Limitation & min.amt.due for drt mumbai
Kvijay12345
(Querist) 08 February 2017
This query is : Resolved
My friend had taken a Personal loan of Rs.6,51,000/- from private bank in September 2007. He defaulted on loan in Nov.2008 due to some dispute over agreement & he immediately informed the bank accordingly. Since then nothing happened till 2011, when the bank assigned its loan rights to ARC,without informing the borrower. However when the borrower came to know this he raised his objection to the bank as well as to the Arc.Now the Arc has moved to the DRT. I want to know what is the limitation period & Min. amt.due is required to file the case in DRT? I have heard that the time limit of 3years from the date of default & min.amount outstanding over Rs.10,00,000/- is the criteria to file the matter in DRT. Is this true? Can an ARC instead of bank file the case in DRT?
J K Agrawal
(Expert) 09 February 2017
ARC can file case before DRT. limit of 10 lakh- almost not true. (only 2 or 3 citations support this but generally not recognized anywhere), Limitation 3 year - not correct if immovable property mortgaged.
hiring is better than hearing.
Rajendra K Goyal
(Expert) 11 February 2017
Limitation is 3 years from date of last transaction by debtor / acknowledgement of debt and also may be extended through other such factors.
