Allowed

Bank of Maharashtra v. Swati Gawade

DRT16 Dec 2023OA/416/2022

Case brief

AI extract

What is this about?

The Debts Recovery Tribunal allowed the applicant bank's application for recovery of pending dues. The court adjusted the claim amount by deducting penal interest and modified the future interest rate to 9% per annum simple, while upholding liabilities for the principal sum, legal interest, and mortgage rights.

What did the court decide?

Recovery of Rs. 1,02,48,018/-. Future interest at 9% per annum. Sale of mortgaged property permitted.

Bank of Maharashtra versus Swati Gawade — Contract and Commercial Disputes | DRT (2023)

¶1

Presented on : 10.02.2022 Registered on : 19.04.2022 Decided on : 16.12.2023 Duration : Y M D 01 10 06

¶2

IN THE DEBTS RECOVERY TRIBUNAL AT PUNE (Before Shri Dilip G Murumkar, Presiding Officer) ORIGINAL APPLICATION No. 416/2022.

¶3

Bank of Maharashtra,

¶4

A Body Corporate established under the Banking Companies (Acquisition and Transfer of Undertakings) Act, 1970, having its registered office at “Lokmangal”, 1501, Shivajinagar, Pune – 411005 and one of its branch office at Bhigwan Chowk, Baramati, Taluka Baramati, District Pune.

¶5

.. Applicant

¶6

Versus

¶7

1 Miss Swati Pralhad Gawade

¶8

After marriage Sou. Swati Rajkumar Malave,

¶9

2 Shri Rajkumar Bhagwat Malave, 3 Shri Kisan Dattu Malave,

¶10

All R/o : Shindewadi (Kazad), Taluka Indapur, District Pune 413104.

¶11

.. Defendants

¶12

APPEARANCES

¶13

For Applicant Advocate R.B. Ganbote. For Defendants Ex parte.

¶14

TOTAL CLAIM AMOUNT –Rs.1,05,25,538/-

(OA No. 416/2022)

Page 1 of 6

Sanap

JUDGMENT (Delivered on 16^th December, 2023)

¶19

The Applicant Bank has filed the present application for recovery of the sum of Rs.1,05,25,538/- together with future interest @13.65% per annum with monthly rests from the date of Application till realization of the entire dues from the defendants.

¶20

Brief facts of the application are as under :

¶21

Defendant Nos.1 to 3 approached the applicant Bank in or about April 2014 requesting Term Loan of Rs.32,10,000/- for cultivation of Grape orchard and installation of pipeline to defendant No.1. Defendant Nos. 2 and 3 offered themselves as Guarantors for securing said Term Loan. Accordingly, the applicant Bank sanctioned and disbursed the Term Loan of Rs.32,10,000/- to defendant No.1 vide Sanction Letter dated 03.05.2014. In order to secure the aforesaid Term Loan, the defendants executed necessary loan and security documents in favour of the applicant Bank along with deed of mortgage of land bearing Gat No. 132(P) situated at village Kazad, Taluka Indapur, District Pune in favour of the applicant Bank. Thereafter, on 12.04.2017, the defendants executed separate

(OA No. 416/2022)

Page 2 of 6

Sanap

Balance and Security Confirmation Letters in favour of the applicant Bank.

¶26

Further, the defendants again approached the applicant Bank for grant of Mahabank Kisan Credit Card of Rs.21,00,000/- for agriculture purpose for defendant No.1. Defendant Nos. 2 and 3 offered themselves as Guarantors for securing said Mahabank Kisan Credit Card. Accordingly, the applicant Bank sanctioned and disbursed the said facility of Rs.21,00,000/- to defendant No.1 vide Sanction Letter dated 12.08.2015. In order to secure the aforesaid facility, the defendants executed necessary loan and security documents in favour of the applicant Bank along with deed of mortgage of land bearing Gat No. 132(P) situated at village Kazad, Taluka Indapur, District Pune, in favour of the applicant Bank.

