Allowed

Union Bank of India v. Shri. Mahesh Siddheshwar Manekar

DRT10 Aug 2023OA/303/2022

Case brief

AI extract

What is this about?

Debts Recovery Tribunal allowed the bank's application for recovery of loan dues amounting to approximately Rs. 25.17 Lakhs with future interest at 9% p.a. ordered against non-appearant borrowers, secured by mortgages on immovable properties.

What did the court decide?

Defendants to jointly or severally pay the claimed loan amounts plus future interest at 9% p.a. with the right to sell mortgaged properties.

Union Bank of India versus Shri. Mahesh… — Contract and Commercial Disputes | DRT (2023)

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Presented on: 04.02.2022 Registered on: 18.04.2022 Decided on: 10.08.2023 Duration: Y M D 1 6 6

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IN THE DEBTS RECOVERY TRIBUNAL AT PUNE (Before Shri Dilip G Murumkar, Presiding Officer) ORIGINAL APPLICATION No.303/2022

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Union Bank of India, (Erstwhile Corporation Bank) A Banking Company constituted under Banking Companies (Acquisition and Transfer of Undertakings) Act, 1970 having its Central Office at Union Bank Bhavan, 239, Vidhan Bhavan Marg, Mumbai400 021 and branch amongst other places at – Jeevan Tara Building (LIC), 513 Sadar Bazar, Ganpatdas Devi Path, Satara – 415 001 known as Satara Branch, Satara.

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… Applicant

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Versus

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Shri Mahesh Siddheshwar Manekar, Adult, Occ: Business, R/o. Flat No.9, Saniya Apartment Near Radhika Cinema, Pratapganj Peth, Satara-415 002.

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Sou. Madhavi Mahesh Manekar, Adult, Occ: Business, Residing atFlat No.9, Saniya Apartment Near Radhika Cinema,

(OA No.303/2022)

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Pratapganj Peth, Satara-415 002.

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Shri Kishor Sahebrao Shende, Adult, Occ: Business, Residing at-321, 2K Shende Colony, Karanje, Satara-415 002.

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… Defendants

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APPEARANCES

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For the Applicant	Mr. Ramesh B. Ganbote - Advocate
For Defendants	Exparte

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TOTAL CLAIM AMOUNT –Rs.25,17,362/-

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JUDGMENT

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(Delivered on 10^th August, 2023)

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The Applicant Bank has filed the present Application for recovery of aggregate amount of Rs.25,17,362/- i.e. Rs.14,84,104/towards Housing Loan account; Rs.2,62,172/- towards Term Loan account together with future interest @13.75% p.a. with monthly rests thereon from defendant Nos.1 and 2 and Rs.7,71,086/- towards Mortgage Loan together with future interest @14.35% p.a. with monthly rests thereon from the date of filing of Original Application i.e. 04^th February, 2022 till full repayment/realization of entire dues from defendant Nos.1 to 3.

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Brief facts of the application are as under:

(OA No.303/2022)

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The defendant Nos.1 and 2 approached the applicant Bank (Erstwhile Corporation Bank) on 04^th March, 2013 for Housing Loan of Rs.18,00,000/- for purchase of Flat.

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On 18^th March, 2013 the applicant Bank sanctioned and disbursed Housing Loan of Rs.18,00,000/-.

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On 20^th March, 2013, defendant Nos.1 and 2 executed loan transaction and security documents including Equitable Mortgage in respect of mortgage of Flat No.G-1 more particularly mentioned in paragraph No.5.7 of the Original Application.

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Thereafter, defendant Nos.1 and 2 also executed Acknowledgement of Debt/Liability on 09^th January, 2019 and confirmed balance in Housing Loan account.

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The applicant Bank contended that on 03^rd September, 2013 defendant Nos.1 and 2 again approached it for Term Loan of Rs.10,00,000/- for Furniture purpose out of which the applicant Bank sanctioned and disbursed Rs.4,50,000/on 04^th October, 2013 with interest @11.75% p.a. repayable by 120 Equated Monthly Installments of Rs.6,400/- each.

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Defendant Nos.1 and 2 executed loan transaction and security documents on 04^th October, 2013.

(OA No.303/2022)

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The applicant Bank further contended that on 08^th July, 2014 defendant Nos.1 to 3 approached the applicant Bank for Mortgage Loan of Rs.8,70,000/- for business purpose to defendant Nos.1 and 2. Defendant No.3 offered himself as guarantor. The applicant Bank sanctioned and disbursed the Mortgage Loan on 29^th October, 2014.

