Debt Recovery Tribunal allowed ICICI Bank's application for recovery of Rs.28 lacs defaulted by borrowers. The Tribunal reduced awarded interest from claimed rates to 8% per annum and authorized recovery via sale of mortgaged property.
Recovery certificate issued for Rs.28,01,051.08 with 8% simple interest warranting sale of mortgaged property.
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.1529/2022
DATE OF INSTITUTION: 20.08.2022
DATE OF DECISION: 23rd DAY OF JUNE, 2023
ICICI Bank Limited , company incorporated under the Companies Act, 1956 and a Banking Company within the meaning of Banking Regulaton Act, 1949 and having its Registered Office at Landmark, Race Course Circle, Vadodara-390007, having its Branch C/o Amar Finance Company, Ward No. 7, Tehsil Road, Gohana, District Sonepat, Haryana, through its Manager and Authorised Signatory, Sh. Parveen Kumar
…..Applicant Bank
Versus
…..Defendants
Argued by: Sh. Parveen Kumar, Legal Manager for the applicant bank Defendants ex parte vide order dated 24.01.2023
FINAL ORDER
Present Original Application was instituted by the applicant bank under Section 19(1) of the Recovery of Debts Due to Banks and
OA/1529/2022 ICICI BANK Vs RISHI RAM AND OTHERS 2
Financial Institutions Act, 1993 (hereinafter referred to as ‘the Act’ for brevity), against the defendants for recovery of Rs.28,01,051.08/- (Rupees Twenty Eight lacs One Thousand Fifty One and Eight Paisa Only) . It has been filed through Sh. Parveen Kumar, Manager of the applicant bank stated to be competent to institute the Original Application vide Power of Attorney dated 09.03.2021, Annexure-A1 (copy).
OA/1529/2022 ICICI BANK Vs RISHI RAM AND OTHERS 3
It is further the case of the applicant bank that after adjusting debit and credit entries in the loan accounts, a sum of Rs.28,01,051.08/- (Rupees Twenty Eight lacs One Thousand Fifty One and Eight Paisa Only) is recoverable against the defendants as per statement of account dated 09.05.2022, AnnexureA9 (copy) certified under Bankers’ Books Evidence Act.
Since the defendants did not repay the outstanding amount, therefore, the applicant bank preferred the present Original Application for issuance of Recovery Certificate.
OA/1529/2022 ICICI BANK Vs RISHI RAM AND OTHERS 4 defendants for recovery of the amount sought. From perusal of Annexures-A1 to A9 , it is clear that the defendants had approached the applicant bank for availing of the loan facility which was granted to them. It is further clear that the defendants had executed all the relevant documents as stated above in favour of the applicant bank. Unfortunately, the defendants failed to pay back the loan as per terms and conditions of 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.28,01,051.08/(Rupees Twenty Eight lacs One Thousand Fifty One and Eight Paisa Only) from the defendants.
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, nature of the mortgaged property, purpose of loan, i.e. agricultural, present conditions of economy based on agriculture, quantum of loan and 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 order. It is ordered accordingly.
OA/1529/2022 ICICI BANK Vs RISHI RAM AND OTHERS
5
Announced in the open Tribunal (M.M. Dhonchak) Presiding Officer DRT-2, Chandigarh
1 issue framed by the court
Whether the applicants are entitled to recovery certificate for the outstanding loan amount from the respondents.
2 provisions across 2 enactments
ICICI Bank Limited
Sh. Rishi Ram
Sh. Padam Singh
Sh. Bhaiya
M.M. Dhonchak
As recorded by the court registry
Judgements on the same questions, provisions and authorities, from every court
