Allowed

Kotak Mahindra Bank Limited v. D and D Construction and Developers Co.

DRT1 May 2023OA/276/2022

Case brief

AI extract

What is this about?

The DRT allowed the bank's original application for recovery of a loan debt of Rs. 22,17,033.32 with interest. The court held the defendants jointly liable and ordered the issuance of a recovery certificate to sell hypothecated assets.

What did the court decide?

Recovery certificate issued for Rs. 22,17,033.32 plus interest for recovery via sale of hypothecated assets and personal properties.

Kotak Mahindra Bank Limited versus D and D… — Contract and Commercial Disputes | DRT (2023)

¶1

“ORIGINALAPPLICATION” No. 276 of 2022

¶2

BEFORE THE DEBTS RECOVERY TRIBUNAL, JAIPUR PRESENT- SHRI VIVEK SAXENA

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PRESIDING OFFICER

¶4

O.A. NO. 276 OF 2022

¶5

DATE OF DELIVERY OF ORDER 01.05.2023

¶6

KOTAK MAHINDRA BANK LIMITED

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Branch/Lending Office-57, Krishna Tower, Sardar Patel Marg, C- Scheme, Jaipur, Rajasthan

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..Applicant Bank.....

¶9

VERSUS

¶10

1. D AND D CONSTRUCTION AND DEVELOPERS CO.

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A proprietorship firm through its authorized signatorty, Mr. Tikuram having its Regd. Office at Shop No. K2, Boranada, Jodhpur, Rajasthan -342001-India

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2. MR. TIKURAM

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S/o Mr. Mangla Ram R/o 147, Jato Ka Bas, Gangana, Jodhpur-342006, Rajasthan - India

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3. MR. SOHAN LAL JAT

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S/o Mr. Narayan Ram Jat R/o 60, Jakhar Gali, Tanavada, Distt. Jodhpur-342802, Rajasthan - India

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..Defendants.....

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Counsel for the Applicant Bank Sh. Mukesh Chand Sharma Defendants Ex parte

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Ex parte

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JUDGMENT

¶20

This Original Application was filed by Applicant Bank against Defendants on 10.02.2022 for recovery of an amount of Rs 22,17,033.32 with pendentlite and future interest and cost.

OA No. 276 of 2022

As per O.A., Defendants approached the Applicant Bank for financial assistance. After due consideration, credit facility was sanctioned by the Applicant Bank in favour of Defendants. Defendants failed to maintain financial discipline and therefore, their loan account was classified as NPA. Applicant Bank has therefore, filed this original application for recovery of its dues against the Defendants.

¶25

Defendants was proceeded ex parte on 07.09.2022.

¶26

Heard arguments and perused the record.

¶27

As stated supra, the Applicant Bank filed the evidence affidavit coupled with the recitals in the documents, viz Exhibit A/1 to A/22 marked on behalf of the applicant bank, clinches the claim of the applicant bank against the Defendants. Hence, I hold that the Defendants are jointly & severally liable to pay to the applicant bank the claim made in O.A. with future interest and costs.

¶28

In the result, this O.A. No. 276/2022 is allowed declaring that:

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a) The Defendants are jointly & severally liable to pay to the applicant bank a sum of Rs. 22,17,033.32 (Twenty Twenty Two Lac Seventeen Thousand Thirty Three and Thirty Two Paisa only) with future interest @ 10.28% p.a. (Simple) from 10.02.2022 till the date of realization.

¶30

b) The applicant bank is entitled to recover the above amount by sale of hypothecated Construction Equipment: 2040717Construction Equipment Excavator Volvo CB-EC210 BLC Hydraulic Excavator Chassis No. K00251098, Engine No. 12212737, Serial No. 12212737 AND 2094182 = Construction Equipment Compactor Escorts Construction Equipments Ltd - CB- Escorts Vibratory Roller Model EC 5250 Chassis No. 30065616 Engine No. 4H33281820312 as well as from the personal movable and immovable properties/assets of Defendants. The

OA No. 276 of 2022

applicant bank is entitled to proceed against the same towards recovery of its debt.

¶35

c) The applicant bank is entitled to the costs of the O.A.

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The recovery certificate be issued forthwith and be sent to the Recovery Officer, DRT, Jaipur.

