The Recovery of Debts and Bankruptcy Act mandates that the right to file a written statement cannot exceed forty-five days from the date of service, and extensions are not permitted beyond this period.

The Appellate Tribunal:

1. Heard Ld. counsel for the parties and perused the record.

2. This application is arising out of the judgement and order dt.28.08.2019 passed by learned DRT-I, Hyderabad in O.A.No.820/2018 wherein I.A.No.2165 of 2019 filed by the defendants for extension of time in filing written statement being forty-five days was dismissed by the learned DRT-I, Hyderabad.

3. Feeling aggrieved by the said order, the Appellants preferred appeal.

4. The Appellants preferred Writ Petition No.19435/19 against the impugned order dt.28.08.2019 before the Hon’ble High Court of Telangana at Hyderabad which was dismissed on 24.04.2024 giving liberty to the Appellants to file an appeal u/s 18 of RDB Act, 1993 and accordingly, the present appeal is filed by the Appellants. O.A.820/2018 was filed by the Respondent Bank u/s 19 of RDB Act, 1993, which was registered and notices were issued to the Appellants who are defendants in the O.A.

5. Notices were served upon the Appellants/defendants on 11.03.2019 but none appeared and the matter was listed on 14.03.2019. On 14.03.2019, Vakalatnama was filed by the defendants No.1 to 3 whereas Defendant No.4 who was also served but none represented and hence the proceedings were conducted exparte in respect of defendant no.4. 08.04.2019 was fixed for filing written statement by Defendants No.1 to 3. On 08.04.2019, written statement was not filed and sought time.

Time was granted till 29.04.2019 with a direction that if the same is not filed within the stipulated time, right to file written statement shall stand closed. On 29.04.2019 again written statement was not filed and adjournment was sought by the defendants and the matter was listed on 27.05.2019. Again on 27.05.2019, written statement was not filed, time was sought to file the same. Defendants filed a memo stating that material papers were not served upon them. The Bank was directed to file material papers within one week and the matter was posted to 24.06.2019. Again, written statement was not filed and adjournment was sought. Matter was fixed on 02.07.2019 and on 02.07.2019 again written statement was not filed and the conditional order dated 24.06.2019 passed by the DRT which was not complied. Accordingly, right to file written statement was closed by the learned DRT-I, Hyderabad. Thereafter, I.A.2165/2019 was filed praying for setting aside the said order dated 02.07.2019 closing the right to file written statement along with an application for condonation of delay. Written statement was also filed on 12.07.2019. I.A.2165/19 was dismissed by the DRT-I, Hyderabad. By passing the impugned order dt. 28.08.2019, learned DRT-I, Hyderabad has put reliance on Section 19(5)(i) of RDB Act, 1993. Further it was held by learned. DRT-I, Hyderabad that time for filing written statement cannot be extended beyond forty-five days. Accordingly, I.A.2165/19 was dismissed.

6. Ld. Counsel for the Appellants would submit that the Appellants have bonafidely contesting the proceedings. Material papers were not served upon them. Accordingly, a memo was filed on 27.05.2019 wherein a direction was issued for serving material papers on them. Thereafter, written statement was filed along with the application for setting aside the order of closing the right to file written statement which was filed well within the time from the date of 27.05.2019. It was further submitted by the learned Counsel that defendants could not file written statement earlier as material papers were not served upon them. Reliance is placed upon Section 19(5)(i) of the RDB Act, 1993 along with Rule