The Tughlaq administration faced severe financial strain due to inefficient revenue collection and large arrears. To address this crisis, Diwan-e-Mustakhraj was created as a specialized department responsible for recovering overdue revenue from villages, zamindars and corrupt officials. It investigated fraudulent assessments, forced recovery where needed and monitored local officers. This department strengthened the fiscal structure during a time when the empire struggled with rebellion, mismanagement and administrative weakness. Recovering arrears reduced the financial burden on the central treasury and helped maintain state functions. It reflects the Sultanate’s attempt to implement systematic, corrective financial reforms during challenging times.