Anandapadmanabhan Hemalatha vs Cholamandalam Investment and Finance Company ltd on 29 October 2026

IN THE DEBT RECOVERY APPELLATE TRIBUNAL AT CHENNAI

IA 1512/2026 (Urgent) in IA 1513/2026 (Waiver) in A.IR:2859/2026

Anandapadmanabhan Hemalatha & anr V/S Cholamandalam Investment & Finance Company Ltd 29/10/2026

IA 1512/2026 (Urgent) is allowed.

Learned Counsel for the Petitioners/Appellants is present.

This appeal is filed against the order passed by the Learned Presiding Officer, DRT-II, Chennai in IA Dy No. 2154 of 2026 in SA No. 441 of 2026 filed for extension of time for the Petitioners to remit the balance amount, as per the conditional order dated 8.9.2026. The conditional order was passed in IA 1433 of 2026 filed for staying of further proceedings. As per the conditional order, Petitioners were directed to make payment of 10% + 10% of the amount due within a specified time. It is submitted by the Learned Counsel for Petitioners that the first instalment was paid with a delay of one day. Petitioners filed IA Dy No.2154 of 2026 for extension of time to make payment of second instalment. That application was dismissed. Therefore, this appeal is filed.

Despite service of notice to Respondent Financial Institution, there is no representation for the Respondent. Therefore, this Tribunal proceeds to dispose this waiver application.

SA No. 441 of 2026 has been filed to set aside the e-auction sale dated 10.9.2026 pursuant to the sale-cum-e-auction sale notice dated 1.8.2026 and for other reliefs. As already narrated, a stay application was filed and conditional order was passed in the stay application. For extension of time to comply the second instalment, IA Dy.No.2154 of 2026 has been filed and on its dismissal, this appeal is filed.

Pre-deposit is mandatory for entertaining this appeal under Section 18(1) of the SARFAESI Act, 2002. The debt due is inclusive of interest as per the definition of debt under Section 2(1)(ha) of the SARFAESI Act, 2002, read with Section 2(g) of the RDB Act 1993, which had been settled by the Hon’ble Supreme Court of India in re, M/s. Sidha Neelkanth Paper Industries Private Limited & Another Vs. Prudent ARC Limited & Others (Civil Appeal No. 8969 of 2022, decided on 05.01.2023) reported in 2023 SCC Online SC 12.

As per the sale notice dated 1.8.2026, the loan outstanding was Rs.53,49,137/- as on 30.7.2026. The sale is not over. Therefore, this Tribunal directs the Petitioner to make a pre-deposit of 25% of Rs.53,49,137/- in two equal instalments within a period of four weeks from today, failing which this appeal would stand rejected.

25% of Rs.53,49,137/- comes to Rs.13,37,284.25p, rounded off to Rs.13,37,284/-, out of which the first instalment of Rs.6,68,642/- is to be made on or before 12.11.2026, and the second instalment of Rs.13,37,284/- is to be made on or before 26.11.2026.

The said pre-deposit should be made in the form of Demand Draft in favour of Registrar, DRAT, Chennai, payable at Chennai. In case pre-deposit is made within the stipulated period, Registrar shall invest the same in a Nationalized Bank for a reasonable period and renew it periodically, till further orders are passed.

Post the matter for compliance on 30.11.2026.

Sd/-

Chairperson