Allahabad High Court orders a CBI investigation into claims of misconduct by the head of the DRT in Lucknow, following issues raised about the tribunal’s operations.
The Allahabad High Court has ordered a CBI investigation into claims of “Mis-behaviour/Incapacity” by the Presiding Officer of the DRT in Lucknow. The court noted that the officer’s actions raised concerns about the Tribunal’s overall functioning. The CBI is tasked with reviewing the DRT’s records to prepare a charge sheet against those involved. The Bank of Baroda, the petitioner, expressed worries about how orders were issued just before the Presiding Officer’s retirement. Justice Pankaj Bhatia remarked that the officer’s conduct created doubts about the Tribunal’s operations, as detailed in a previous order dated July 8, 2024.
The petitioner claimed that the Presiding Officer was absent on the day the disputed order was made, and a subsequent corrigendum changed the date of the original order. However, the petitioner argued that this corrigendum was missing from the certified records they received, and the cause list did not indicate that the matter was scheduled for order pronouncement. These inconsistencies led the petitioner to allege bad faith and serious irregularities. The court acknowledged a report from the DRT Registrar, which indicated that the corrigendum was dictated by an outsourced stenographer. The original order was not given to the Private Secretary or Stenographer, as confirmed by the Registrar. The report also noted that the corrigendum was not uploaded to the e-DRT portal and was only part of the physical record. By that time, the Presiding Officer had already retired.
The Court noted that according to the Debt Recovery Tribunal Act of 1993 and the SARFAESI Act, Tribunals should operate fairly and reasonably to ensure a balance between the rights of borrowers and guarantors while also aiming for quick recovery of bank debts. It stated, “Any issue with how the Tribunal operates undermines the purpose of the Act, so the Presiding Officer must act fairly and reasonably in their duties.” As a result, the Court ordered, “Given the serious allegations (confirmed in the Registrar’s report) regarding the order made on September 18, 2024, and the correction order on September 27, 2024, against the Presiding Officer, along with several complaints mentioned in previous Court orders, I find it necessary to direct a C.B.I. Inquiry into this matter.” The High Court then scheduled the hearing for December 10, 2024.
Cause Title: Bank of Baroda v. Debt Recovery Tribunal & Ors.
Appearance:
Petitioner: Advocate Prashant Kumar Srivastava
Respondent: CSC Apoorv Dev; Advocate Ashish Chaturvedi
