CAPE TOWN - The North Gauteng High Court ruled in favour of the Bank of Baroda and dismissed the 19-Gupta linked companies who urged the bank to continue to service them, reports Eyewitness News.
This comes after the bank announced that due to its declining relationship with Nedbank, it will be closing its SA branch.
Judge Ntendeya Mavundla ruled in favour of the Indian bank, saying that it had the right to trade or not to trade.
Meanwhile, Business Report reported earlier that the bank's exit from SA is not linked to Nedbank.
Instead, during heads of argument at the last court appearance, advocate Owen Cook said that Baroda failed to challenge Nedbank's decision.
Cook said it is imperative for the bank to continue providing banking services to the Gupta family's companies in order to shield about 7,000 employees.
Legal representative of the bank, Azhar Bham, told the court that it was unfair to make the bank stay in the country just to serve the Guptas. Bham said when other banks in the country closed accounts belonging to Gupta-linked companies "they did nothing".
Today's ruling proves that Judge Mavundla was in fact not able to force a bank to operate against its will.
Meanwhile, the Gupta's are still on the run, with a warrant of arrest out for Ajay Gupta.
- BUSINESS REPORT ONLINE