Recovery suit be filed at commercial courts??
Punit Gupta
(Querist) 02 August 2025
This query is : Resolved
Can Banks/FIs file suit for recovery for NPA accounts under the provisions of Commercial Courts Act 2015?
kavksatyanarayana
(Expert) 02 August 2025
Debt Recovery tribunals have been authorised to form the Lok Adalat to decide on cases of NPAs of Rs. 10 lakhs and more.
Dr. J C Vashista
(Expert) 03 August 2025
Yes, the Banking and Non-Banking Financial Institutions can file a suit for recovery of amount where the account has been declared non-performing assets before jurisdictional court.
No facts have been posted by the author to support and substantiate question paper.
Advocate Bhartesh goyal
(Expert) 03 August 2025
Banks and financial institutions can file recovery suits for Rs 300000/- and above upto Rs 1000000/ before Commercial Court and above Rs 1000000/- suit can be filed before Debt Recovery Tribunal.
T. Kalaiselvan, Advocate
(Expert) 04 August 2025
Financial institutions can effectively pursue recovery through commercial courts, leveraging the provisions of the Commercial Courts Act and the Recovery of Debts Due to Banks and Financial Institutions Act.
However as far as banks are concerned, a money recovery suit is not inherently a commercial dispute; the nature of the transaction and the context are crucial. Transactions must involve mercantile documents and be part of a business context to qualify as commercial disputes under the Commercial Courts Act.
