Finance Ministry calls for faster case resolutions in DRTs
What's the story
The Finance Ministry has called for quicker case resolutions in Debt Recovery Tribunals (DRTs). The call was made during a meeting on Saturday, where the ministry proposed that these tribunals adopt best practices from their high-performing counterparts. The ministry also emphasized the need to strengthen oversight and monitoring mechanisms within banks to improve recoveries through DRTs.
Strategic focus
Lok Adalats can be used as alternative dispute resolution mechanism
The Finance Ministry also suggested prioritizing high-value cases for optimal recovery outcomes. It stressed the use of Lok Adalats as an effective alternative dispute resolution mechanism. The ministry's statement further said that mechanisms for expeditious disposal, procedural reforms to speed up case disposal, and comprehensive capacity-building initiatives were discussed during the meeting.
Positive trend
Positive spike in monthly disposal rates
The Finance Ministry noted that with a renewed focus on capacity building and strengthening infrastructure through targeted training programs, DRTs have seen a positive spike in monthly disposal rates. This development indicates an improvement in the efficiency of these tribunals, which are tasked with resolving cases related to the recovery of debts and loans.