Allowed

Idbi Bank v. Vani Sunil

DRT11 Dec 2023MA/178/2023

Case brief

AI extract

What is this about?

In an application for condonation of delay, the Tribunal allowed re-presentation of a banking recovery application after noting the petitioner's failure to explain interest claims during the delay period. Interest for the defaulted period is to be reconsidered at the recovery certificate stage.

What did the court decide?

MA allowed on condition that claim for interest for the 93-day delay is considered at the time of issuance of the Recovery Certificate.

Idbi Bank versus Vani Sunil — Banking and Recovery | DRT (2023)

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MA No.178/2023 in OASR No.13974/22

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11.12.2023

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IN THE DEBTS RECOVERY TRIBUNAL – III, CHENNAI

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Dated this the 11^th day of November, 2023

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

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MA No.178/23 in OASR No.13974/2022

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M/s IDBI Bank Limited

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Rep. by its Authorised Signatory Regional Office, TN-1 Greams Road Chennai – 600 006

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....Petitioner

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Vs.

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1. Mrs. Vani Sunil

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W/o Mr. Sunil Kumar No.9A and 9B, FR-2, 4^th Floor Navalar Nagar Thirumangalam Road Anna Nagar West Chennai – 600 040

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2. Mr. A.Sunil Kumar

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S/o Anirudhno Padmanabhan No.9A and 9B, FR-2, 4^th Floor Navalar Nagar Thirumangalam Road Anna Nagar West Chennai – 600 040 ….Respondents

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Counsel for Petitioner bank : M/s. S. Parthasarathy

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O R D E R

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This MA is filed by the Petitioner / Applicant Bank for condonation of delay of 93 days in re-presenting the Original Application after complying with the office objections.

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MA No.178/2023 in OASR No.13974/22

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11.12.2023

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It is the case of the petitioner / applicant bank that the objections were duly contemplated to be complied upon but however as the file was taken return, after two week’s time and for want of some particulars from applicant bank, OA could not be represented within the time granted by this Tribunal. Hence, the same was re-presented with a delay of 93 days and petitioner bank prayed for condonation of the same.

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On perusal of records, it is seen that this is an OA filed for recovery of sum of Rs.38,10,974/- due in respect of Housing Loan together with future interest at the rate of 9.75% p.a. compounded with monthly rests from defendants. 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 (93 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

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MA No.178/2023 in OASR No.13974/22

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11.12.2023

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period at the time of drawing of the Recovery Certificate in case for an order thereto by

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the Tribunal.

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

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(Dictated to Steno(DD), transcribed by her, corrected, signed and processed by me through E-drt on this the 11^th day of December, 2023)

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

Idbi Bank v. Vani Sunil

Case brief

What is this about?

What did the court decide?

Idbi Bank v. Vani Sunil

Case brief

What is this about?

What did the court decide?

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