Debt Recovery Tribunal - Jurisdiction - Limited to certain claims made by financial institutions for debts due to them - Civil Court's jurisdiction does not stand completely ousted.

Citation

AIR 2009 SC (Supp) 2474

SUPREME COURT

(From : Punjab and Haryana)*

SATYA BRATA SINHA , J. and A. K. GANGULY , J.

Civil Appeal No.4796 of 2009 with T.P. (C) Nos. 1195, 1196, 1207-1209 of 2008, (arising out of

S.L.P. (C) No.24715 of 2008), D/- 29 - 7 - 2009

Nahar Industrial Enterprises Ltd v. Hong Kong and Shanghai Banking Corporation Axis Bank Ltd

v. Rajshree Sugars and Chemicals Ltd Axis Bank Ltd v. Nahar Industrial Enterprises Ltd Hong

Kong and Shanghai Banking Corporation v. Nahar Industrial Enterprises Ltd

(A) Words and Phrases - "Following conditions" - Means all conditions stated thereafter -

Conditions laid down cannot be read disjunctively.

 (Para 62) 

(B)Recovery of Debts Due to Banks and Financial Institutions Act (51 of 1993), S.31 - Transfer

of pending cases - Limited only to pending suits and proceedings for recovery of debts due to

financial institutions - No transfer dehors S.31 is permissible - Suit filed by debtor industry

seeking declaration that Foreign Exchange derivative contract entered with bank was void -

Transfer to D.R.T. - Not permissible.

 (Paras 69 , 72) 

(C)Evidence Act (1 of 1872), S.3 - Court - Distinguished from Tribunal - Decision of Court is

final - May not be so of Tribunal - Tribunal authorised to take evidence - However, is Court.

 (Paras 75 , 76) 

(D)Civil P.C. (5 of 1908), S.9 - Civil Court - Distinct from 'Court' - Civil Court is a body

established by law for administration of justice - Different kinds of law constitute different

kinds of Courts - Which Court comes within definition of civil Court would depend on text and

context of statute.

 (Para 79) 

(E)Law Reports Act (18 of 1875), S.3 - Law reports - Head-note - Not conclusive guide to text

of judgment reported - Are made for easy reference - May at times be misleading.

 (Para 93) 

(F)Recovery of Debts Due to Banks and Financial Institutions Act (51 of 1993), S.3, S.17, S.19 -

Debt Recovery Tribunal - Not civil Court - Cannot be construed to be so by adopting purposive

interpretation. Interpretation of Statutes - Purposive construction - To be adopted only to

resolve anomaly.