How do I file an appeal before DRAT against a DRT order?

Question

The Debts Recovery Tribunal passed an order against me and I want to appeal before the Debts Recovery Appellate Tribunal. What is the procedure and deposit requirement? Specifically, I want to know how Recovery of Debts and Bankruptcy Act 1993, Section 20 applies to a situation like mine and what the banking law position in India actually is. If there is a deadline I should be aware of, I need to know that now.

MyVakeel Legal Desk · Accepted Answer

How do I file an appeal before DRAT against a DRT order? is governed in India primarily by Recovery of Debts and Bankruptcy Act 1993, Section 20, Recovery of Debts and Bankruptcy Act 1993, Section 21 and SARFAESI Act 2002, Section 18. Outcomes in drat appeal disputes depend heavily on documentation, so check what you can actually evidence as you read.

Section 20 of the RDB Act allows an appeal to DRAT against a DRT order within 30 days of receipt, though delay can be condoned for sufficient cause.

Under Section 21, a borrower filing an appeal against a DRT recovery order must deposit 50% of the decretal amount, which DRAT may reduce to not less than 25% for reasons recorded.

For appeals against SARFAESI possession orders under Section 18, the appellant before DRAT must similarly deposit 50% of the debt as claimed by the secured creditor.

DRAT has power to stay recovery proceedings pending appeal and can modify, set aside or confirm the DRT's order after hearing both parties.

Legal representation before DRAT is common though not mandatory, and delays beyond limitation without adequate explanation lead to dismissal of the appeal.

What this means for you: 1) Obtain a certified copy of the DRT order and compute the limitation period from the date of receipt; 2) Arrange the mandatory pre-deposit amount or file an application for reduction of the deposit with reasons; 3) Draft and file the appeal memorandum before DRAT along with supporting documents and grounds; 4) Seek an interim stay on recovery or possession action pending final disposal of the appeal.

Where the facts are disputed, what usually decides a drat appeal matter is the paper trail — dated complaints, acknowledgments and written replies under Recovery of Debts and Bankruptcy Act 1993, Section 20. You can post the details on the MyVakeel forum for a practising advocate to review, or book a paid consultation with a Bar Council verified lawyer in banking law.