Contempt of Supreme Court Judgment by Officers of Debt Recovery Tribunals

To,                                                                                               5-3-2012

 Hon Chief Justice of India

 Supreme Court of India

 New Delhi- 110 001

Respected Hon Chief Justice of India,

Sub:  Contempt of Supreme Court Judgment by Officers of Debt Recovery Tribunals

Whereas legislature has enacted the Recovery of Debts Due to Banks and Financial Institutions Act (Hereinafter referred to as RDDBFI Act) and the Bill seeks to provide for the establishment of Tribunal and Appellate Tribunals for expeditious adjudication and recovery of debts due to banks and financial institutions.. Under the said RDDBFI Act, Debt Recovery Tribunals (hereinafter referred to as DRT) have been established.

Whereas all the Tribunals where under the administrative control and supervision of their respective departments and concerned Ministries.

Whereas the Question of Judicial Independence, appointments, safety of tenure, termination, funding for salaries, benefits and facilities was sought to be clarified by the Constitutional Bench of the Hon Supreme Court of India.  The said questions were answered by the Constitutional Bench of Hon Supreme Court of India in Union of India, Madras Bar Association vs R.Gandhi, President  Madras Br Association and Union of India ( 2010 INDLAW SC 405).

 Whereas to prevent the appearance of partiality and to separate Judiciary from Executive branch in the conduct of Judicial Proceedings and decisions in the Tribunals and Appellate Tribunals, the Hon Supreme Court decided to give Judicial Freedom by ordering the transfer of all Tribunals and Appellate Tribunals to Ministry of Law & Justice.

Whereas the Hon Supreme Court made the following among other orders : Para 56(ix) ……..the selection Committee should broadly be on the following lines: (a) Chief Justice of India or his nominee- Chairperson(with a casting vote); (b) A senior Judge of the Supreme Court or Chief Justice of High Court-Member; (c) Secretary in the Ministry of Finance and company Affairs-Member; and (d) Secretary in the ministry of law and justice- Member.  Para 56 (xiii)…The Administrative support for all Tribunals should be from the Ministry of Law & Justice. Neither the Tribunals nor its members shall seek or be provided with facilities from the respective sponsoring or parent Ministries or concerned Department.(emphasized)

In gross contempt of Hon Supreme Court Constitutional Bench directives, Officials of Debt Recovery Tribunal (DRT) continue to draw their salaries, benefits, perks from Ministry of Finance.  Allegedly some Banks have even provided Office space and staff to the said Debt Recovery Tribunals along with cars, drivers etc. The Banks are one of the parties in all the cases adjudicated by the said tribunals. This is nothing but illegal benefit being given by banks to officials of Debt Recovery Tribunals.

Whereas Ministry of Finance has transferred Income Tax Appellate Tribunals to Ministry of Law & Justice in obedience of the Supreme Court directives, the strong Banking Lobby is prevailing on Ministry of Finance to use delay tactics for nearly two years to defeat the Hon Supreme court directive for transfer of DRT to Ministry of Law & Justice.

Whereas the DRT proceedings, attire, environment of DRT has been created to give the impression of adjudication by unbiased courts the said officials are cheating the borrowers by functioning unconstitutionally and by their disobedience of Hon Supreme Court directives to separate Executive from Judiciary and not to seek any administrative support from parent ministry which is Ministry of Finance in this case.

Borrowers are not getting fair hearing and adjudication from the said Hon DRT which does not have Judicial freedom to adjudicate cases in an impartial manner without fear or favor as guaranteed by Constitution.

Borrowers Rights Forum prays for implementation of Hon Supreme Court Judgment and immediate transfer of DRT to Ministry of Law and Justice and to initiate contempt proceedings against DRT Officials for failing to comply with Constitutional Bench decision of Hon Supreme Court of India.

Most obediently,

Dr C Suresh

Secretary

Borrowers Rights Forum

Saumya Nagar, NH 5

Tadepalli- 522501

A.P.