The tribunal dismissed the bank's appeal, upholding the lower court's reduction of future interest to 6% and exclusion of the minor's share from the mortgaged property due to lack of specific justification.
Future interest at 6% per annum upheld; minor's share excluded from mortgage due to lack of specific reasons.
This page shows the compact analysis of this judgement. The full analysis — procedural history, issue-by-issue holdings with ratio and obiter, advocates, and paragraph-level evidence for every claim — is being added to the record in batches and will appear here when this judgement has been through it.
BEFORE THE DEBTS RECOVERY APPELLATE TRIBUNAL, AT: MUMBAI Present: Mr Justice Ashok Menon, Chairperson
Appeal No. 347/2006
Between
Bank of Baroda … Appellant/s
V/s.
M/s Swastik Corporation & Ors.
…Respondent/s
Mr K. D. Shukla, Advocate for Appellant.
Ms Jaishree Surati, i/b M/s Ashwini Kumar & LLP, Advocate for Respondent No. 5.
Mr Rishabh Shah, i/b M/s. Raval-Shah & Co., Advocate for Respondent No.7.
The Appellant is the Bank of Baroda. The appeal is filed by the Appellant aggrieved by certain findings in Original Application (O.A.) No. 416 of 2001 on the files of the Debts Recovery Tribunal No. II, Mumbai (D.R.T.) in the judgment dated 10.03.2006. The original Appellant Dena Bank had merged with the Bank of Baroda and accordingly, the Appellant was substituted.
1
2
It is only the share of the minor Krish Shah that has been excluded. There should have been specific reasons mentioned for mortgaging the property belonging to a minor to the effect that it was in his interest that the mortgage was created. There is no such recital and therefore, the Ld. Presiding Officer has rightly excluded from the share of the minor. There is no reason to interfere with the findings of the Ld. Presiding Officer.
3
Resultantly, the appeal is dismissed.
Sd/-
Chairperson
mks- 1
4
2 issues framed by the court
Whether the recovery tribunal can reduce future interest to 6% per annum on the outstanding amount.
Whether the bank has demonstrated a valid reason excluding the minor's share from the mortgaged property.
Bank of Baroda
M/s Swastik Corporation & Ors.
Ashok Menon
As recorded by the court registry
6 orders share this CNR
Judgements on the same questions, provisions and authorities, from every court
