Partly allowed

Punjab National Bank (Oriental Bank of Commerce) v. M/S Vijaya Ganapaty Papers Rep by Its Prop Mrs v Prasannakumari

DRT19 Oct 2023MA/130/2023

Case brief

AI extract

What is this about?

Debt Recovery Tribunal allowed the applicant bank's application for condonation of 98 days delay in re-presenting the original application due to misplaced documents, conditioning approval on future consideration of interest claims for the default period.

What did the court decide?

Application for condonation of 98 days delay allowed; consideration of interest claim for the deferred period to be deferred till issuance of Recovery Certificate.

Punjab National Bank (Oriental Bank of Commerce) versus M/S… — Banking and Recovery | DRT (2023)

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MA 130/23 in OA Dy. No.406/22

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19.10.2023

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IN THE DEBTS RECOVERY TRIBUNAL-III, CHENNAI

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Dated this the 19^th day of October, 2023

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Present: Shri Ganapathi K.R.K. Presiding Officer

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M.A. No.130/23 in OA Dy. No.406/2022

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M/s. Punjab National Bank, Represented by its Authorized Officer, Chief Manager Circle Sastra North No.769, Spencer Plaza, Anna Salai, Chennai - 600 002.

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….Petitioner

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-Vs-

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M/s. Vijaya Ganpathi Papers

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Rep by its Proprietrix, Mrs. V. Prasannakumari, No.245/1, Govindappa Naicken Street, 1^st Floor, Near Seven Wells Market, Chennai – 600 001.

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Mrs. V. Prasannakumari W/o. B.N. Vijayakumar No.61/103, 2^nd Floor, Angalamman Koil Street, Choolai, Chennai – 600 112.

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Mr. B.N. Vijaya Kumar S/o. B.R. Narasimulu No.61/103, 2^nd Floor, Angalamman Koil Street, Choolai, Chennai – 600 112. …Respondents

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Counsels on record / appeared:

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Counsel for Petitioner : M/s. S. Rajeni Ramadass

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ORDER

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This MA is filed by the Petitioner / Applicant Bank for condonation of delay of 98

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days in re-presenting the Original Application after complying with the office objections.

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MA 130/23 in OA Dy. No.406/22

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19.10.2023

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It is the case of the petitioner / applicant bank that the objections were duly contemplated to be complied upon, however, some of the documents pertaining to this case got misplaced at the Branch and could be traced out only at a later point of time. Therefore, it is their case that they could not re-present the OA within time granted by this Tribunal and therefore prays to condone the delay.

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On perusal of records, it is seen that this is an OA filed for recovery of sum of Rs.64,65,446/- together with future interest and costs. It is not explained anywhere in the petition as to how applicant bank will be entitled to claim interest at the contractual rate for the period of delay, which is owing to their inaction and not attributable to any action of the defendants. As the period of delay is on the high side, condonation of the same by levying formal amount in the form of costs payable either to the Library Fund or to any Charity organization as a measure of reprimand would not be justifiable when compared with the levy of interest burden on the defendants for the period of default on the part of the applicant bank for no fault of the borrower.

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However, in the circumstances, this MA is allowed on the condition that the subject of levy of interest for the defaulted period (98 days) which is condoned at this stage of the OA proceedings shall stand for consideration at the time of issuance of Recovery Certificate by the progress of the case and the conduct of the case on behalf of the applicant bank till the stage of issuance of the recovery certificate. Registry is directed to put up a note accordingly for consideration of claim of interest for this default period at the time of drawing of the Recovery Certificate in case for an order thereto by the Tribunal.

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MA 130/23 in OA Dy. No.406/22

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19.10.2023

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Registry is directed to number the OA, if otherwise found to be in order.

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(Dictated to PS, transcribed by her, corrected, signed and pronounced by me in Open Court, on this the 19^th day of October, 2023)

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Sd/(GANAPATHI K.R.K) PRESIDING OFFICER

Punjab National Bank (Oriental Bank of Commerce) v. M/S Vijaya Ganapaty Papers Rep by Its Prop Mrs v Prasannakumari

Case brief

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Punjab National Bank (Oriental Bank of Commerce) v. M/S Vijaya Ganapaty Papers Rep by Its Prop Mrs v Prasannakumari

Case brief

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What did the court decide?

What the court decided

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