In an application for permission to withdraw an original recovery claim, the DRT allowed the bank's request after it settled out of court and received the settlement amount, relying on the High Court view that the bank is dominus litis.
Original Application for recovery allowed to be withdrawn; case disposed of.
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.
| 25/04/2024 | Ex. No. |
Before Presiding Officer Dr. Rekha G. Dhakar, DRT-1, Mumbai. Roznama in OA 451 of 2023 State Bank of India Vs Jogender J Upadhyay |
Next date |
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| Advocate Merlyn Vasudeo Nee Monteiro appeared for the Applicant. IA No. 893/2024 1. The Ld. Counsel appearing for the Applicant Bank seeking permission to withdraw the Original Application as they have settled the matter out of court with the defendants and received an amount of Rs.15,00,000/- (Rupees Fifteen Lacs Only) towards full and final settlement of entire OA claim of Rs. 42,99,722/-. 2. Considered the contentions of Ld. |
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| Counsel for the applicant and gone through the record as well as case laws on the subject. 3. The Hon’ble High Court of Delhi in the matter of Satish Chand Gupta & Ors. Vs. SBI-W.P © 2588/2010 held that “…..DRT can have no objection to the same as the bank which is claimant has agreed to the |
same. The bank is dominus litis and it is for the bank to decide as to against which party it desires the litigation to continue. It is purely a contractual matter and the bank in its wisdom decided to settle the claim against the petitioners…..”. It was further laid down that the Tribunal appears to think that it is some kind of Ombudsman/ Auditor of the bank to scrutinize the settlement arrived between the parties. The Tribunal is no one to decide as to at what value the bank should settle its dues with the borrower especially when the bank has Managers who have acted in pursuance to authorization in their favour and after due consideration of the proposal of the petitioners….”. 4. In the light of above, since the account impugned has already been closed in terms of settlement between the parties and Bank has already received the entire settlement amount, further the bank has dominus litis in their matter, therefore, IA No. 893/2024 is allowed and Original is as Application hereby disposed
4.
Sgj/-4
2 issues framed by the court
Whether the Debts Recovery Tribunal can object to the withdrawal of an original application when the bank has settled the matter out of court.
Whether the bank as dominus litis has the right to settle dues and withdraw litigation at its own discretion.
Colour shows how this judgement treated each authority
Satish Chand Gupta & Ors. Vs SBIRelied on¶3
Satish Chand Gupta & Ors. Vs SBI-W.P © 2588/2010
State Bank of India
Jogender J. Upadhyay
Dr. Rekha G. Dhakar
As recorded by the court registry
Judgements on the same questions, provisions and authorities, from every court
