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      Question

      Under Section 19(2), if another bank or financial

      institution has a claim against the same defendant as the applicant bank, when can it join the proceedings?
      A Only at the time of original filing before the application is admitted Correct Answer Incorrect Answer
      B Only after the final order is passed by the Tribunal Correct Answer Incorrect Answer
      C Only if the Central Government grants prior permission Correct Answer Incorrect Answer
      D At any stage of the proceedings before the final order is passed, by making an application to that Tribunal Correct Answer Incorrect Answer
      E Only during the first hearing of the application Correct Answer Incorrect Answer

      Solution

      Section 19(2) provides that where a bank or financial institution has filed an application and against the same person another bank or financial institution also has a claim to recover its debt, the later bank or financial institution may join the applicant bank at any stage of the proceedings, before the final order is passed, by making an application to that Tribunal. This joinder provision enables consolidation of multiple bank claims against the same debtor in a single proceeding, avoiding multiplicity of litigation and ensuring a holistic assessment of the debtor's assets and liabilities. No government permission is needed - only an application to the Tribunal is required.

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