The Debt Recovery Tribunal allowed the bank's application for recovery of Rs. 29.49 lakhs. The court fixed uniform simple interest at 10.00% p.a. and directed the issuance of a Recovery Certificate based on documentary evidence.
Order issuing Recovery Certificate and clarifying interest at 10% p.a.
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-III, CHANDIGARH
ORIGINAL APPLICATION NO.2113/2022
PRESIDED OVER BY MRIDULESH KUMAR SINGH
DATE OF INSTITUTION: 30.11.2022
DATE OF DECISION: 29.11.2023
Punjab National Bank, a body corporate and a nationalized Bank constituted under the provisions of the Banking Companies (Acquisition and Transfer of Undertakings) Act 5 of 1970 having its Head Office at Plot No.4, Sector 10, Dwarka, New Delhi 110075 and amongst others a branch office at Jadla, Nawan Shahar, Pin 144515 Punjab through its Constituted Attorney & Principal Officer, Sh. Jitendra Verma, Officer recently posted at Jadla, Punjab
(Transferee Bank from erstwhile Oriental Bank of Commerce)
……..Applicant
Versus Sh. Mohinder Singh S/o Sh. Bakhtawar Singh R/o Village Bhagoran, Tehsil Nawan Shahar, District Shaheed Bhagat Singh Nagar (Borrower/Mortgagor)
….……Defendant Advocates: Argued by Sh. Navpreet Singh, Advocate proxy for Sh. Manish Singla, Advocate for the applicant Defendant is ex-parte
FINAL ORDER
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The Tribunal is of the considered opinion that sometimes in appropriate cases the prerogative of mercy is the brightest jewel in the crown of the Judge. Keeping in view the facts and circumstances of the instant case including nature of the mortgaged property, undertaking of the defendant, quantum of loan and prevalent market rates of interest which have gone drastically downhill in yester years, while exercising the discretion vested in this Tribunal, this Tribunal deems it just and appropriate to grant uniform simple interest @10.00%p.a. in the loan account from the date of filing of the OA till realization of the amount ordered vide this final order. It is ordered accordingly. 11. In the result, the application is allowed declaring that the defendant is liable to pay to the applicant a total sum of Rs.29,49,500.00 (Rupees Twenty Nine Lacs Forty Nine Thousand Five
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Hundred only), with costs, current and future simple interest @10.00%p.a. in the loan account from the date of filing of OA till the date of realization of the amount. Accordingly, the applicant bank shall be entitled to recover aforesaid amount from the sale of hypothecated/mortgaged properties of the defendant in execution proceedings if not sold earlier under the provisions of the SARFAESI Act, 2002. If the dues of the bank still remain unsatisfied, it shall be entitled to recover the same by attachment and sale of personal assets of the defendant. The applicant is at liberty to enforce the claim through due process of law. 12. Any other application pending stands disposed of. 13. Issue Recovery Certificate accordingly. 14. Parties to appear before Learned Recovery Officer of this Tribunal on 04.12.2023. 15. Copy of this order be given dasti to the applicant bank and be sent to defendant through registered/speed post and this order be also uploaded on the official website of this Tribunal and record be consigned.
Pronounced by me in the open Tribunal. Dated: 29.11.2023 (MRIDULESH KUMAR SINGH) Presiding Officer, DRT-III, Chandigarh
2 issues framed by the court
Whether the applicant bank is entitled to recover the outstanding loan amount and interest from the defendant.
What decimal interest rate should be granted for the loan account till realization.
2 provisions across 2 enactments
Punjab National Bank
MRIDULESH KUMAR SINGH
As recorded by the court registry
Judgements on the same questions, provisions and authorities, from every court
