Clarification on Supreme Court judgment in Additional Tier-1 bond write-down matter
The Bank has replied to a BSE query on a news item about a Supreme Court judgment on the write-down of its Additional Tier-1 Bonds.
By ScoutQuest · · 3 min read
- AT-1 Bonds Written Down
- AT-1 Bonds aggregating ₹8,415 crore were written down in March 2020
- Supreme Court Judgment Date
- On 15 October 2026, the Supreme Court pronounced its judgment in appeals
- Bombay High Court Judgment Date
- appeals arising from the Bombay High Court judgment of 20 January 2023
What this update is
The Bank has responded to a BSE letter that sought a clarification on a news item broadcast on CNBC-TV18 on 15 October 2026, captioned "Yes Bank share price sees sharp fall of 10% after Supreme Court ruling on ₹8,400 crore AT-1 bond write-off". In its reply, the Bank states that the subject matter of the news item concerns judicial proceedings relating to the write-down of Additional Tier-1 Bonds (AT-1 Bonds) aggregating ₹8,415 crore undertaken in March 2020.
What happened at the Supreme Court
- On 15 October 2026, the Hon'ble Supreme Court pronounced its judgment in the appeals arising from the judgment dated 20 January 2023 of the Hon'ble Bombay High Court.
- The Bank states that it is in the process of obtaining and examining the final order copy of the judgment and its implications, and will make such further disclosure as may be required.
Sequence of events the Bank has set out
- 14 March 2020: the Bank informed the Stock Exchanges about the write-down of the AT-1 Bonds pursuant to the applicable contractual and regulatory framework.
- Writ petitions were thereafter shared before the Hon'ble Bombay High Court challenging the write-down of the AT-1 Bonds.
- 26 May 2020: responding to a news clarification sought by the Exchange, the Bank stated that Axis Trustee Services Limited, on behalf of the AT-1 bondholders, had shared a writ petition before the Hon'ble Bombay High Court challenging the write-off, and that the matter was sub judice.
- 20 January 2023: the Bank informed the Stock Exchanges that the Hon'ble Bombay High Court had set aside the decision to write down the AT-1 Bonds; that the operation of the judgment had been stayed for six weeks at the Bank's request; and that, based on legal advice, the Bank was in the process of preferring an appeal before the Hon'ble Supreme Court of India.
- 4 March 2023: the Bank informed the Stock Exchanges that Special Leave Petitions had been shared before the Hon'ble Supreme Court, and that by its order dated 3 March 2023 the Hon'ble Supreme Court had extended the stay granted by the Hon'ble Bombay High Court, subject to the final orders of the Hon'ble Supreme Court.
- The Bank also states that it had made suitable disclosures from time to time in its financial statements as part of Notes to Accounts.
On the movement in the securities
The Bank states that it is not aware of any information or event concerning the Bank, other than the pronouncement of the judgment and the information already available in the public domain, that has not been announced to the Stock Exchanges and that could explain the movement in the Bank's securities.
On the timing of disclosure
The Bank submits that there has been no failure to disclose a material event or information under Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, that the initiation and material developments in the proceedings were disclosed from time to time, and that the outcome before the Hon'ble Supreme Court arose only upon pronouncement of the judgment on 15 October 2026.
What a reader can take away
- The figure at the centre of the matter is ₹8,415 crore, the aggregate AT-1 Bonds written down in March 2020.
- The Supreme Court judgment was pronounced on 15 October 2026, and the Bank's stated position is that it is examining the final order copy and its implications, with further disclosure to follow as required.
Also from Yes Bank
Supreme Court AT-1 bond judgment: coupon decision on 9% bonds still pending
24 Oct 2026
Q2 FY27 call: Supreme Court AT-1 ruling seen cutting CET-1 by ~240 bps pro forma; net profit up 65%
23 Oct 2026
Yes Bank showed a negative technical structure with a death crossover near the 21 level, which is now an important resistance
21 Oct 2026
More numbers
- AT-1 Bonds written down, as stated by the Bank₹8,415 crore
- AT-1 write-off figure cited in the news item quoted₹8,400 crore
- Fall in share price cited in the news item quoted10%
- Stay on the Bombay High Court judgment at the Bank's requestsix weeks
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