Economic Times reported that a stern measure against an errant borrower is turning into a legal battle for the country's largest lender. The Calcutta High Court last week issued notices to the State Bank of India and a couple of its officers in a case filed by Prashant Jhawar, former chairman of Usha Martin.

Mr Prashant Jhawar who was ousted as non-executive chairman of the wire ropes and speciality steel manufacturer in April 2017 by SBI, has alleged collusion between the bank's officials and the current management led by his cousin Rajeev Jhawar.

The move is the latest episode in the ongoing feud between the two factions of the Jhawar family and complicates the debt recovery efforts of SBI and other lenders who are pushing a plan to sell the profit-making wire ropes business of the company. London resident Prashant Jhawar, who was in Delhi this week, told the Economic Times, He said that "There was collusion between some officers of the lenders and Rajeev to get me out of the company."

He alleged that he was thrown out because he had raised concerns over various irregularities, including misuse of funds. The petition alleged that the two SBI officials, one of whom is the bank's nominee on the company's board, had "acted in collusion and conspiracy with some of the directors and/or the persons in the management and control of the company" for "self aggrandisement and with ulterior motive and mala fide intention".