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Section 13: Salary and allowances and other terms and conditions of service of Presiding Officers

Recovery of Debts and Bankruptcy Act, 1993 • Official Statutory Text & Practice Guide

Statutory Regulation
Legal Standard
Competent Court / Tribunal
Act 1993
Section 12 All 37 Sections of Recovery of Debts and Bankruptcy Act, 1993 Section 14

Legal Commentary & Landmark Judgments: Section 13

Section 13 governs the salary, allowances, and other terms and conditions of service of Presiding Officers of DRTs and Chairpersons of DRATs, establishing that their terms cannot be varied to their disadvantage.

  • Executive Determination of Remuneration: Section 13 mandates that the salary, allowances, and other terms and conditions of service of the Presiding Officer of a Tribunal and the Chairperson of an Appellate Tribunal shall be such as may be prescribed by rules.
  • Constitutional Anti-Disadvantage Clause: The proviso to Section 13 explicitly dictates that neither the salary and allowances nor the other terms and conditions of service shall be varied to their disadvantage after their appointment.
  • Financial Autonomy and Independence: By shielding compensation from post-appointment reduction, the statute protects judicial integrity and prevents executive coercion over pending high-stakes commercial disputes.
Key Landmark Precedents:
  • Rojer Mathew v. South Indian Bank Ltd. (2020) 6 SCC 1: The Supreme Court held that leaving the determination of salaries, allowances, and service conditions of tribunal judges entirely to executive discretion without judicial equivalence violates the basic structure of the Constitution.
  • Madras Bar Association v. Union of India (2020) 13 SCC 1: The Supreme Court directed that Presiding Officers and Chairpersons of Tribunals must be provided housing, medical benefits, and salaries on par with District Judges and High Court Judges, respectively, to guarantee their independence.
Courtroom Practice & Strategic Litigation Guidance:

The statutory guarantee against detrimental variation in Section 13 forms the bedrock of judicial independence in DRTs and DRATs. If an administrative circular or financial regulation issued by the Ministry of Finance attempts to curtail the authority or perks of a sitting judge, such measures are ultra vires the non-derogation clause of Section 13.

Section 12 All 37 Sections of Recovery of Debts and Bankruptcy Act, 1993 Section 14