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Parties are directed to appear before the Recovery Officer, DRT, Jaipur on 01.08.2023 .

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Prepare Recovery Certificate accordingly.

¶39

A copy of the Judgment and Recovery Certificate be given or sent by registered post to each of the parties free. A copy of the Recovery Certificate be sent to the Recovery Officer of this Tribunal for necessary action as per the law.

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(Vivek Saxena) Presiding Officer, Debts Recovery Tribunal, Jaipur

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Order pronounced in the open court today i.e. 01.05.2023 .

¶42

(Vivek Saxena) Presiding Officer, Debts Recovery Tribunal, Jaipur

OA No. 276 of 2022

BEFORE THE DEBTS RECOVERY TRIBUNAL, JAIPUR PRESENT- SHRI VIVEK SAXENA

¶47

PRESIDING OFFICER

¶48

O.A. NO. 276 OF 2022

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DATE OF DELIVERY OF ORDER 01.05.2023

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RECOVERY CERTIFICATE

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(UNDER SUB Section 22 of the Recovery of Debts due to Banks and Financial Institutions Act, 1993 (Act 51 of 1993)

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KOTAK MAHINDRA BANK LIMITED

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Branch/Lending Office-57, Krishna Tower, Sardar Patel Marg, C- Scheme, Jaipur, Rajasthan

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..Applicant Bank.....

¶55

VERSUS

¶56

1. D AND D CONSTRUCTION AND DEVELOPERS CO.

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A proprietorship firm through its authorized signatorty, Mr. Tikuram having its Regd. Office at Shop No. K2, Boranada, Jodhpur, Rajasthan -342001-India

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2. MR. TIKURAM

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S/o Mr. Mangla Ram R/o 147, Jato Ka Bas, Gangana, Jodhpur-342006, Rajasthan - India

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3. MR. SOHAN LAL JAT

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S/o Mr. Narayan Ram Jat R/o 60, Jakhar Gali, Tanavada, Distt. Jodhpur-342802, Rajasthan - India

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..Defendants.....

¶63

Recovery Certificate for Rs. 22,17,033.32/-

¶64

In terms of final order dated 01.05.2023 passed by this Tribunal in the above mentioned case, it is ordered that the-

¶65

a) The Defendants are jointly & severally liable to pay to the applicant bank a sum of Rs. 22,17,033.32 (Twenty Twenty Two Lac Seventeen Thousand Thirty Three and Thirty Two Paisa only) with future interest @ 10.28% p.a. (Simple) from 10.02.2022 till the date of realization.

OA No. 276 of 2022

b) The applicant bank is entitled to recover the above amount by sale of hypothecated Construction Equipment: 2040717Construction Equipment Excavator Volvo CB-EC210 BLC Hydraulic Excavator Chassis No. K00251098, Engine No. 12212737, Serial No. 12212737 AND 2094182 = Construction Equipment Compactor Escorts Construction Equipments Ltd - CB- Escorts Vibratory Roller Model EC 5250 Chassis No. 30065616 Engine No. 4H33281820312 as well as from the personal movable and immovable properties/assets of Defendants. The applicant bank is entitled to proceed against the same towards recovery of its debt.

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c) The applicant bank is entitled to the costs of the O.A. Parties are directed to appear before the Recovery Officer, DRT, Jaipur on 01.08.2023 .

¶71

The Recovery Officer shall realize the amount as per this Certificate in the manner and mode prescribed under Section 25 and 28 of the Recovery of Debts Due to Banks and Financial Institutions Act, 1993 (as amended from time to time) from the above named Certificate Debtor.

¶72

This Certificate has been issued under my signatures and seal of the Tribunal on this 01.05.2023 .

¶73

(Vivek Saxena) Presiding Officer, Debts Recovery Tribunal, Jaipur

OA No. 276 of 2022

BEFORE THE DEBTS RECOVERY TRIBUNAL, JAIPUR PRESENT- SHRI VIVEK SAXENA

¶78

PRESIDING OFFICER

¶79

O.A. NO. 276 OF 2022

¶80

DATE OF DELIVERY OF ORDER 01.05.2023

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SCHEDULE TO RECOVERY CERTIFICATE

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MEMO OF COST

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KOTAK MAHINDRA BANK LIMITED

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Branch/Lending Office-57, Krishna Tower, Sardar Patel Marg, C- Scheme, Jaipur, Rajasthan

¶85

..Applicant Bank.....

