In this post we will discuss about DRT Petition for return of deposited amount to auction Purchaser wherein the Supreme Court has settled the law that not only the Borrower but even the auction purhaser can approach DRT under Section 17 of SARFAESI Act if he is aggrieved by any of the measures taken by … Read more
In this post we will discuss a DRAT appeal wherein it was held in the following case that the view that notice to the borrower under rule 8(6) of the Security Interest (Enforcement) Rules, 2002 is a mandatory requirement laid down by the statute, and failure to issue such a notice would vitiate the auction … Read more
In this post we will discuss about a case wherein the the petitioner had obtained a house loan of Rs. 37 lakhs. Subsequently, on account of default in payment, a notice under Section 13(2)of the SARFAESI Act was issued demanding from the petitioner the defaulted amount. Proceedings under SARFAESI Act starts when borrower defaults 3 … Read more
In this post we will talk about the procedure for auction of property by bank if the borrower fails to pay his debt. The SARFAESI Act applies to loans above Rs. 1 lakh that are classified as NPAs. It excludes loans where more than 80% has been repaid and certain types of assets like agricultural … Read more
In this post we will discuss about the the deposit amount under section 21 of Recovery of Debts due to Banks and Financial Institutions Act, 1993 fo filing an appeal in Debt Recovery Appellate Tribunal. Supreme Court already has held that Borrower Has To Pre-Deposit 50% Of The “Debt Due” In Appeal Under Section 18 … Read more
This post talks about Jurisdiction of AFT CAT , NCLT DRT, High Court Chandigarh & District Court across tricity with relevant statute and weblink of the same. JURISDICTION OF VARIOUS COURTS/ TRIBUNALS/ JUDICIAL BODIES Supreme Court The Supreme Court has an original and exclusive jurisdiction to decide on disputes between the states or the centre … Read more
A petition was filed under rule 7 of the Insolvency and Bankruptcy Code for initiating corporate Insolvency resolution process. Petitioner was involved in manufacturing of pulp, paper, duplex board etc.The corporate applicant was declared Non- Performing Asset (NPA) after the sanctioning of loan on 31.3.2011. State Bank of India had issued a notice on 28.5.2011 … Read more
This post is a case digest on writ petition against the orders of DRT in Punjab and Haryana High Court wherein petitioners have challenged the order dated 22.06.2018 passed by the Debt Recovery Tribunal-III, Chandigarh by which the Securitization Application filed by the petitioners was dismissed as not maintainable on the ground that the petitioners … Read more
In an appeal filed before DRAT, appellants were required to first deposit a pre-deposit amount of 50% of the amount in question. Appellants challenged the same requirement before the High Court were appellants pleaded that the amount in question is a very huge amount and almost 70% of which is already be recovered by an … Read more
When borrowers cannot pay promised interest or principal on time, creditors can initiate steps to recover debt. Bankruptcy laws determine the process by which recovery proceeds. This note describes and discusses some features of the recovery process in India, focusing on debt recovery tribunals (DRTs) and debt recovery appellate tribunals (DRATs). We touch upon the … Read more
This post is a case digest on Securitization Application in DRT to Redeliver the Possession to guarantor since the demand notice u/s 13(2) was bad in law, also the amount calculated is incorrect as of considering principal amount & interest as it is settled adjudication of amount cannot be done in Sarfaesi Act. Different accounts … Read more
Post covers CONDONATION OF DELAY PETITION IN DRT CHANDIGARH. However, the court’s decision to condone a delay is discretionary and can be based on a number of factors, including negligence or failure to exercise due diligence. A Debt Recovery Tribunal (DRT) has the power to condone a delay in filing a petition by invoking Section … Read more
Post covers Whether DRT or High Court Chandigarh for Payment Default (NPA) when declared by bank and later Sarfaesi Notice and physical possession of the property is taken. With the ever growing economy of our country, borrowings from banks and financial institutions have also been increasing and have more and more complicated , with the … Read more
This post answers Can Banks attach Agricultural Land DRT Chandigarh Bench but the burden is upon the borrower to prove that the secured properties are agricultural lands and actually being used as agricultural lands and/or agricultural activities. A security interest is a type of lien or enforceable claim created on collateral, usually to obtain a … Read more
Post covers DRT Chandigarh Procedure where banking lawyers elaborate how to file OA/SA petition before DRT 1, DRT 2, DRT 3 Chandigarh. Debt Recovery Tribunal Chandigarh was made with the purpose of recovering debt from NPA’s declared under RBI Guidelines. As per obligation dated 06.09.2018, the recurring jurisdiction of DRTs has been increased from Rs. … Read more
With the enactment of Insolvency and Bankruptcy Code, 2016 (IBC), the process of recovery of a debt owed by a Corporate entity towards any person or entity has become easier and time bound. IBC provides for a specialized mechanism and forum for recovery of corporate debt for an amount as low as Rs. 1 Lakh. … Read more
Whether a Bank or a financial Institution (NBFC) who has been successful under SARFAESI Act to take over the possession of a secured asset (Immovable Property), once a loan becomes NPA, automatically get the same right over the tenants in the premises of secured asset? Securitsation and Reconstruction of Financial Assets and Enforcement of Security … Read more
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