DRT (Debt Recovery Tribunals) Lawyer in Delhi
In line with international best practices for efficient recovery of bad debts, the Government of India has established 33 Debt Recovery Tribunals (DRTs) and 5 Debt Recovery Appellate Tribunals (DRATs) across the country.
Some cities, such as New Delhi and Mumbai, have three DRTs each, while Chennai and Kolkata have two. Others like Ahmedabad, Allahabad, Aurangabad, Bangalore, Chandigarh, Coimbatore, Cuttack, Ernakulum, Guwahati, Hyderabad, Jabalpur, Jaipur, Lucknow, Nagpur, Patna, Pune, Ranchi, and Vishakhapatnam have one each. The number of tribunals in each city depends on case volume.
Our DRT & DRAT Expertise
We have been practicing before DRTs and DRATs for over 15 years, representing primarily borrowers in cases where banks initiate recovery or enforce security under SARFAESI.
Both tribunals are governed by the Recovery of Debts and Bankruptcy Act (RDB Act), 1993, created to ensure speedy adjudication and recovery of debts due to banks and financial institutions.
Recovery of Debts and Bankruptcy Act, 1993 (RDB Act)
- Jurisdiction – Applicable when the debt due to a bank/financial institution is ₹20 lakh or more.
- Filing – Applications under Section 19 can be filed before the DRT within whose jurisdiction:
- The bank branch maintains the account
- The defendant resides, carries on business, or works for gain
- The cause of action wholly or partly arises
- Appeals – Under Section 20, appeals lie before DRAT.
- Pre-deposit requirement – 50% of the debt determined by DRT (can be reduced to a minimum of 25% for recorded reasons).
SARFAESI Act, 2002
The SARFAESI Act simplifies recovery for banks and financial institutions by allowing enforcement of secured debts without court intervention at the first stage.
- Applicable if the secured debt is ₹1 lakh or more and the due amount is at least 20% of principal + interest
- Excludes agricultural land and certain exempt properties
- Borrowers may challenge enforcement before DRT, with appeals to DRAT
Related Banking & Recovery Legal Services
We also advise and represent clients in:
- Section 138 NI Act cheque dishonour complaints
- Summary suits under Order XXXVII CPC
- Ordinary civil recovery suits for money/damages
- Arbitration – Representation, Section 9 & Section 34 petitions under the Arbitration & Conciliation Act
- Insolvency & Bankruptcy – NCLT matters under IBC & Companies Act
- Winding-up petitions before NCLT
- Consumer disputes – District Forum, State Commission, NCDRC
- Debt recovery – Section 19 RDB Act proceedings before DRT
- Recovery actions under SARFAESI Act and RDB Act before DRT/DRAT