¶86

VERSUS

¶87

4. D AND D CONSTRUCTION AND DEVELOPERS CO.

¶88

A proprietorship firm through its authorized signatorty, Mr. Tikuram having its Regd. Office at Shop No. K2, Boranada, Jodhpur, Rajasthan -342001-India

¶89

5. MR. TIKURAM

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S/o Mr. Mangla Ram R/o 147, Jato Ka Bas, Gangana, Jodhpur-342006, Rajasthan - India

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6. MR. SOHAN LAL JAT

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S/o Mr. Narayan Ram Jat R/o 60, Jakhar Gali, Tanavada, Distt. Jodhpur-342802, Rajasthan - India

¶93

..Defendants.....

¶94

S.No.	Item of Costs	Amount (Rs.)
1	Fee on the Application	25,000.00
2	Process Fee (Inc. Publication)	290.00
3	Advocate Fee	1,250.00
4	Commission/Receiver/Valuation	NIL
5.	Miscellaneous Charges	NIL
	Total	26,540.00

OA No. 276 of 2022

Presiding Officer, Debts Recovery Tribunal, Jaipur

¶99

01.05.2023

¶100

Counsel:

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Sh. Mukesh Chand Sharma, Counsel for Applicant Bank Defendants are ex parte

¶102

Judgment dictated separately and pronounced in the open court. As per order the O.A. is allowed. Recovery Certificate be prepisd accordingly and the Registry is directed to verify the Recovery Certificate as per Regulation 24(1) and (2) of Debts

OA No. 276 of 2022

Recovery Tribunal Jaipur Regulation 2015 and after verification place the same before the Tribunal.

¶107

(Vivek Saxena) Presiding Officer, Debts Recovery Tribunal, Jaipur

OA No. 276 of 2022

01.05.2023

Counsel:

Sh. Mukesh Chand Sharma, Counsel for Applicant Bank Defendants are ex parte

¶114

The Tribunal vide order dated 01.05.2023 , directed the Registrar to verify the Recovery Certificate as per Regulation 24(1) and (2) of Debts Recovery Tribunal Jaipur Regulation 2015.

¶115

The Registrar vide order dated 01.05.2023 verified the Recovery Certificate as per Regulation 24(1) and (2) of Debts Recovery Tribunal Jaipur Regulation 2015. Recovery Certificate is prepisd accordingly. Copy of the Judgment and Recovery Certificate be given free to the concerned parties as well as be sent to the Recovery Officer for further proceedings. File be put up before the Registrar for compliance. After compliance file be consigned to record.

¶116

(Vivek Saxena) Presiding Officer, Debts Recovery Tribunal, Jaipur

OA No. 276 of 2022

DEBTS RECOVERY TRIBUNAL, JAIPUR

¶121

ORIGINAL APPLICATION NO. 276 of 2022

¶122

The Recovery Certificate prepisd in compliance of order dated 01.05.2023 passed by Hon’ble Presiding Officer, DRT, Jaipur in Original Application No. 276 of 2022 Title Kotak Mahindra Bank Ltd. Vs D and D Construction and Developers Co. & Ors. has been checked and may be verified.

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Section Officer

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Assistant Registrar

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On the basis of the report of Section Officer the Recovery Certificate is verified. The Recovery Certificate is placed below for the signature of Hon’ble Presiding Officer please.

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Assistant Registrar

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Hon’ble Presiding Officer

OA No. 276 of 2022

DEBTS RECOVERY TRIBUNAL, First Floor, Sudharma-II, Opp. Kisan Bhawan, Lal Kothi Shopping Centre, Tonk Road, JAIPUR-302015

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SCHEDULE TO RECOVERY CERTIFICATE MEMO OF COST

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O.A. NO. 509 OF 2020

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CANARA BANK

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Corporate Office at – 112, JC Road, Bengaluru (Karnataka) Branch Office at Tulsi Circle, Gajner Road, Bikaner (Raj.)

