SC: Borrowers taking loans for profit not protected under consumer law

The Supreme Court ruled that borrowers are not ‘consumers’ under the Consumer Protection Act if the loan is for profit-making purposes. This decision overturned an NCDRC order which had directed the Central Bank of India to compensate Ad Bureau Advertising Pvt Ltd for alleged incorrect reporting to CIBIL.

​The Supreme Court ruled that borrowers are not ‘consumers’ under the Consumer Protection Act if the loan is for profit-making purposes. This decision overturned an NCDRC order which had directed the Central Bank of India to compensate Ad Bureau Advertising Pvt Ltd for alleged incorrect reporting to CIBIL.