NEW INDIA ASSURANCE CO LTD Vs. BHORUKA ROADLINES LTD

JUDGEMENT

(1.) CHALLENGE emanated from the application filed by the defendant which culminated into framing of a preliminary issue regarding jurisdiction is two fold. Whether the Tribunal has territorial jurisdiction to entertain and decide the present matter is one and whether the claim made in the application is 'debt' is the other.

(2.) It is necessary to know the factual matrix of the present matter. The applicant who is an Insurance Company and admittedly a Financial Institution as defined in the Recovery of the debts Due to Banks and Financial Institutions Act, 1993 filed a claim for recovery of Rs. 10,00,000/- before the learned Civil Judge, Sr. Division, Pune.

(3.) THE matter came to be transferred from the Civil Court to the Debts Recovery Tribunal after the establishment of Debts Recovery Tribunal, Mumbai. Subsequently, the matter landed in this Tribunal after its establishment.