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On 31^st October, 2014 defendant Nos.1 to 3 executed loan transaction and security documents including Equitable Mortgage in respect of immovable property i.e. Flat No.9 more particularly mentioned in paragraph No.5.21 of the Original Application.

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The applicant Bank further contended that on 25^th July, 2019 defendant Nos.1 and 2 executed Acknowledgement of Debt/Liability and confirmed the balance in the Term Loan account and on 16^th September, 2016 and 7^th December, 2021 they confirmed the balance in Mortgage Loan account. 3. After availing the credit facilities, defendants were not paying the installments in all the three loan accounts as agreed and committed breach of terms of sanction. Therefore, the account has turned Non-Performing Asset as per Reserve Bank of India. Thereafter, the applicant Bank

(OA No.303/2022)

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through its Advocate issued Demand Notice dated 05^th October, 2019 calling upon defendants to make the repayment.

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Despite issuance of Demand Notice, defendants failed to pay the installments and also failed to regularize all three loan accounts.

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Hence, this application is filed.

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Defendants failed to appear despite service of summons. Hence, the application proceeded ex parte against them vide Order dated 29^th May, 2023 below the Application (Exhibit-1).

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The applicant Bank has filed Claim Affidavit of evidence (Exhibit-6) of Shri Rishi Vatsa, Chief Manager, which supports the case of the applicant Bank elucidated in the application.

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The applicant Bank has produced on record the original loan transaction documents (Sr.Nos.AW-1/1 to AW-1/35) which corroborate the case of the applicant Bank.

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I have heard arguments of the learned Advocate for the applicant Bank.

(OA No.303/2022)

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Since the defendants failed to appear and contest the application, I find no reason to disbelieve evidence of the applicant Bank. Therefore, the applicant Bank is entitled for reliefs as claimed.

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The applicant Bank has claimed future interest @13.75% p.a. with monthly rests for Housing Loan account and Term Loan account and @14.35% p.a. with monthly rests for Mortgage Loan account. However, considering facts of the case, I am of the opinion that if future interest is granted @9% p.a. (simple) for all three loan accounts, it would be just and reasonable.

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Hence, I pass the following order:-

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ORDER

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(A) Original Application No.303/2022 is allowed with costs.

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(B) Defendant Nos.1 and 2 shall either jointly or severally pay to the applicant Bank towards Housing Loan and Term Loan accounts the sum of Rs.17,46,276/- (Rupees Seventeen Lakhs Forty-Six Thousand Two Hundred and Seventy-Six only)

(OA No.303/2022)

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with future interest @9% p.a. from the date of filing of the Original Application i.e. 04^th February, 2022 till full realization of the amount mentioned in this operative order.

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(C) Defendant Nos.1 to 3 shall either jointly or severally pay to the applicant Bank towards Mortgage Loan account sum of Rs.7,71,086/(Rupees Seven Lakhs Seventy-One Thousand and Eighty-Six only) with future interest @9% p.a. from the date of filing of the Original Application i.e. 04^th February, 2022 till full realization of the amount mentioned in this operative order.

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(D) The aforesaid adjudicated amounts are secured by the valid and subsisting mortgage of immovable properties i.e.

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1. Flat No.G-1 admeasuring 1335 Sq. Ft. built-up area on stilt ground floor in Wing `R-II’ of the building known as Rudraksha Residency constructed on land bearing Survey No.8/2/2B at Tamjai Nahar, Karanje Turf, Satara and

(OA No.303/2022)

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1. Flat No.9 admeasuring 610.73 Sq. Ft. on third floor of the building known as Saniya Corner Apartment, situated on the land bearing Survey No./City Survey No.177/12/B at Budhwar Peth, Near Radhika Cinema, Pratapgang Peth, Satara-415 002,

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more particularly mentioned in paragraph Nos.5.7 and 5.21 respectively of the Original Application.

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(E) The applicant is entitled to sell the mortgaged properties to recover its dues.

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(F) Issue Recovery Certificate.

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(G) The Registrar is directed to send the copy of Judgment and Recovery Certificate to the applicant Bank and defendants.

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Place : Pune Date : 10.08.2023

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Sd/- (Dilip G Murumkar) Presiding Officer Debts Recovery Tribunal, Pune

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(OA No.303/2022)

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Union Bank of India v. Shri. Mahesh Siddheshwar Manekar

Case brief

What is this about?

What did the court decide?

Union Bank of India v. Shri. Mahesh Siddheshwar Manekar

Case brief

What is this about?

What did the court decide?

What the court decided

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