IBPS PO Mains 30 Nov 2024 Shift 2 Paper

Concept:The Debt Recovery Tribunal (DRT) can hear only those recovery cases where the disputed amount is above a fixed minimum limit.Explanation:In India, the minimum monetary limit for filing a case before a Debt Recovery Tribunal (DRT) is $\text{Rs. }20\text{ lakh}$.The Government of India raised this pecuniary limit in 2020 from $\text{Rs. }10\text{ lakh}$ to $\text{Rs. }20\text{ lakh}$.Thus, if the amount in dispute is below $\text{Rs. }20\text{ lakh}$, the DRT has no jurisdiction to hear the matter.A person aggrieved by a DRT order can appeal to the Debt Recovery Appellate Tribunal (DRAT) within 30 days of receiving the order.DRTs are constituted under the Recovery of Debts and Bankruptcy Act, 1993, and also handle applications filed under the SARFAESI Act, 2002.The SARFAESI Act, 2002 empowers banks and financial institutions to take possession of a defaulting borrower's property to recover loans.This legal framework helps banks recover their dues efficiently without prolonged court proceedings.Answer:Hence, the minimum monetary limit for filing a case before a DRT is $\text{Rs. }20\text{ lakh}$, which is Option C.