The Debts Recovery Tribunal dismissed an interlocutory application for the return of a secured asset and a claim for compensation. The court held that such reliefs are final in nature and premature before the main application's disposal.
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.
IN THE DEBTS RECOVERY TRIBUNAL – II AT CHENNAI
Dated this 16th day of April, 2026
PRESENT: SHRI SHARANG DHAR UPADHYAY
Presiding Officer
IA No.327 of 2026 & IA No.328 of 2026 in SA No.590 of 2024
Ahmed Thambi Maiden No.81, Old No.35/1, Sait Colony Second Street, Egmore Chennai – 600 008
…Petitioner / Applicant
Versus
The Authorised Officer cum Chief Manager Union Bank of India, Asset Recovery Branch No.9, Elcanso Complex, Casa Major Road Egmore, Chennai – 600 008
…Respondent / Respondent
ORDER
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view that both the applications can be taken up together and a common order is passed.
(a) It is submitted that as per SARFAESI Act, 2002, on equity while protecting the interest of the secured creditor, also protects the rights of the borrower and Section 19 of the Act denotes Right of borrower to receive compensation and costs.
(b) It is submitted that the secured asset has been taken illegally by the respondent on 06.07.2018.
(c) It is evident on record that the applicant is made run from pillar to post seeking justice for the wrong doing of the respondent bank since more than 7 long years and lost irreversible valuable time in life and the applicant has exhausted all available remedies but the respondent bank needs further authoritative intervention for following the rules, which they are mandated to follow. It is stated that the matter was before DRT-I, Chennai, DRAT, Chennai, Hon’ble Madras High Court, Back to DRAT, Chennai, Hon’ble High Court of Madras and now before this Tribunal.
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(d) Respondent Bank sent a bankers’ cheque bearing No.711137 dated 22.12.2022 for Rs.1,56,666/- and states that the bank is liable to pay a cost only and not compensation, which has not been accepted by the applicant.
(e) It is also submitted that the cost incurred throughout and interest accrued works out to Rs.3,82,12,438/-. It is stated that the said amount is only the cost incurred and not the compensation.
(g) It is stated that when the lending institution, respondent bank herein is charging interest on each and every penny they lend and charge interest even for a sing day, that too 14%, 16% and additional 3% on delayed payments and other expenses they incur, why not the same principal applies to the borrower when his huge amount is blocked by the irresponsible wrong doing by the bank. Hence these applications are filed.
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already by its order dated 12.11.2025 made in MA No.237 of 2024 in NDN (TSA) No. 3006 of 20924 has negatived the prayer of the applicant. Ld. Counsel further submitted that two similar applications filed by the applicant in the SA is at the maintainability stage and it is not known as to how similar applications with similar prayers have now been withdrawn by the applicant. Ld. Counsel submitted that these applications are therefore liable to be dismissed with costs.
Discussion and Findings
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ORDER
IA No. 327 of 2026 seeking return of the secured asset and IA No.328 of 2026 seeking award of costs and interest are dismissed as premature and not maintainable at the interlocutory stage, as the relief sought is in the nature of final relief.
Sd/- (SHARANG DHAR UPADHYAY) PRESIDING OFFICER DRT-II CHENNAI
(Dictated to PS, who typed in the system directly, corrected, signed and pronounced by me in Open Court, on this 16th day of April, 2026)
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2 issues framed by the court
Whether the prayer for return of the secured asset can be granted at an interlocutory stage
Whether the claim for costs and interest under the SARFAESI Act is maintainable during the pendency of the main application
Ahmed Thambi
The Authorised Officer cum Chief Manager Union Bank of India
SHARANG DHAR UPADHYAY
As recorded by the court registry
2 orders share this CNR
Judgements on the same questions, provisions and authorities, from every court
