The Debts Recovery Tribunal allowed the bank's application for recovery of Rs. 31,01,135.16 owed by the defendants on a term loan. The bank claimed 11% interest, but the Tribunal granted 9% p.a. from the application date due to the pandemic and market conditions.
Recovery of Rs. 31,01,135.16 plus simple interest at 9% per annum from filing date until realisation.
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.211/2022
DATE OF INSTITUTION: 20.04.2021
DATE OF DECISION: 15th DAY OF MARCH, 2023
Yes Bank Limited , Registered Office at One International Center, Tower-2, 15th Floor, Senapati Bapat Marg, Elphinstone(W), Mumbai-400013, Regional Office at Yes Bank Limited, S.C.O No. 129/30, Sector 9-C, Chandigarh, having its Branch at Chandigarh, through its Authorised representative, Ms Ayesha Negi
....Applicant Bank
Versus
.....Defendants
Argued by: Sh. Amit Rishi counsel for the applicant bank Defendants ex parte vide order dated 11.01.2023
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, against the defendants for recovery of Rs.31,01,135.16p (Rupees Thirty One lacs One Thousand One Hundred Thirty Five and Sixteen Paisa Only) . It has been filed through Ms Ayesha Negi, authorised representative of the applicant bank stated to be competent to institute the Original Application vide Power of Attorney dated 11.08.2020, Annexure-A1 (copy).
OA/211/2022 YES BANK Vs HARPREET SINGH AND ANR 2
Rs.31 lacs vide loan application dated 31.01.2020, Annexure-A2 (colly) (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.31,01,135.16p (Rupees Thirty One lacs One Thousand One Hundred Thirty Five and Sixteen Paisa Only) is recoverable against the defendants as per statement of account dated 29.01.2020, Annexure-A5 (colly) (copy) along with certificate under Banker’s Books Evidence Act, 2000.
Since the defendants did not repay the outstanding amount, therefore, the applicant bank preferred the present Original Application for issuance of Recovery Certificate.
OA/211/2022 YES BANK Vs HARPREET SINGH AND ANR 3
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. purchase of vehicle, quantum of loan, prevalent market rates of interest which have gone drastically
OA/211/2022 YES BANK Vs HARPREET SINGH AND ANR 4
downhill in yesteryears, 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.
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 including interest from the defendants under Section 19(1) of the RDBFI Act.
What rate of interest is appropriate in light of the prevailing economic conditions and the purpose of the loan.
2 provisions across 2 enactments
Yes Bank Limited
Sh. Harpreet Singh
Sh. Harwinder Singh
M.M. Dhonchak
As recorded by the court registry
Judgements on the same questions, provisions and authorities, from every court
