Shri Nikhil Khandelwal and 4 Ors. v. Bank of India
Case brief
What is this about?
Appeal by Nikhil Khandelwal against Bank of India. Court noted non-payment of pre-deposit. Held that Tribunal cannot reduce mandatory 25% pre-deposit below that limit. Ordered dismissal if deposit not made; listed for waiver hearing on remaining 25%.
What did the court decide?
Appeal not entertainable without depositing minimum 25% of amount due. Case listed for hearing on waiver of remaining 25% if deposit made.
What the court decided
Appeal Dy. No. 35/2021 Date: 13.07.2023
Shri Nikhil Khandelwal Vs. Bank of India & Anr.
Present: Shri K. Kartikeya, Advocate holding brief of Shri V. K. Shukla, counsel for the appellant, Shri Supriy Mishra, counsel for the respondent-Bank,
The office report dated 12.07.2023 shows that no pre-deposit has been made. The waiver and delay condonation applications are also pending consideration.
In the present case, the appellant has not deposited amount towards pre-deposit, whereas the second proviso of said section says that no appeal shall be entertained unless the borrower has deposited with the Appellate Tribunal 50% of the amount of debt due from him, as claimed by the secured creditor or determined by the Debt Recovery Tribunal, whichever is less. Further, the third proviso of the said section says that the Appellate Tribunal may, for the reasons to be recorded in writing, reduce the amount not less than 25% of the debt referred to in the second proviso. As such, this Tribunal has no power to reduce the amount below to 25% of the amount due. Therefore, the appellant is directed to deposit minimum 25% of the amount due, which is mandatory in nature, for entertaining the appeal. If the appellant does not deposit the said amount prior to the next date fixed, the appeal shall stand dismissed as not entertainable for want of mandatory pre-deposit without further reference to this court. If the said amount is deposited by the appellant within the stipulated period, list this case on 20.09.2023 for hearing on waiver of the rest 25% of the amount due. Till then the interim order, if any, shall continue.
Justice R. D. Khare Chairperson
Anupam
Issues for consideration
2 issues framed by the court
Whether the appeal is entertainable without payment of the mandatory pre-deposit of 25%.
Whether the Appellate Tribunal has power to reduce the pre-deposit below 25%.
Parties & counsel
- appellant
Shri Nikhil Khandelwal
- respondent
Bank of India
Coram
R. D. Khare
Case details
As recorded by the court registry
All orders in this case
8 orders share this CNR
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