STATE BANK OF INDIA Vs. PATWA FOUNDATION TRUST

JUDGEMENT

(1.) This petition has been filed by the petitioner / State Bank of India aggrieved of the judgment dated 04/09/2013 passed by Debts Recovery Appellate Tribunal Allahabad in Appeal Sr. No. 116/2013.

(2.) The only grievance made in this petition is that the Tribunal while passing the impugned order and allowing the appeal of the respondent directed that the Bank shall charge / calculate the interest at par with the BPLR i.e.13.25% on reducing balance upto the date of filing of the Securitization and thereafter @ 10% simple from 14/10/2012 till full reliazation of the dues instead of contractual rate of interest.

(3.) Grievance of the petitioner is that interest rates could not have been reduced by the Tribunal as, such power is not available to the Tribunal while dealing with the proceedings under section 17(3) of the Securitization and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002 ( in short " the Act " ). It is submitted that section 34 of CPC is not applicable to the present proceedings and that section 17 of the Act as the provisions contained in the Act are having overriding effect over other laws by virtue of section 35 of the Act.