¶27

Thereafter, the defendants again approached the applicant Bank for grant of Mahabank Kisan Credit Card of Rs.15,00,000/- for agriculture purpose for defendant No.1. Defendant Nos. 2 and 3 offered themselves as Guarantors for securing said Mahabank Kisan Credit Card. Accordingly, the applicant Bank sanctioned and disbursed the said facility of Rs.15,00,000/- to defendant No.1 vide Sanction Letter dated

(OA No. 416/2022)

Page 3 of 6

Sanap

31.08.2016. In order to secure the aforesaid facility, the defendants executed necessary loan and security documents in favour of the applicant Bank along with deed of mortgage of land bearing Gat No. 132(P) situated at village Kazad, Taluka Indapur, District Pune, in favour of the applicant Bank. The defendants agreed to pay interest @12.65% per annum with half yearly rests.

¶32

The applicant Bank contended that the defendants committed defaults in payment of installments and failed to regularize the accounts. Therefore, on 07.02.022, the applicant Bank issued legal Notice to the defendants. Despite service of Notice, the defendants failed and neglected to pay the outstanding dues of the applicant Bank. Hence, this application is filed.

¶33

The defendants failed to appear despite service of summons. Hence, the application proceeded ex-parte as per Order dated 11.12.2023 passed below Application (Exhibit-1).

¶34

The applicant Bank has filed Claim Affidavit of evidence (Exhibit-6) of Dhirendra Kumar, Chief Manager of the applicant Bank, and has produced on record the original loan transaction documents at Sr. Nos. AW-1 to AW-34 alongwith list (Exhibit 7), which corroborates case of the applicant Bank.

(OA No. 416/2022)

Page 4 of 6

Sanap

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

¶39

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.

¶40

The applicant Bank has claimed relief in respect of hypothecated assets. However, there is no detailed description with respect to the hypothecated assets, therefore, the relief in terms of hypothecated assets cannot be granted.

¶41

The applicant Bank has claimed Penal Interest of Rs.2,77,520/-, which cannot be granted and the same is required to be deducted from the total claim amount. Therefore, the total claim amount of Rs.1,05,25,538/- is reduced to Rs.1,02,48,018/-.

¶42

The applicant Bank has claimed future interest @13.65% per annum with monthly rests. However, considering the facts of the case, I am of the opinion that if future interest is granted @9% per annum (simple), it would be just and reasonable rate of interest.

¶43

Hence, I pass the following order :-

¶44

ORDER

¶45

(A) Original Application No.416/2022 is allowed with costs.

(OA No. 416/2022)

Page 5 of 6

Sanap

(B) Defendant Nos.1 to 3 either jointly or severally shall pay to the applicant Bank the sum of Rs. 1,02,48,018/(Rupees One Crore Two Lakhs Forty Eight Thousand Eighteen only) along with future interest @9% per annum from the date of filing of Original Application i.e. 10.02.2022 till full payment/realization of the amount mentioned in this operative order.

¶50

(C) The aforesaid adjudicated amount is secured by the valid and subsisting mortgage of land bearing Gat No. 132 (P) situated at village Kazad, Taluka Indapur, District Pune, more particularly described in the Para Nos. 5.7 and 5.14 of the Original Application.

¶51

(D) The applicant Bank is entitled to sell the mortgaged property to recover its dues.

¶52

(E) Issue Recovery Certificate.

¶53

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

¶54

Sd/-

¶55

Place : Pune Date : 16.12.2023

¶56

(Dilip G Murumkar) Presiding Officer Debts Recovery Tribunal, Pune.

¶57

(OA No. 416/2022)

¶58

Page 6 of 6

¶59

Sanap

Bank of Maharashtra v. Swati Gawade

Case brief

What is this about?

What did the court decide?

Bank of Maharashtra v. Swati Gawade

Case brief

What is this about?

What did the court decide?

What the court decided

A compact analysis

Issues for consideration

Statutes considered

Parties & counsel

Coram

Case details

Similar cases

State Bank of India versus Alex Jacob

Punjab National Bank versus Shantilal Zagade

State Bank of India versus Harsha Somnath Avhad

Union Bank of India versus Naim

Union Bank of India versus Dhiraj

Punjab National Bank versus Machindra Mhetre