Allowed

Icici Bank Limited v. Deepak Chaudhary & Another

DRT6 May 2023OA/205/2022

Case brief

AI extract

What is this about?

The Debts Recovery Tribunal allowed an original application filed by ICICI Bank for the recovery of Rs. 2.06 crore with future simple interest at 7% per annum, exercised discretion to lower the bank's claimed 24% interest rate, and ordered the issuance of a Recovery Certificate against the ex parte defendants.

What did the court decide?

Recovery of principal amount of Rs. 2,06,80,804.77 plus future simple interest at 7% per annum from 01.01.2022; Recovery Certificate issued.

Icici Bank Limited versus Deepak Chaudhary & Another — Banking and Recovery | DRT (2023)

¶1

DEBTS RECOVERY TRIBUNAL-2, CHANDIGARH, PRESIDED OVER BY M.M. DHONCHAK

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ORIGINAL APPLICATION NO.205/2022

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DATE OF INSTITUTION: 01.01.2022

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DATE OF DECISION: 6^th DAY OF MAY, 2023

¶5

ICICI Bank Limited, a body Corporate incorporated under the Companies Act, 1956 and Bank within the meaning of the Banking Regulation Act, 1949 and having its Registered Office at ICICI Bank Tower, Near Chakli Circle, Old Padra Road, Vadodara-390007 and its Corporate Office at ICICI Bank Towers, Bandra Kurla Complex, Mumbai-400051 and having Branches all over India and one of its Branches situated at 1^st Floor, Near N.K. Sharma Office, Chandigarh Ambala National Highway, Zirakpur, District Mohali, Punjab through its Authorised Signatory, Sh. Ashwini Verma

¶6

…..Applicant Bank

¶7

Versus

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Sh. Deepak Chaudhary S/o Sh. Brij Pal Singh R/o MCF-A-6, Nahar Singh Colony, Ballabhgarh, Faridabad, Haryana-121004

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II^nd Address:

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C/o Advance Institute of Business Management, SCF No. 69, Ground Floor, Sector 16-A, Faridabad, Haryana-121002

¶11

III^rd Address:

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Plot No.37, DLF Model Town, Sector-11, Faridabad, Haryana-121001

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Smt. Aruna Rani W/o Sh. Deepak Chaudhary R/o MCF-A-6, Nahar Singh Colony, Ballabhgarh, Faridabad, Haryana-121004

¶14

II^nd Address:

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C/o Advance Institute of Business Management, SCF No. 69, Ground Floor, Sector 16-A, Faridabad, Haryana-121002

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III^rd Address:

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Plot No.37, DLF Model Town, Sector-11, Faridabad, Haryana-121001

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…..Defendants

¶19

Argued by: Sh. Rahul Garg proxy counsel for Sh. D.K. Singal counsel for the applicant bank Defendants ex parte vide order dated 31.01.2023

¶20

FINAL ORDER

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OA 205/2022 ICICI BANK LIMITED V/S DEEPAK CHAUDHARY AND ANOTHER 2

¶22

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 defendants for recovery of Rs.2,06,80,804.77 (Rs. Two Crore Six lacs Eighty Thousand Eight Hundred Four and Seventy

¶23

Seven Paisa only) . The OA has been filed through Sh. Ashwini Verma, Authorised Signatory/Principal Officer of the applicant bank, stated to be competent to institute the Original Application vide Power of Attorney dated 24.04.2009, Annexure-A1 (copy).

¶24

The brief facts as per the Original Application are that the defendants had approached the applicant bank for grant of Home loan facility of Rs.1,20,0000/- vide loan application form and offer letter dated 16.02.2012, Annexures-A2 and A3 (copy) and credit facility form dated 17.02.2012, Annexure-A4 (copy). Further the defendants again approached the applicant bank for availing of top up loan facility of Rs. 1,15,00,000/- vide loan application form Annexure-A5 (copy).

¶25

The applicant bank sanctioned the above said loan facilities to the defendants as per the terms and conditions which were duly accepted by the defendants.

¶26

In order to secure the aforementioned credit facilities, the defendants executed loan facility agreement dated 30.12.2014, Annexure-A6 (copy).

