In Brief
Bank of India sought recovery against a defaulter. After the property was auctioned, the bank appointed a court commissioner (Yadav Consultancy) to handle possession. When the auction purchasers took possession in November 2006, the DRT held in July 2008 that the auction purchasers, not the bank, must pay the commissioner's charges thereafter. Years later, Yadav sought arbitration under the MSMED Act, obtaining a large award against the bank. The Supreme Court allowed the bank's appeal, holding that the MSMEDF Council had no jurisdiction since DRT proceedings had concluded and been accepted by all parties. The bank's obligation ended in 2008 when DRT declared the auction purchasers liable for future charges."
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