Notification No. S.O. 5807(E); Dated: 16.12.2025
1. Regulatory Background
The Central Government has notified amendments to the territorial jurisdiction of Debt Recovery Tribunals (DRTs) constituted under the Recovery of Debts and Bankruptcy Act, 1993 (RDB Act). The amendment revises the geographical jurisdiction of certain DRTs to ensure better administrative efficiency, clearer jurisdictional demarcation, and smoother adjudication of recovery proceedings.
2. Nature of the Amendment
The notification substitutes the existing entries relating to territorial jurisdiction of specified DRTs. The changes primarily relate to:
- Reorganisation of districts in the State of West Bengal
- Detailed specification of police station–wise jurisdiction in Kolkata city
- Revised allocation of districts among DRTs
- Updated territorial coverage for the Union Territory of Andaman and Nicobar Islands
These substitutions replace earlier jurisdictional descriptions, which were often broad or outdated.
3. Key Changes in West Bengal
3.1 Kolkata City
The amendment now provides granular, police station–wise territorial jurisdiction for DRTs operating in Kolkata city. This removes ambiguity in determining the correct forum for filing recovery applications arising from:
- Loan accounts linked to specific police station areas
- Borrower or secured asset locations within Kolkata
3.2 District-Level Reallocation
Several districts within West Bengal have been:
- Reassigned between DRTs, or
- Brought under revised territorial coverage
This redistribution is intended to:
- Balance caseloads across tribunals
- Improve accessibility for litigants
- Reduce procedural delays caused by jurisdictional objections
4. Coverage of Andaman and Nicobar Islands
The notification also revises and clearly specifies the Debt Recovery Tribunal having jurisdiction over the Union Territory of Andaman and Nicobar Islands, ensuring:
- Clear forum identification for banks and financial institutions
- Certainty for borrowers and guarantors located in the UT
- Elimination of ambiguity regarding filing and transfer of cases
5. Regulatory Intent
The amendment seeks to:
- Provide certainty and precision in determining the appropriate DRT
- Reduce litigation over territorial jurisdiction disputes
- Improve case management and administrative efficiency
- Align tribunal jurisdictions with current district and policing boundaries
- Facilitate faster adjudication of recovery and enforcement proceedings
6. Implications for Stakeholders
6.1 For Banks and Financial Institutions
- Recovery applications must be filed before the correctly designated DRT as per revised jurisdiction
- Existing and proposed filings must be reviewed to avoid jurisdictional defects
6.2 For Borrowers and Guarantors
- Greater clarity on the forum of adjudication
- Reduced risk of proceedings being transferred or challenged on jurisdictional grounds
6.3 For Legal Practitioners
- Jurisdiction mapping must be updated for West Bengal and Andaman & Nicobar Islands
- Pending cases may require review or transfer, if impacted by the revised jurisdiction
7. Compliance Takeaways
Stakeholders should:
- Update internal jurisdiction matrices and litigation SOPs
- Reassess pending and future DRT filings for correct territorial alignment
- Train recovery and legal teams on revised police station and district mappings
- Monitor any transfer directions issued pursuant to the amendment
Failure to adhere to revised jurisdiction may lead to procedural objections, transfer delays, or dismissal of applications.
Click Here To Read The Full Notification
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