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Judgment
The appellant filed O.A. barring T.A. No.05/2024 titled as Export Import Bank of India V Videocon HydrocarbonHolding Limited, which was ordered to be returned along with documents vide the impugned order dated 07.08.2025 passed by DRT-III, Delhi on the ground that DRT-III, Delhi does not have the territorial jurisdiction to entertain the said O.A.
DRT-III, Delhi observed that the loan was sanctioned from the Head Officer of the appellant which is situated in Mumbai and the lender's office is situated at Maples Corporate Services Limited, PO Box 309, Ugland House, Grand Cayman KY1-1104, Cayman Islands. DRT also observed that although some document had been executed in Delhi, there is nothing on record to show any specific authority or resolution permitting execution of such documents at Delhi instead of Mumbai. It was also observed that the territorial jurisdiction cannot be conferred by the choice of the parties but it is created under statute.
Sh. Ankit Jain, Advocate for the appellant referred to the Loan Agreement 26.09.2026. The perusal of the same reflects that the Loan Agreement was executed at New Delhi. Sh. Jain also referred to judgment in A.B.C Laminart Pvt. Ltd. & others V. A.P. Agencies Salem (1989) which is also referred in para 12 of the impugned order.
As per the submissions made by the counsel for the appellant, it is appearing that the Loan Agreement was executed in Delhi and it cannot be stated that no part of cause of action has ever been arisen in Delhi. The impugned order dated 07.08.2025 is accordingly set aside with a direction to the DRT-III, Delhi to consider afresh the issue of territorial jurisdiction of the DRT in respect of the present O.A. in view of the submissions already made or to be made by the counsel for the appellant. The DRT is directed to decide the issue after taking into consideration the entire documents as well as the relevant laws laid down by the superior courts. Appel stands disposed of.
The appellant is directed to appear before the DRT-III, Delhi on 15.07.2026.
A copy of the order be sent to the concerned DRT for information and compliance.