9 months ago

MP High Court Removes Rs 50 Crore Travel Abroad Condition

MP High Court Removes Rs 50 Crore Travel Abroad Condition
Madhya Pradesh High Court junks Rs 50 crore travel abroad rider, says DRT lacks power · indianexpress.com

The Madhya Pradesh High Court has allowed a man named Rajeev Soni to travel abroad without having to deposit Rs 50 crore.

The court said that the Debts Recovery Tribunal (DRT) cannot stop someone from traveling abroad or make them pay a big amount to do so.

The court explained that traveling abroad is a fundamental right, and no one can take that away without a proper law.

Rajeev Soni was a director of a company that had not repaid a loan, and the DRT had asked him to pay Rs 50 crore before he could travel for a job in the US.

The court said this was not right and allowed him to go without paying the money.

Key facts

Court
Madhya Pradesh High Court
Petitioner
Rajeev Soni
Condition Imposed
Deposit Rs 50 crore or equivalent surety
Fundamental Rights
Article 19 and 21 of the Constitution of India
Act in Question
Recovery of Debts Due to Banks and Financial Institutions Act, 1993
Judge
Justice Pranay Verma
Tribunal
Debts Recovery Tribunal (DRT)
Company Involved
Metalman Industries

Quotes

Justice Pranay Verma

Justice of the Madhya Pradesh High Court

“Entertaining a petition despite availability of an alternate remedy is a rule of discretion and despite such remedy a petition can be entertained inter alia if it is in respect of violation of fundamental rights of a person.”
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“When the Tribunal does not have the power to deprive a person of his right to travel abroad, then it would not also have any power to impose any condition upon him for travelling abroad.”
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Sanjay Pathak

State's counsel

“The imposed condition was perfectly justified.”
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Ravindra Singh Chhabra

Senior advocate representing Rajeev Soni

“The condition is arbitrary, illegal and unreasonable on his client’s free movement abroad and adversely affecting his livelihood and employment.”
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Sources

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