Deposit requirement for Appeal to Debts Recovery Tribunal reduced

By | November 8, 2016
(Last Updated On: November 8, 2016)

MINISTRY OF FINANCE

(Department of Financial Services)

NOTIFICATION

New Delhi, the 3rd November, 2016

G.S.R. 1043(E).—In exercise of powers conferred by sub-sections (1) and (2) of section 36 of the Recovery of Debts due to Banks and Financial Institutions Act, 1993 (51 of 1993), the Central Government hereby makes following rules further to amend the Debts Recovery Appellate Tribunal (Procedure) Rules, 1994, namely:—

1. Short title and commencement. –

(1) These rules may be called the Debts Recovery Appellate Tribunal (Procedure) (Amendment) Rules, 2016.

(2) They shall come into force on the date of their publication in the Official Gazette.

2. In the Debts Recovery Appellate Tribunal (Procedure) Rules, 1994 (hereinafter referred to as the principal rules), throughout the rules, for the words “Presiding Officer”, wherever they occur, the word “Chairperson” shall be substituted.

3. In the principal rules, in rule 2, for clause (g), the following clause shall be substituted, namely:–

‘(g) “Chairperson” means Chairperson of an Appellate Tribunal and includes Chairperson of any other Appellate Tribunal established under any other law and authorised by the Central Government to discharge the functions of Chairperson of the Appellate Tribunal under sub-section (1) of section 8 of the Act.’.

4. In the principal rules, in rule 6A, in sub-rule (2), for the words “sixty days”, the words “thirty days” shall be substituted.

5. In the principal rules, for rule 9, the following rule shall be substituted, namely:–

“9. Deposit of amount of debt due. – Where an appeal is preferred by a person referred to in section 21 of the Act, such appeal shall not be entertained by the Appellate Tribunal unless such person has deposited with the Appellate Tribunal fifty per cent. of the amount of debt so due from him as determined by the Tribunal under section 19 of the Act:

Provided that the Appellate Tribunal may, for reasons to be recorded in writing, reduce the amount to be deposited by such amount which shall not be less than twenty five per cent. of the amount of such debt so due.”.

[F. No. 3/10/2016-DRT]

ANANDRAO V. PATIL, Jt. Secy.

Note : The principal rules were published in the Gazette of India, Part-II, Section 3, Sub-section (i) vide number G.S.R. 815(E), dated the 16th November, 1994 and lastly amended vide notification number G.S.R. 119(E) dated the 20th February, 2013.


Taxheal Editor Note

before the above amendment , Relevant portion of Rule 9 0f Debts Recovery Appellate Tribunal (Procedure) Rules, 1994

Deposit of amount of debt due .

9 . Where an appeal is preferred by a person referred to in section 21 of the Act, such appeal shall not be entertained by the Appellate Tribunal unless such person has deposited with the Appellate Tribunal seventy-five per cent of the amount of debt so due from him as determined by the Tribunal under section 19 of the Act, provided that the Appellate Tribunal may, for reasons to be recorded in writing, waive or reduce the amount to be deposited under section 21 of the Act.

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