Aastha Pareek
The Supreme Court of India has issued notice to the Union government regarding the non-appointment of chairpersons in 11 Debt Recovery Tribunals (DRTs) across the country. A bench comprising Chief Justice of India (CJI) Sanjiv Khanna and Justice PV Sanjay Kumar has given the government five weeks to respond, followed by three weeks for the petitioner to file a rejoinder.
DRTs, established under the Recovery of Debts and Bankruptcy Act, 1993, serve as quasi-judicial bodies aimed at expediting the recovery of debts by banks and other creditors. However, the lack of chairpersons has hindered their functioning, creating significant delays and difficulties for litigants.
The issue of tribunal vacancies is not new. In December 2021, the Supreme Court directed High Courts to temporarily entertain applications under Article 226 in cases typically handled by DRTs and the Debts Recovery Appellate Tribunal (DRAT). It stated that once the tribunals were adequately staffed, these matters could be redirected back to them. Despite such measures, the problem persists, with tribunals struggling due to insufficient personnel.
The Kerala High Court, in 2022, also criticized the Central government for its inaction in addressing tribunal vacancies, citing the hardships faced by litigants. The Supreme Court’s intervention reiterates the urgency for the government to resolve these administrative shortcomings to ensure efficient debt recovery mechanisms and access to justice.