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DFS Hosts DRAT–DRT Meet to Boost Recovery

RR Team, December 30, 2025December 30, 2025
The Department of Financial Services (DFS), Ministry of Finance, convened a high-level colloquium today at Vigyan Bhavan, New Delhi, bringing together Chairpersons of Debts Recovery Appellate Tribunals (DRATs) and Presiding Officers of Debts Recovery Tribunals (DRTs). The event was attended by senior DFS officials, representatives of public and private sector banks, and members of the Indian Banks’ Association.

Addressing the participants, Secretary, DFS highlighted key initiatives aimed at deepening the digitisation of tribunals, including mandatory e-filing, use of video conferencing, and hybrid hearings. The colloquium facilitated discussions on measures to improve the efficiency and effectiveness of debt recovery processes across DRTs.

Key Focus Areas of the Colloquium

  • Strengthening monitoring and oversight mechanisms of banks to increase recovery through DRTs.
  • Prioritising high-value cases to optimise recovery efficiency.
  • Leveraging Lok Adalats as an alternate dispute resolution mechanism for faster disposal of cases.
  • Implementing process reforms to improve case disposal timelines in DRTs.
  • Capacity-building through structured training for Presiding Officers, Recovery Officers, Registrars, and authorised officers of banks.

Regulatory Reforms and Best Practices

Participants discussed proposed amendments to the Recovery of Debts and Bankruptcy Act, 1993, and the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002, to further enhance the legal framework supporting debt recovery. Emphasis was placed on learning from tribunals with high disposal efficiency to replicate successful practices nationwide.

Digitisation and Capacity Building

The colloquium reinforced the importance of adopting digital tools for efficient case management. Structured training programs for bank officials and tribunal staff are being prioritised to ensure consistent standards, improve recovery rates, and maintain accountability across the financial services sector.

News #AlternateDisputeResolution#BankingReforms#CapacityBuilding#DebtRecovery#DFSColloquium#DRAT#DRT#Efiling#FinanceMinistry#FinancialSector#FinancialServices#HybridHearings#IndianBanks#LokAdalat#RecoveryOptimization#StructuredTraining#TreasuryReforms#TribunalDigitisation

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