India saw how the concept of helping financial institutions recover their debts quickly was gaining importance internationally and hence, the Government of India has constituted thirty three Debts Recovery Tribunals [DRT] and Debts Recovery Appellate Tribunals across the country for speedy discharge of cases and quick recovery of debts.
Debt recovery consultants are specialized in this field. The DRTs were initially constituted so that only they could have jurisdiction regarding these matters and civilians were kept out of the picture. The purpose of DRTs was that civil suits prolonged the procedure of debt recovery and hence, it was constituted for such a procedure. It’s a long drawn process and can be a bit daunting to understand for people who don’t practise, so we now have debt recovery consultants with their expertise in this field. But, this was successfully challenged before the Delhi High Court where it was held that the functioning of these tribunals can’t be truly just as there was no scope for counterclaims by borrowers, guarantors or any other person aggrieved by such institutions. Under the Recovery of Debts Due to Banks and Financial Institutions (RDDBFI) Act, 1993 the banks wanting recovery approach the Debts Recovery Tribunal (DRT) whereas, under Securitization and Reconstruction of Financial Assets and Enforcement of Security Interests (SARFAESI) Act, 2002 persons aggrieved by the banks can approach the Debts Recovery Tribunal (DRT). For further clarification on the rights of the aggrieved, advice from a debt recovery consultant should be obtained.
At Querease, we understand how the procedures of law can be exhaustive and nearly condescending for people to understand and deal with. Hence, we make sure that you have access to debt recovery consultants who are expert legal practitioners in the field of Debts Recovery Tribunal. Get legal advice online from very experienced legal advisors who deliver these sessions through online video chats on our highly interactive website. Get in touch with our legal experts to know more.