VidhiSangh

Supreme Court of India · 02/07/2026

POOJA RAMESH SINGH versus JAMMU AND KASHMIR BANK LTD. & ANR.

[2026] 7 S.C.R. 571 · 2026 INSC 668

AI-generated headnote. Verify against the judgment before relying on it. Paragraph numbers refer to the judgment.

Summary

The NCLT admitted a Section 7 IBC application relying on judgments that were non-existent or carried fabricated paragraphs, apparently generated by AI, and the NCLAT affirmed without noticing. The Supreme Court held that a decision resting on fake or hallucinated precedents is no decision in law, set aside both orders, restored the Section 7 application for fresh decision, and directed the Bar Council of India to frame norms on advocates citing such material.

Issues

  1. What is the effect on a judgment of an adjudicating authority's reliance on fake, non-existent or AI-hallucinated material presented as precedent?
  2. Whether the NCLT admission order and the NCLAT order affirming it, which relied on such material, could stand.
  3. What accountability measures should follow the citation of unverified AI-generated precedents by the Bar and the Bench.

Provisions considered

Held

Result

Appeal disposed of; NCLT order dated 28.08.2024 and NCLAT order dated 11.09.2025 set aside; Section 7 application restored for decision on merits, preferably within two weeks, with status quo meanwhile; Bar Council of India directed to frame norms.

Judgment PDF: Supreme Court of India, [2026] 7 S.C.R. 571.