¶136

…..Applicant Bank…..

¶137

VERSUS

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1. M/S SATYAM FEB a proprietor firm through its Proprietor Tarun Sharma, Registered office at-Near SBN School, New Lane, Gangashahar, Bikaner

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2. TARUN SHARMA, S/o Shri Ghanshyam Das Jajda, R/o Near SBN School, New Lane, Gangashahar, Bikaner

¶140

……Defendants…..

¶141

S.No.	Item of Costs	Amount (Rs.)
1	Fee on the Application	92,000
2	Process Fee (Inc. Publication)	178
3	Advocate Fee	1,250
4	Commission/Receiver/Valuation/ Security Fee	NIL
5.	Miscellaneous Charges	NIL
	Total	93,428

¶142

(Vivek Saxena) Presiding Officer,

¶143

Place – Jaipur Debts Recovery Tribunal, Dated – 05/08/2022 Jaipur

OA No. 276 of 2022

[3:07 pm, 01/05/2023] Sameer Saxena: BEFORE THE DEBTS RECOVERY TRIBUNAL, JAIPUR

¶148

"ORIGINAL APPLICATION" No. 276/2022 PRESENT-SHRI VIVEK SAXENA DATE OF DELIVERY OF ORDER 01.05.2023

¶149

PRESIDING OFFICER

¶150

O.A. NO. 276/2022

¶151

KOTAK MAHINDRA BANK LIMITED Branch/Lending Office-57, Krishna Tower, Sardar Patel Marg, C-Scheme, Jaipur, Rajasthan

¶152

..Applicant Bank.....

¶153

VERSUS

¶154

D AND D CONSTRUCTION AND DEVELOPERS CO. A proprietorship firm through its authorized signatorty, Mr. Tikuram having its Regd. Office at Shop No. K2, Boranada, Jodhpur, Rajasthan -342001-India

¶155

MR. TIKURAM S/o Mr. Mangla Ram R/o 147, Jato Ka Bas, Gangana,

¶156

Jodhpur-342006, Rajasthan - India 3. MR. SOHAN LAL JAT S/o Mr. Narayan Ram Jat R/o 60, Jakhar Gali, Tanavada, Distt. Jodhpur-342802, Rajasthan - India

¶157

..Defendants.....

¶158

Counsel for the Applicant Bank Defendants

¶159

Sh. Mukesh Chand Sharma Ex parte

¶160

[3:08 pm, 01/05/2023] Sameer Saxena: OA No 276 of 2023

JUDGMENT

OA No. 276 of 2022

This Original Application was filed by Applicant Bank against Defendants on 10.02.2022 for recovery of an amount of Rs 22,17,033.32 with pendentlite and future interest and cost.

¶166

As per O.A., Defendants approached the Applicant Bank for financial assistance. After due consideration, credit facility was sanctioned by the Applicant Bank in favour of Defendants. Defendants failed to maintain financial discipline and therefore, their loan account was classified as NPA. Applicant Bank has therefore, filed this original application for recovery of its dues against the Defendants.

¶167

Defendants was proceeded ex parte on 07.09.2022.

¶168

¶169

¶170

Heard arguments and perused the record.

¶171

As stated supra, the Applicant Bank filed the evidence affidavit coupled with the recitals in the documents, viz Exhibit A/1 to A/22 marked on behalf of the applicant bank, clinches the claim of the applicant bank against the Defendants. Hence, I hold that the Defendants are jointly & severally liable to pay to the applicant bank the claim made in O.A. with future interest and costs.

¶172

In the result, this O.A. No. 276/2022 is allowed declaring

¶173

that:

¶174

¶175

a) The Defendants are jointly & severally liable to pay to the applicant bank a sum of Rs. 22,17,033.32 (Twenty Twenty Two Lac Seventeen Thousand Thirty Three and Thirty Two Paisa only) with future interest @ 10.28% p.a. (Simple) from 10.02.2022 till the date of realization.

¶176

b) The applicant bank is entitled to recover the above amount by sale of hypothecated Construction

¶177

Kotak Mahindra Bank Limited v. D and D Construction and Developers Co.

Case brief

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Kotak Mahindra Bank Limited v. D and D Construction and Developers Co.

Case brief

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