Noting
that the Securitisation and Reconstruction of Financial Assets and Enforcement of
Security Interest Act, 2002 (SARFAESI Act, 2002) and the Debts Recovery
Tribunal (Procedure) Rules, 1993 envisages summary procedures for an early
disposal of applications before DRT, High Court of Bombay, in Sonu Textiles v Punjab
National Bank [Manu/MH/2703/2016] upheld the view extended by DRT - I Mumbai
that the defendants have no right to demand the examination of a particular
witness or a particular person whose affidavit is not filed for the purpose of
cross-examination.
Hon’ble
High Court agreed with the views of DRT that the procedure provided for
disposal of the application under RDDB Act is summary in nature and the
Tribunals are disposing of the matters by receiving documentary evidence along
with the supporting claim affidavits of the respective parties. However, in
necessary circumstances and in exceptional cases on the application of the
parties, the witnesses are also tendered for oral examination. Since the claim
of the Bank is mostly basing on the documents, the above procedure was
prescribed and provided under the Act for speedy disposal of claims relating to
Bank and Public Financial Institution. Even otherwise it is the prerogative of
the applicant or plaintiff to lead evidence according to his choice as he being
the dominus litis of its case. The plaintiff has to either stand or fall
down on the strength of his own case and evidence. The defendants have no right
to demand the examination of a particular witness or a particular person whose
affidavit is not filed for the purpose of cross-examination.
It
was held by the High Court that the Court needs to consider the facts and
circumstances in hand, keeping in mind the purpose and object of the SARFAESI
Act, 2002. These provisions are with intent to expedite the procedure for early
disposal of such application which is summary in nature but by keeping in mind
the principles of natural justice. The provision and the power of Tribunal to
call a witness and/or issue summons and/or issue appropriate order, or
directions to creditors as well as borrowers and equally situated persons.
However, this is always subject to the nature of application as well as purpose
of such application including the conduct of the parties.
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