In Brief
Bank of Baroda sought to set aside an interim order by the High Court of Judicature at Allahabad that had stayed the Debt Recovery Appellate Tribunal's (DRAT) order. The DRAT had upheld the DRT's dismissal of a Section 17 application challenging a sale certificate as being time-barred under the 45-day limitation period mandated by the Securitization and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002. The Supreme Court held that the High Court was not justified in granting the interim stay, as the DRAT had correctly found no error in the DRT's decision and no valid ground for review existed. The Court emphasized the importance of the 45-day limitation period in ensuring quick enforcement of security interests. The appeal was allowed and the High Court's interim order was set aside, with the Court declining to express any opinion on the merits of the case."
The lawyer headnote and full judgment text are available to registered users.