act, 1949. Earlier, on June 15, the High Court had issued notices to the Union of India, the RBI and the State Government. The outcome of the case is expected to have significant implications for cooperative banks, particularly on the extent of the RBI’s regulatory powers over governance and directors’ tenure.