The Debt Recovery Appellate Tribunal, Mumbai, dismissed the plea for waiving the mandatory 25% statutory pre-deposit required to entertain an appeal against measures under the SARFAESI Act, 2002.
The appellant was directed to make a pre-deposit of ₹51,52,298/- in three equal installments by 01.12.2025, 15.12.2025, and 29.12.2025.
This page shows the compact analysis of this judgement. The full analysis — procedural history, issue-by-issue holdings with ratio and obiter, advocates, and paragraph-level evidence for every claim — is being added to the record in batches and will appear here when this judgement has been through it.
(SITTING AT -CHENNAI) DEBT RECOVERY APPELLATE TRIBUNAL-MUMBAI
I.A. No. 711/2025 (WoD)
In
Misc. Appeal Dy. No. 1634/2025
Dated: 17.11.2025
The matter is taken up for hearing by way of a Praecipe filed by the Petitioner/Appellant seeking urgent relief.
entertaining the Appeal. The Application is filed seeking waiver of statutory deposit required under Section 18(1) of the SARFAESI Act, 2002, for
DRT-II, Ahmedabad for staying the measures taken for challenging the measures taken under SARFAESI Act Learned CJM, Mahuva under Section 14 of the SARFAESI including 13(2) Demand Notice dated 30.08.2024, Symbolic that the Petitioner/Appellant filed S.A. No. 34/2025 the parties declined the prayer for restraining the taking possession by filing S.A. No. 34/2025. The Learned Possession Notice dated 15.11.2024 and order passed by Act on 02.08.2025. He moved the Learned Presiding Officer, Presiding Officer after recording submissions of Counsel for Respondent Bank from taking possession. Therefore, this Learned Counsel for the Petitioner/Appellant submitted Appeal is filed along with Waiver Application.
on which the demanded amount was claimed. The loan was 30.08.2024 was issued claiming a sum of ₹2,06,09,191.95p. rate of interest should be specifically given. Even for future, the rate of interest is not given. He sent a reply to the There is no clear mention of what is rate of interest, based obtained on the basis of floating rate of interest; therefore, It is his further submission that the Demand Notice dated
funds. per inventory attached, between 12.00 pm to 2.50 pm. This a reply to his objections on 15.11.2024. Symbolic Possession Notice was issued on 15.11.2024 and in the Petitioner/Appellant on 21.11.2024. After creating the that the Petitioner/Appellant is not able to mobilize the reply was dispatched on 20.11.2024 and received by the Panchanama, it is claimed that the possession was taken as in the Demand Notice. The Bank received the reply and sent Officer. Thus, he seeks wavier of pre-deposit on the ground issue has not been considered by the Learned Presiding possession documents, the reply is sent antedated. This Demand Notice on 25.10.2024 objecting the demands made
appeared for Respondent Bank. It is seen from the Registry remarks that Notice to Respondent Bank is served by hand delivery. None
required under Section 18(1) of the SARFAESI Act, 2002. As Pre-deposit is mandatory for entertaining the Appeal as per Demand Notice dated 30.08.2024, the amount demanded as a due was ₹2,06,09,191.95р.
three equal instalments. paid any amount towards due amount after the issuance of and not even the sale notice is received. In the said When queried, it is admitted by Learned Counsel for the circumstances and with a view to give an opportunity to the demand notice. It is also informed that the sale is not over Petitioner/Appellant that the Petitioner/Appellant has not Petitioner/Appellant to settle the loan due and protect his property, this Tribunal directs the Pețitioner/Appellant to make a pre-deposit amount of 25% of *2,06,09,191.95p in
(Rounded off to ₹51,52,298/-) Admittedly, 25% of ₹2,06,09,191.95p come *51,52,297.98р.
shall be deposited on or before 01.12.2025, 2nd instalment of *17,17,433/- shall be deposited on or before 15.12.2025 and 3rd instalment of ₹17,17,432/- shall be deposited on or before 29.12.2025. in three equal instalments, 1st instalment of ₹17,17,433/Therefore, Petitioner/Appellant shall deposit ₹51,52,298/-
It is made clear that on failure to deposit of either of the instalments, the Appeal shall stand rejected. On making time to time, till further orders are passed. Mumbai is to invest the same in a Nationalized Bank, from such deposit by Petitioner/Appellant, Registrar, DRAT,
List the case on 31.12.2025 for reporting compliance.
CHAIRPERSON, DRAT, CHENNAI (IN-CHARGE, DRAT, MUMBAI
MKS-03
1 issue framed by the court
Whether the statutory pre-deposit under Section 18(1) of the SARFAESI Act, 2002 can be waived for entertaining the appeal.
1 provisions across 1 enactments
Petitioner/Appellant
Respondent Bank
CHAIRPERSON, DRAT, CHENNAI (IN-CHARGE, DRAT, MUMBAI)
As recorded by the court registry
2 orders share this CNR
Judgements on the same questions, provisions and authorities, from every court
