Demand of borrower is legal and tenable and amount deposited will be returned to borrower

Last updated: 27 October 2022

Save Share

Quick Summary

The Supreme Court has ruled that a borrower's demand for the return of a deposit made during an appeal under the SARFAESI Act is legal and tenable. The borrower had deposited 50% of the claimed amount to appeal an order, but later withdrew the appeal as the underlying debt recovery tribunal case was resolved. The Court determined that the deposited amount, not being a secured asset or subject to bailment, should be returned to the borrower.

Court :
Appellate Tribunal

Brief :
Borrower has appealed Order under SARFASEI ACT before DRAT and has deposited 50% of the contended sum. The appeal was further withdrawn by the borrower and appealed for refund of deposit amount. The Bank contended it cannot be refunded.

Citation :
Civil Appeal No. 4379 of 2016

Daily Limit Reached

You have reached your daily limit of 2 Free Judgements

Subscribe to CCI PRO for unlimited access

Why Upgrade to CCI PRO?

No Ads
WhatsApp Community
Daily E-Newsletter
Unlimited Judgements Access
Profile Visitors
Link Social Profiles
Featured Job Posts
Pro Badge
Expert GST Guidance
Unlimited Forum Replies
Download Content in PDF

1 Year PLAN - Rs.~~1999~~

1799

(Excl. of GST ₹323)

2 Years PLAN - Rs.~~3499~~

3149

(Excl. of GST ₹566)

BEST VALUE

3 Years PLAN - Rs.~~4999~~

4499

(Excl. of GST ₹809)

View all CCI PRO benefits

Already a PRO member? Login here for an ad-free experience. 07941056694

366 Views Comment Share Corporate Law Report

Judgement posted by

FCS Deepak Pratap Singh

Associate Vice President - Secretarial & Compliance (SBI General Insurance Co. Ltd.)

Dear Friends, MyselfFCSDeepak P. Singh ( B.Sc.. LLB, FCS. FIII, CIAFP, CRMP, ID) , A Fellow Member of ICSI, Law Graduate ,Fellow Member of Insurance Institute of India, Certified Independent Director ,Certified Insurance Anti Fraud Professional , Certified Risk Governance Professional ( ICSI-III) and cleared Limited I ... Read more

View Judgements

Comments