Debts Recovery Tribunal

Debt Recovery Tribunal (DRT): Enforcing Financial Justice Debt Recovery Tribunals (DRTs) are specialized judicial bodies established to facilitate the speedy recovery of debts by banks and financial institutions from individuals and companies. Governed primarily under the Recovery of Debts and Bankruptcy Act, 1993 (RDB Act), DRTs aim to reduce the burden on civil courts and ensure swift resolution of loan defaults and financial disputes. DRTs handle cases involving secured debts exceeding ₹20 lakh, including non-performing assets (NPAs), loan recovery, and enforcement of security interests under laws such as the SARFAESI Act, 2002. The tribunal has the authority to issue orders, conduct inquiries, and enforce repayment through attachment and sale of properties. Each DRT is presided over by a Presiding Officer, supported by Recovery Officers who implement the tribunal's orders. Appeals against DRT decisions can be filed with the Debt Recovery Appellate Tribunal (DRAT). With the rise in corporate defaults and stressed assets, DRTs play a crucial role in maintaining financial discipline, protecting creditor rights, and promoting stability in the financial sector. If you're involved in financial litigation or recovery proceedings, understanding DRT processes and your legal rights is essential to secure timely justice.