Coimbatore: The two Debts Recovery Tribunals (DRTs) in Chennai have helped recover about Rs 1,200 crore due to financial institutions from the borrowers, according to H.P. Chaturvedi, Presiding Officer, DRT (1), Chennai.
Speaking at the inaugural session of the first special sitting organised by the Coimbatore DRT here on Saturday, he pointed out that the Supreme Court, which recently upheld the constitutional validity of the Securitisation Act, has expressed concern over the size of the NPAs of financial institutions, which has reached Rs 1 lakh crore. Even after the establishment of the DRTs, the recovery of NPAs has not been to the extent desired.
Holding of Lok Adalats and special sittings was one way of reaching out to the borrowers in an effort to settle the claims.
He said that this was not something new to Tamil Nadu and the Madras High court has been conducting Lok Adalats in an effort to ensure speedy settlement of cases. The Chennai DRT had also conducted 13 Lok Adalats that resulted in the recovery of more than Rs 48 crore.
Chaturvedi said in Tamil Nadu so far more than Rs 1,200 crore has been recovered through the initiatives of the DRTs. While DRT (II), Chennai which was established about three years ago has helped recover more than Rs 200 crore, the DRT (I), Chennai has assisted in the recovery of about Rs 960 crore.