The Tribunal allowed the Original Application filed by Axis Bank Limited against three defendants for recovery of debt of Rs. 45,46,416.77 with future interest at 7% per annum, resulting in the issuance of a Recovery Certificate.
Recovery Certificate issued for Rs. 45,46,416.77 plus future interest at 7% per annum w.e.f. 19.04.2022.
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DEBTS RECOVERY TRIBUNAL-2, CHANDIGARH, PRESIDED OVER BY M.M. DHONCHAK
ORIGINAL APPLICATION NO. 1614/2022
DATE OF INSTITUTION: 19.04.2022
DATE OF DECISION: 13th DAY OF OCTOBER, 2023
Axis Bank Limited (earlier known as UTI Bank Limited) , a Banking Company, carrying on the Banking business under the Banking Regulation Act, 1949, incorporated under the Companies Act, 1956 having its Registered Office at Trishul, 3rd Floor, Opposite Samartheshwar Temple, Law Garden, Ellis Bridge, Ahmedabad, Gujarat-380006 and one of its Branches amongst other places known as Axis Bank Limited, situated in S.C.O No. 367-368, 3rd Floor, above Akash Education Institute, Sector 34-A, Chandigarh, through its Deputy Manager, Sh. Rohit Varun Singh Thakur
…..Applicant Bank
Versus
....Defendants
Argued by: Ms. Samandeep Kaur Sekhon, Legal Manager for the
OA/1614/2022 AXIS BANK VS BHAGAT PAL KAUR AND OTHERS 2
applicant bank Defendants ex parte vide order dated 02.08.2023
FINAL ORDER
Present Original Application was instituted by the applicant bank under Section 19(1) of the Recovery of Debts and Bankruptcy Act, 1993 (hereinafter referred to as ‘the Act’ for brevity), a gainst the defendants for recovery of Rs.45,46,416.77/- (Rupees Forty Five Lac Forty Six Thousand Four Hundred Sixteen and Seventy Seven Paisa Only) . It has been filed through Sh. Rohit Varun Singh Thakur of the applicant bank stated to be competent to institute the Original Application vide Power of Attorney dated 17.11.2021, Annexure-A1 (copy).
OA/1614/2022 AXIS BANK VS BHAGAT PAL KAUR AND OTHERS 3
Properties fully detailed in para No. 5(v) of the Original Application. Declaration dated 13.11.2017 under section 4(1) of the Haryana Agriculture Credit Operation and Miscellaneous Provisions (Banks) Act, 1973, Annexure-A7 (copy).
It is further the case of the applicant bank that after adjusting debit and credit entries in the loan accounts, a sum of Rs.45,46,416.77/- (Rupees Forty Five Lac Forty Six Thousand
Four Hundred Sixteen and Seventy Seven Paisa Only) is recoverable against the defendants as per statements of accounts,
OA/1614/2022 AXIS BANK VS BHAGAT PAL KAUR AND OTHERS 4
duly certified under Bankers’ Books Evidence Act, 1891, Annexures-A11 and A12 (colly) (copy).
Since the defendants did not repay the outstanding amount, therefore, the applicant bank preferred the present Original Application for issuance of Recovery Certificate.
OA/1614/2022 AXIS BANK VS BHAGAT PAL KAUR AND OTHERS 5
of Rs.45,46,416.77/- (Rupees Forty Five Lac Forty Six Thousand Four Hundred Sixteen and Seventy Seven 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, prevalent market rates of interest which have gone drastically downhill in yesteryears and defendant No. 1 being a female, while exercising the discretion vested in this Tribunal, this Tribunal deems it just and appropriate to grant uniform simple interest @7% per annum from the date of filing of the OA till realisation of the amount ordered vide this order. It is ordered accordingly.
OA/1614/2022 AXIS BANK VS BHAGAT PAL KAUR AND OTHERS 6
Only) with current and future simple interest @7% per annum w.e.f. 19.04.2022 , till the date of realisation of the amount. The liability of the defendants shall be joint as well as several. Accordingly, the applicant bank shall be at liberty to recover aforesaid amount from the sale of mortgaged/hypothecated property of the defendants in execution proceedings, if not sold earlier under the provisions of the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002 or otherwise. If the dues of the bank still remain unsatisfied, the applicant bank shall be at liberty to recover the same by attachment and sale of personal assets of the defendants. However, the applicant bank is at liberty to enforce the claim through due process of law.
Pronounced 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 dues from the defendants.
Whether the Tribunal should adjust the interest rate considering the economic conditions and the use of proceeds.
1 provisions across 1 enactments
Axis Bank Limited
M.M. DHONCHAK
As recorded by the court registry
Judgements on the same questions, provisions and authorities, from every court