¶27

The aforesaid loan facilities were further secured by creation of equitable mortgage by defendant No.2 in respect of commercial property bearing plot No.37 measuring 224 Square Yards situated at Sector-11, D.L.F. Model Town, Tehsil Ballabhgarh, District Faridabad, fully described in para No. 5(viii) of the Original Application.

¶28

OA 205/2022 ICICI BANK LIMITED V/S DEEPAK CHAUDHARY AND ANOTHER 3

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Document related to mortgage is:

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i. Sale deed No.18456/1 dated 23.02.2012, Annexure-A7 (copy).

¶31

It is further the case of the applicant bank that the loan facilities were duly availed of by the defendants but they failed to maintain the financial discipline of the applicant bank and resultantly, the loan accounts became irregular and those were declared as NPA on 31.01.2021. Copy of NPA certificates dated 31.01.2021 in this regard are Annexures-A9 and A10 (copy). The applicant bank recalled entire outstanding amount vide loan recall notice dated 22.01.2021 , Annexure-A8 (copy), but to no avail.

¶32

It is further the case of the applicant bank that after adjusting debit and credit entries in the loan account, a sum of Rs.2,06,80,804.77 (Rs. Two Crore Six lacs Eighty Thousand Eight Hundred Four and Seventy Seven Paisa only) is recoverable against the defendants as per statements of accounts, Annexures-A11 and A12 (copy), certified under Banker’s Books Evidence Act.

¶33

Since the defendants did not repay the outstanding amount, therefore, the applicant bank preferred the present Original Application for issuance of Recovery Certificate.

¶34

Notices of the Original Application were duly served upon the defendants, but since none appeared on behalf of the defendants despite service, thus, the defendants were proceeded against ex parte vide order dated 31.01.2023.

¶35

In support of contents of the OA, affidavit of evidence of Sh. Ashwini Verma, Authorised Signatory of the applicant bank was filed.

¶36

This Tribunal has heard ex-parte arguments advanced by the learned proxy counsel and gone through the record carefully.

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OA 205/2022 ICICI BANK LIMITED V/S DEEPAK CHAUDHARY AND ANOTHER 4

¶38

It was argued by the learned proxy counsel that in view of unrebutted documentary evidence brought on record, the applicant bank had proved its case against the defendants for recovery of the amount sought. From perusal of Annexures-A1 to A12 , it is clear that the defendants had approached the applicant bank for availing of the loan facility which was granted to them after they 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.2,06,80,804.77 (Rs. Two Crore Six lacs Eighty Thousand Eight Hundred Four and Seventy Seven Paisa only) from the defendants.

¶39

In so far as pendente lite and future interest is concerned, the applicant bank has claimed interest @24% per annum with monthly rests in respect of both the loan facilities. In loan facility agreement dated 30.12.2014, Annexure-A6 (copy), the rate of interest has been mentioned @10% per annum.

¶40

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 properties, purpose of loan, i.e. housing, prevalent market rates of interest which have gone drastically downhill in yesteryears and defendant No.2 being a lady, 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 final order. It is ordered accordingly.

¶41

OA 205/2022 ICICI BANK LIMITED V/S DEEPAK CHAUDHARY AND ANOTHER 5

¶42

In the result, the Original Application is allowed with costs declaring that the defendants are liable to pay to the applicant bank a sum of

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Rs.2,06,80,804.77 (Rs. Two Crore Six lacs Eighty Thousand Eight

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Hundred Four and Seventy Seven Paisa only) with current and future simple interest @7% per annum , w.e.f. 01.01.2022 , till the date of realisation of the amount. If the dues of the bank still remain unsatisfied, applicant bank shall be at liberty to recover the same by attachment and sale of personal assets/property of the defendants. The applicant bank is at liberty to enforce the claim through due process of law.

¶45

Issue Recovery Certificate accordingly.

¶46

Parties to appear before Recovery Officer concerned on 17.07.2023. 15. Copy of this order be sent to the applicant bank and the defendants through registered/speed post. This order be also uploaded on the official website of this Tribunal.

¶47

Announced in the open Tribunal (M.M. Dhonchak) Presiding Officer DRT-2,Chandigarh

Icici Bank Limited v. Deepak Chaudhary & Another

Case brief

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Icici Bank Limited v. Deepak Chaudhary & Another

Case brief

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