Shobha Karandlaje asks FM Sitharaman to set up Debts Recovery Appellate Tribunal in Bengaluru

The increasing pendency of matters, coupled with the geographical inconvenience of the existing appellate forum, has led to delays in adjudication and enforcement of financial claims, Karandlaje said.

New Delhi: Union Minister of State for Labour Shobha Karandlaje has urged Union Finance Minister Nirmala Sitharaman to set up Debts Recovery Appellate Tribunal (DRAT) in Bengaluru.

In her recent letter to the Finance Minister, Karandlaje said that at present, litigants aggrieved by the orders of the Debts Recovery Tribunal (DRT), Bengaluru are required to approach the DRAT situated in Chennai. This arrangement imposes significant practical hardships on stakeholders, including banks, financial institutions, borrowers, and legal practitioners based in Karnataka.

Moreover, Bengaluru is a major financial and commercial hub, with a high volume of cases arising under the jurisdiction of the DRT. The increasing pendency of matters, coupled with the geographical inconvenience of the existing appellate forum, has led to delays in adjudication and enforcement of financial claims, she said.

Establishing a DRAT in Bengaluru would significantly reduce the burden on the Chennai DRAT while ensuring timely and efficient disposal of appeals. Besides, such body will also serve adjoining regions, thereby decentralizing the appellate structure and improving institutional efficiency, Karandlaje said in the letter.