DFS's Debt Recovery Tribunals Meet Focused On Process Reforms, Capacity Building & High-Value Case Recovery

(MENAFN- KNN India) New Delhi, Dec 31 (KNN) The Department of Financial Services (DFS) organised a colloquium of Chairpersons of Debt Recovery Appellate Tribunals (DRATs) and Presiding Officers of Debt Recovery Tribunals (DRTs) on Tuesday at Vigyan Bhavan, New Delhi.

The event was attended by senior DFS officials, representatives from public and private sector banks, and the Indian Banks' Association.

While addressing the participants, M. Nagaraju, Secretary, DFS, outlined key initiatives aimed at deepening digitisation and enhancing tribunal processes, including mandatory e-filing, video conferencing, and hybrid hearings.

The colloquium featured discussions on enhancing the effectiveness of recovery processes in DRTs.

The discussions focused on strengthening monitoring and oversight mechanisms of banks to enhance recoveries through DRTs, prioritising high-value cases for optimised recovery, and maximising the use of Lok Adalats as an alternative dispute resolution mechanism to expedite case disposal.

They also addressed implementing further process reforms to improve overall disposal rates in DRTs and capacity-building initiatives for Presiding Officers, Recovery Officers, Registrars, and authorised bank officers through structured training programs.

The participants also deliberated on potential amendments to the Recovery of Debts and Bankruptcy Act, 1993, and the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002, aimed at further strengthening these laws.

Tribunals were encouraged to adopt best practices from DRTs demonstrating higher disposal efficiency, with an emphasis on learning from successful models across jurisdictions.

(KNN Bureau)

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