Banks can not file cases in DRT wherever the Bank is situated

The Gujarat High Court in the matter between Thomson Rubber (India) Pvt Ltd Versus Union of India has harmoniously interpreted Rule 6 (a) of the Debt Recovery Tribunal (Procedure) Rules,1993 which read that  an application may be preferred before the DRT wherever the applicant is funnctioning as a Bank. The Bank filed an applicaton in DRT Ahmedabad relying on the Rule though the loan was sanctioned from Kerala branch of the Bank and event the Petitioner resided in Kerala.The Petitioner challenged the vires of the Rule citing that the same was against Section 19 of the parent Act being RDDB Act. Chief Justice S.J.Mukhopadyay and Justice M.S.Shah observed that Rule 6 (a) has to be read with Section 19 of the parent Act and any other interpretation shall render it ultra vires.