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DRAT Transfers Case Due to DRT Officer’s Prior Client Link

Case Law Details

TaxGuru Citation
2025 taxguru.in 9154
Case Name
Mahan Textiles Process India (P) Ltd. Vs State Bank of Travancore (DRAT Chennai)
Date of Judgement/Order
Only available for paid members
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Mahan Textiles Process India (P) Ltd. Vs State Bank of Travancore (DRAT Chennai)

The Debts Recovery Appellate Tribunal (DRAT), Chennai, ordered the transfer of S.A. No. from the Debts Recovery Tribunal (DRT), Coimbatore, to DRT-III, Chennai. The transfer petition was filed by Mahan Textiles Process India (P) Ltd. against the State Bank of Travancore on the grounds that the incumbent Presiding Officer at DRT, Coimbatore, had previously appeared as counsel for the petitioners in an unrelated case before the DRAT, raising a potential conflict of interest. The DRAT accepted the reason for the transfer request. The order directed DRT, Coimbatore, to send all case documents to DRT-III, Chennai, within two weeks. The Presiding Officer of DRT-III, Chennai, was directed to decide the S.A. on merits, in accordance with the law, expeditiously, after affording both parties a fair hearing. This decision underscores the need for maintaining judicial impartiality and integrity in tribunal proceedings.

FULL TEXT OF THE ORDER OF DRAT CHENNAI

1. This Transfer Petition is filed seeking transfer of SA No.125/2014, pending on the file of DRT, Coimbatore to any other DRT. Reason is that the incumbent Presiding Officer was earlier appearing for the Petitioners in another case pending before DRAT, Chennai.

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Author Info

CA Sandeep Kanoi
Qualification: CA in Job / Business
Company: Taxguru Consultancy
Location: Mumbai, Maharashtra
Articles Published: 19,620

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