The Debts Recovery Tribunal allowed an application filed by Punjab National Bank for recovery of Rs. 26,04,488.37 owed by the defendant. The Tribunal enforced a uniform interest rate of 8% per annum, adjusting the applicant bank's claim.
Recovery Certificate issued directing the defendant to pay Rs. 26,04,488.37 plus simple interest at 8% per annum from 17.08.2022.
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.
DEBTS RECOVERY TRIBUNAL-2, CHANDIGARH, PRESIDED OVER BY M.M. DHONCHAK
ORIGINAL APPLICATION NO.1472/2022
DATE OF INSTITUTION: 17.08.2022
DATE OF DECISION: 10th DAY OF MARCH, 2023
Punjab National Bank , a body corporate and perpetual succession, constituted under the Banking Companies (Acquisition and Transfer of Undertakings) Act, 1970, carrying on banking business and having its Head Office at plot No.4, Sector-10, Dwarka, New Delhi and one of its Branches amongst other places is known as Amin, District Kurukshetra, Haryana, through Sh. Baldev Raj, Chief Manager its Principal Officer and General Attorney
…..Applicant Bank
Versus
Sh. Narender Singh S/o Sh. Chanan Singh R/o Village Jhinwarheri, Tehsil Thanesar, District Kurukshetra
…..Defendant
Argued by: Sh. Gaurav Thakur proxy counsel for Sh. Tarun Dhingra counsel for the applicant bank Defendant ex parte vide order dated 16.01.2023
FINAL ORDER
Present Original Application was instituted by the applicant bank under Section 19(1) of the Recovery of Debts Due to Banks and Financial Institutions Act, 1993 (hereinafter referred to as ‘the Act’ for brevity) against the defendant for recovery of Rs. 26,04,488.37/- (Rupees Twenty Six lacs Four Thousand Four Hundred Eighty Eight and Thirty Seven Paisa Only) . It has been filed through Sh. Baldev Raj, Principal Officer of the applicant bank stated to be competent to institute the Original Application vide Power of Attorney, Annexure-A1 (copy).
OA NO.1472/2022 PUNJAB NATIONAL BANK VS SH.NARENDER SINGH 2
OA NO.1472/2022 PUNJAB NATIONAL BANK VS SH.NARENDER SINGH 3
outstanding amount vide legal notice dated 04.07.2022, Annexure-A7 (copy), but to no avail.
It is further the case of the applicant bank that after adjusting debit and credit entries in the loan account, a sum of Rs. 26,04,488.37/(Rupees Twenty Six lacs Four Thousand Four Hundred Eighty Eight and Thirty Seven Paisa Only) is recoverable against the defendant as per statement of account duly certified under Bankers’ Books Evidence Act, Annexure-A8 (copy).
Since the defendant did not repay the outstanding amount, therefore, the applicant bank preferred the present Original Application for issuance of Recovery Certificate.
OA NO.1472/2022 PUNJAB NATIONAL BANK VS SH.NARENDER SINGH 4
the agreement executed between the parties. From the documentary evidence brought on record, it is proved that applicant bank is entitled to recover a sum of Rs. 26,04,488.37/- (Rupees Twenty Six lacs Four Thousand Four Hundred Eighty Eight and Thirty Seven Paisa Only) from the defendant.
This Tribunal is of the considered opinion that sometimes in appropriate cases the prerogatives of mercy and magnanimity are the brightest jewels in the crown of the Judge. Keeping in view the facts and circumstances of the instant case including the Pandemic Covid-19 affecting businesses, purpose of loan, i.e. agriculture, present conditions of economy based on agriculture, quantum of loan, quantum of loan, prevalent market rates of interest which have gone drastically downhill in yesteryears, while exercising the discretion vested in this Tribunal, this Tribunal deems it just and appropriate to grant uniform simple interest @8% per annum from the date of filing of the OA till realisation of the amount ordered vide this final order. It is ordered accordingly.
OA NO.1472/2022 PUNJAB NATIONAL BANK VS SH.NARENDER SINGH
5
attachment and sale of personal assets/property of the defendant. The applicant bank is at liberty to enforce the claim through due process of law.
Announced in the open Tribunal (M.M. Dhonchak) Presiding Officer
DRT-2, Chandigarh
2 issues framed by the court
Whether the applicant bank is entitled to recover the outstanding loan amount from the defendant.
Whether the interest rates claimed by the applicant bank should be modified by the Tribunal.
1 provisions across 1 enactments
Punjab National Bank
M.M. Dhonchak
As recorded by the court registry
Judgements on the same questions, provisions and authorities, from every court
