MISCELLANEOUSCentral
Section 36 of The Recovery Of Debts And Bankruptcy Act, 1993
- (1)The Central Government may, by notification, make rules to carry out the provisions of this Act.
- (2)Without prejudice to the generality of the foregoing powers, such rules may, provide for all or any of the following matters, namely:-- 1[(a) other business or commercial rights of similar nature under clause (jb) of section 2;] 2[(aa)] the salaries and allowances and other terms and conditions of service of 4[the Chairpersons, the Presiding Officers, Recovery Officers and other officers and employees of the Tribunal and the Appellate Tribunal] under sections 7, 12 and 13;
- (b)the procedure for the investigation of misbehaviour or incapacity of 3[the Chairpersons of Appellate Tribunals and the Presiding Officers of the Tribunals], under sub-section (3) of section 15;
- (c)the form in which an application may be made under section 19, the documents and other evidence by which such application shall be accompanied and the fees payable in respect of the filing of such application; 4[(ca) the form of application and the fee for filing application under sub-section (3) of section 19;] 5[(cc) the rate of fee to be refunded to the applicant under sub-section 85 (3B) of section 19 of the the Act;] 6[(cca) the period for filing written statement under sub-section (10) of section 19;
- (ccb)the fee for obtaining copy of the order of the Tribunal under sub-section (21) of section 19;
- (ccc)the form and manner of authenticating digital signature under clause (a), and the manner of authenticating service or delivery of pleadings and documents under clause (b), of sub-section (1) of section 19A;
- (ccd)the form and manner of filing application and other documents in the electronic form under sub-section (1) and manner of display of orders of the Tribunal and Appellate Tribunal under sub-section (4) of section 19A;]
- (d)the form in which an appeal may be filed before the Appellate Tribunal under section 20 and the fees payable in respect of such appeal; 7[(da) the rules of uniform procedure for conducting the proceedings before the Tribunals and Appellate Tribunals under section 22A;
- (db)the other mode of recovery under clause (d) of section 25;]
- (e)any other matter which is required to be, or may be, prescribed. 8[(3) Every notification issued under sub-section (4) of section 1, section 3 and section 8 and every rule made by the Central Government under this Act, shall be laid, as soon as may be after it is made, before each House of Parliament, while it is in session, for a total period of thirty days which may be comprised in one session or in two or more successive sessions, and if, before the expiry of the session immediately following the session or the successive sessions aforesaid, both Houses agree in making any modification in the notification or rule or both Houses agree that the notification or rule should not be issued or made, the notification or rule shall thereafter have effect only in such modified form or be of no effect, as the case may be; so, however, that any such modification or annulment shall be without prejudice to the validity of anything previously done under that notification or rule.]
Summary
- The Central Government is authorized to create specific rules to help carry out the requirements of the Act.
- These rules cover the pay and working conditions for staff at the Tribunal (Section 7) and the Appellate Tribunal (Section 12).
- The rules set the format for recovery applications and the fees that must be paid when filing them (Section 19).
- The rules also define specific business or commercial rights that qualify as "property" under the law (Section 2).
Practical examples
1On August 10, 2024, the government decides to update the filing fee for a bank debt recovery application. They use Section 36 to notify a new rule that changes the fee from a flat rate to a percentage of the debt.
2The government wants to hire more staff for the Appellate Tribunal as mentioned in Section 12. They use Section 36 to define the exact salary and pension benefits those new employees will receive.
FAQ
1. Who has the authority to make rules under this Act?
The Central Government has the authority to make rules by issuing a notification.
2. Can a rule be changed after it is presented to Parliament?
Yes, if both Houses of Parliament agree on a modification, the rule will only have effect in that modified form.
Test yourself
Q1.Under Section 36 of The Recovery Of Debts And Bankruptcy Act, 1993, which of these is a valid subject for the government to make rules about?
Q2.Under Section 36 of The Recovery Of Debts And Bankruptcy Act, 1993, how long must a rule be laid before Parliament?
Q3.Under Section 36 of The Recovery Of Debts And Bankruptcy Act, 1993, what happens if both Houses of Parliament agree that a notified rule should not be made?
Q4.Section 36 of The Recovery Of Debts And Bankruptcy Act, 1993 allows rules regarding the "form" of an application. Which other section determines what that application is for?
Q5.Under Section 36 of The Recovery Of Debts And Bankruptcy Act, 1993, the government can define "other business or commercial rights" to expand the definition of "property." Which definition section does this supplement?