Pre-deposit Conditions are Mandatory: DRAT dismisses Appeal against SBI for Non-Compliance of Pre-deposit [Read Order]

In a recent case, the Chennai bench of the Debt Recovery Appellate Tribunal (DRAT) has dismissed an appeal against State Bank of India for non-compliance with a conditional order requiring pre-deposit.

The appeal was filed by R. Jothi and R. Rajkumar, challenging SA 67/2025 pending before the Debt Recovery Tribunal (DRT)-II, Chennai.

The Tribunal found that no representation appeared for the appellants, while the respondent bank was represented through video conferencing. The conditional order passed in IA 611/2025 which was a Waiver Application on 25.08.2025 had not been complied with by the appellants.

It was also noted that an application filed for correcting the order passed in the Waiver Application was under return and had not been re-presented. The respondent bank's counsel submitted that this application was not served on them.

The single bench of Justice G. Chandrasekharan, Chairperson, dismissed the appeal for non-compliance of the conditional order, which consequently led to the rejection of the main appeal.

The Tribunal holds that pre-deposit conditions are mandatory and non-compliance results in automatic rejection of the appeal. All pending interim applications, if any, were closed. The order highlights the strict procedural requirement of complying with conditional orders in DRAT proceedings.

It was noted that the conditional order was explicitly not complied with by the appellants.The waiver application was therefore dismissed for non-compliance.

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