Srinagar, July 1 -- By Mushtaq Dar

Srinagar- A legal battle that has shadowed one of Jammu and Kashmir's largest banking fraud investigations reached a decisive stage on Tuesday as the High Court of Jammu & Kashmir and Ladakh refused to halt criminal proceedings against the promoter of the Ambience Group and several others accused in the Rs.289-crore Jammu & Kashmir Bank loan fraud case.

The ruling keeps alive a prosecution that investigators say involved the diversion of loan funds sanctioned for a major hospitality project.

Justice Sanjay Dhar held that the material collected during the investigation disclosed a prima facie case of cheating and deserved a full trial, leaving the evidence to be tested before the Special Judge, Anti-Co...