This Debt Recovery Tribunal allowed an original application filed by Punjab National Bank for issuance of a recovery certificate against defendants who defaulted on a cash credit facility loan. The tribunal orde
Issuance of Recovery Certificate; Defendants liable to pay Rs.45,97,728/- with simple interest at 9% p.a. from 13.09.2022 until realisation.
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DEBTS RECOVERY TRIBUNAL-2, CHANDIGARH, PRESIDED OVER BY M.M. DHONCHAK
ORIGINAL APPLICATION NO.1694/2022
DATE OF INSTITUTION: 13.09.2022
DATE OF DECISION: 19th DAY OF DECEMBER, 2023
Punjab National Bank , a body corporate, constituted under the Banking Companies (Acquisition and Transfer of Undertakings) Act, 1970, having its corporate office at plot No. 4, Sector 10, Dwarka, New Delhi-110075, inter-alia having its Branch at Sanjay Colony, Faridabad, Haryana, also Recovery Office at Circle Sastra, Recovery Department, Gurugram, Haryana, through its Attorney holder, Sh. Akash Deep
…..Applicant
Versus
Office at: Shop No. 1, Opposite Dulhan Sari Centre, PunjabiWara, Ballabgarh, Haryana
Argued by: Smt. Indu Kaul counsel for the applicant bank (through VC)
OA/1694/2022 PUNJAB NATIONAL BANK Vs ARCHANA BANSAL AND OTHERS 2
Defendants ex parte vide order dated 29.08.2023
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), against the defendants for recovery of Rs.45,97,728/(Rupees Forty Five Lac Ninety Seven Thousand Seven Hundred and Twenty Eight Only) . It has been filed through Sh. Akash Deep, Attorney Holder of the applicant bank stated to be competent to institute the Original Application vide Power of Attorney dated 25.09.2019, Annexure-A1 (copy).
OA/1694/2022 PUNJAB NATIONAL BANK Vs ARCHANA BANSAL AND OTHERS 3
The documents relating to the mortgage are as under:
i. Mortgage deed dated 23.09.2016, Annexure-A5 (copy). ii. Registered sale deed dated 22.03.2016, Annexure-A7 (copy).
It is further the case of the applicant bank that after adjusting debit and credit entries in the loan account, a sum of Rs.45,97,728/(Rupees Forty Five Lac Ninety Seven Thousand Seven Hundred and Twenty Eight Only) , is recoverable against the defendants as per statement of account, Annexure-A11 (copy), certified under Section 2(A) of Bankers’ Books Evidence Act, 1891, Annexure-A10 (copy).
OA/1694/2022 PUNJAB NATIONAL BANK Vs ARCHANA BANSAL AND OTHERS 4
Since the defendants did not repay the outstanding amount, therefore, the applicant bank preferred the present Original Application for issuance of Recovery Certificate.
OA/1694/2022 PUNJAB NATIONAL BANK Vs ARCHANA BANSAL AND OTHERS 5
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. business, quantum of loan, prevalent market rates of interest which have gone drastically downhill in yesteryears and defendant No. 2 being a female, while exercising the discretion vested in this Tribunal, this Tribunal deems it just and appropriate to grant uniform simple interest @9% per annum from the date of filing of the OA till realisation of the amount ordered vide this order. It is ordered accordingly.
OA/1694/2022 PUNJAB NATIONAL BANK Vs ARCHANA BANSAL AND OTHERS 6
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 a recovery certificate for the outstanding loan amount against the defendants under Section 19(1) of the RDB Act.
Whether the claim for future interest at the rate claimed should be accepted or modified by the Tribunal in the interest of justice.
1 provisions across 1 enactments
Punjab National Bank
M/s B.M. Traders
Smt. Archna Bansal
Sh. Rajiv Bansal
M.M. Dhonchak
As recorded by the court registry
Judgements on the same questions, provisions and authorities, from every court
