New Delhi, October 31, 2026 (Yes Punjab News)
Axis Trustee Services Limited has given Yes Bank three days to reinstate its Additional Tier 1 (AT1) bonds and complete the necessary corporate actions, warning that it will initiate contempt proceedings in the Supreme Court if the lender fails to comply with the court’s October 15 judgment.
In a letter to the bank, Axis Trustee, which represents the interests of AT1 bondholders, said continued non-compliance would amount to “wilful disobedience” of the Supreme Court’s ruling. It warned that contempt proceedings could be initiated against the bank as well as the directors and officers responsible for implementing the judgment, without further notice.
The trustee said Yes Bank’s response that it was examining the judgment and its implications in detail was not sufficient and that the lender could not delay compliance while evaluating its available options.
Yes Bank, however, rejected the allegation of wilful disobedience, describing the trustee’s assertions as baseless and without merit. In its response, the bank said it acknowledged the Supreme Court judgment and remained committed to acting in accordance with the ruling and applicable law.
The lender added that it was examining the judgment and its implications and would take all steps and measures necessary and permissible under the law.
The dispute concerns Yes Bank’s write-off of AT1 bonds worth ₹8,415 crore in March 2020. On October 15, the Supreme Court upheld the Bombay High Court’s decision to set aside the write-off, holding that the bank’s then administrator had acted beyond his authority and the applicable regulatory framework.
Axis Trustee had challenged the administrator’s decision before the Bombay High Court. The latest warning signals a fresh legal confrontation over implementation of the Supreme Court ruling.
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