Topic
Madras High Court rules that Section 18 of the RDDBFI Act ousts civil court jurisdiction even for third parties challenging debt recovery proceedings. The court also held that such suits are barred by limitation and constitute abuse of process, reinforcing the exclusive jurisdiction of Debt Recovery Tribunals.
Bombay High Court rules that the Debt Recovery Tribunal's failure to decide interim applications before coercive actions like auctions or possession constitutes a violation of natural justice. The Court emphasized that non-compliance with judicial directions without valid justification undermines the dignity of the tribunal and affects litigants' rights.
Bombay High Court rules that Debt Recovery Appellate Tribunals cannot reject stay applications on grounds of non-deposit without first adjudicating pending exemption requests. The ruling reinforces natural justice principles, ensuring borrowers retain interim protection during appeal proceedings.