Whether DRT can condone the delay in filing an application under Section 17(1) of the SARFAESI Act, 2002 preferred on behalf of a Borrower by giving the benefit of the provisions of the Limitation Act, 1963? – Baruah C.C. and Anr. Vs. State Bank of India and Ors. – Gauhati High Court
November 29, 2024
A Division Bench of the Hon’ble Gauhati High Court held that:
(i) DRT is required to dispose of an application filed under Section 17 of the SARFAESI Act as per the provisions of the RDB Act, wherein by virtue of Section 24 of the RDB Act, the provisions of Limitation Act are applicable.
(ii) An application under Section 17 of the SARFAESI Act, being one such original proceedings before the DRT filed after the period of limitation, as prescribed, can be entertained while applying the provisions of the Limitation Act by virtue of Section 24 of the RDB Act.
(iii) DRT can condone the delay in filing the application under Section 17 of the SARFAESI Act while applying the provisions of Sections 4 to 24 of the Limitation Act, 1963, of course, only if it is satisfied that the delay in filing the application under Section 17 is sufficiently explained.
