V M S Nirman Pvt. Ltd. and Others v. State Bank of India
Case brief
What is this about?
The Debt Recovery Appellate Tribunal at Kolkata applied to file an appeal challenging the impugned order of the Debts Recovery Tribunal, Visakhapatnam. The court allowed the application under Section 5 of the Limitation Act and granted a pre-deposit of 40% on the outstanding debt of Rs.13.10 crore instead of 50%.
What did the court decide?
Application for waiver of pre-deposit disposed of with an order to make 40% pre-deposit of Rs.13.10 crore amount.
IN THE DEBTS RECOVERY APPELLATE TRIBUNAL AT KOLKATA
Diary No. 536 of 2023
THE HON’BLE MR. JUSTICE ANIL KUMAR SRIVASTAVA CHAIRPERSON
04.10.2023 M/s.VMS Nirman Private Limited & 3 Others … Appellants -VsState Bank of India … Respondent
Mr. Nemani Srinivas, Learned Counsel for Appellants
Mr. Soudip Pal Choudhuri with Ms. Saswati Sikder, Counsel for Respondent
THE APPELLATE TRIBUNAL :
I.A. 307 of 2023
Application, under Section 5 of the Limitation Act, filed by Appellant for condonation of delay in filing the appeal challenging the judgment and order dated 7th October, 2021 passed by the Learned DRT, Visakhapatnam whereby O.A. 103 of 2018 was allowed to the extent of Rs.8,24,46,034.04p with simple interest at the rate of 10.5% per annum. However, in the counter claim it was ordered that an amount of Rs.4.00 crore be paid to the Bank by the Defendants. The said order is challenged by the Bank by preferring an appeal, being Appeal No. 10 of 2022.
It is submitted by the Learned Counsel for Appellant that initially the Appellant was advised to prefer an appeal but it did not accept the opinion. Thereafter with a delay Appellant preferred the appeal. Although the ground taken in the application, under Section 5 of the Limitation Act, is not
Issues for consideration
3 issues framed by the court
Whether the appellant is liable to make a 50%, 25% or 40% pre-deposit amount under Section 21 of the RDAA before filing the appeal challenging the DRT order.
Whether the amount set off of Rs.4.00 crore in favour of the Bank can be taken into account for reducing the pre-deposit requirement.
Whether the provision of Section 21 of the RDAA is mandatory in nature permitting only partial waiver of the pre-deposit.
Parties & counsel
- appellant
M/s. VMS Nirman Private Limited & 3 Others
- respondent
State Bank of India
Coram
Anil Kumar Srivastava
Case details
As recorded by the court registry
- Court
- DRAT
- Decided on
- · October
- CNR
- 191090005362023
- Topic
- Arbitration
All orders in this case
5 orders share this CNR
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