Allowed

Punjab National Bank v. Smt. Muniyamma

DRT22 Dec 2023OA/455/2022

Case brief

AI extract

What is this about?

The DRT-I, Bengaluru allowed an Original Application filed by Punjab National Bank for recovery of dues amounting to approximately Rs. 25.94 lakh from two borrowers who failed to repay a sanctioned term loan, noting that the defendants' failure to file a written statement constituted an admission of the bank's case.

What did the court decide?

OA allowed with interest and costs; liberty to sell schedule property and issue Recovery Certificate.

Punjab National Bank versus Smt. Muniyamma — Contract and Commercial Disputes | DRT (2023)

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OA No.4ssl2022

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IN THE DEBTS RECOVERY^{TRIBUNAL -} I,^KARNATAKA

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AT BENGALURU

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Dated this the 22nd day of December,2023

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Present: Sri Imtiaz Ali

Presiding Officer

OA No.455/2022

BETWEEN:

Punjab National Bank

Circle Sastra

At #100, Mosque Road

Frazer Town

Bangalore - 560005

Represented by its Senior Manager Sri Nagaraja

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.. APPLICANT

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AND:

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Smt Muniyamma Aged about 66^years Wo^{Sri. V. Kempaiah}

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Sri. V. Kempaiah Aged about 74^years S/o Sri Venkatarayappa

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Both 1 and 2 Are resadino at No. 11, Chikkadibburuhalli Village Sadali Hobli, Dibburuhalli Post Chikkaballapura District

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.. DEFENDANTS

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Counsels on record /aooeared for: Applicant : Ramesh Kumar Defendants : Ex parte

OA No.455/2022

FINAL ORDER

The present OA has been filed by the Applicant Bank under Section 19 of the Recovery of Debts and Bankruptcy Act, 1993, seeking recovery of money of Rs.2S,94,9a3 (Rupees Twenty Five Lakh Ninety Four Thousand Nine Hundred Eighty Three only) together with costs, interest, etc.

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The case of the Applicant Bank is that the Defendants No.1 and 2 have approached the Applicant Bank with a request to sanction Loan. The Applicant Bank has sanctioned a sum of Rs.25,OO,OOO for Term Loan towards working capitar requirement for facirity for construction of Polyhouse structure and raising of Colored Capsicum crops on 01.09.2015.

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Fudher, the Defendants have agreed to repay the above loan with variable rate of interest, as applicable from time to time as per the directions of the Head Office/Central Office of the Applicant Bank and penal interest in case of default and keep the accounts regular by paying installments as and when due to the satisfaction of the Applicant Bank, as detailed in the oA by the Applicant Bank.

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r The Defendants after utilising the said loan have failed and \ t

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OA No.455/2022

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neglected to make the^{repayment of the loan duesas agreed and the} Defendants have not^{serviced the interestthereon as per the terms and} condition agreed^by the^{Defendants. The Applicant Bank has approached} the Defendants several^{timesand demanded to regularisetheloan} account, but the^{Defendants were postponingthe same on one or other} pretext. Hence the loan account^{was classified as Non-PerformingAsset} on 31.12.2019.^{Thereafter, the Applicant Bank has sent legal noticeon} 1g,77.2021 to the^{Defendants. However, the defendants havefailed to} repay the loan amount.^{Hence, the recovery processis initiated to} recover the dues.

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In the light of these^{factors,it is contended by the ApplicantBank} that Defendants^{are liable to pay a total sum of Rs.25,94,983 (RuPees} Twenty Five Lakh^{NinetyFour Thousand Nine HundredEighty} Three only).

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After filing this OA,^{Summonswere sent to the Defendants No 1} and 2 through^{RPAD. After receiptof summons, the Defendants No'1 and} 2 have appeared through^{theirCounsel but failed to file the written} statement within the^{prescribed time and hencethe stage for filing the} written statement^{was closed.}

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OA No.4SS/2022

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To prove the case of the Applicant Bank, its Chief Manager, Sri Chandrajeet Kumar. S/o Late D. N. Mahto Aged about 42 years has filed his affidavit by way of evidence the same was considered as evidence of AW.1 and marked at Ex.Al and list of documents came to be marked at Ex.A2 and 11 documents came to be marked at Ex.A3 to A13

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No evidence on behalf of the Defendants.

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Arguments of Learned Counsel for the plaintiff/ Applicant Bank heard and perused the records of the case.

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Following points arise for my consideration:

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Whether plaintiff/Applicant Bank proves its case as contended in the plaint/apptication?

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What Order?

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11, For the following reasons, I answer the above-referred points

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the following manner:

OA No.455/2022

REASONS

The Senior Manager of the^{ApPlicant Bank cameto be examined} as AW.1. His affidavit^{by way of evidencereiterated the facts pleadedin} the plaint and his affidavit^{is also corroboratedby the above-referred} Ex.A3 to A13 which^{clearlyestablishthe case of the ApplicantBank to} allow the^present OA.^{Added to this, the Defendants have remained} absent. The Defendants^{No.1 and 2 has appearedthroughhis Counsel but} failed to file the written^{statement within the prescribed time, hence the} provision for filing the written statement^{is closed.It is to be construed} that Defendants^{haveadmittedthe entirecase pleadedby the Applicant} Bank in the^present OA.

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Therefore, for these^{reasons,present OA is to be allowed with} costs as sought by^{the Applicant Bank.}

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ORDER

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Present OA stands^{allowedas prayed for withinterestand costs'}

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In the event of^{failure of the Defendants to pay the said OA amount,} the Applicant Bank is at^{liberty to sell the Schedulepropertyin}

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accordance with^{lawas soughtby the Applicant Bank in the OA'}

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OA N0.4SS/2O22

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In spite of sale of the schedule property, if the OA amount is not fu'y rearised' then the Appricant Bank is at riberty to proceed against the persons and other properties of the Defendants in accordance with raw.

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Appricant Bank sha' flre ratest Memo of carcuration of oA amount together with interest, costs etc., to be paid by Defendants dury taking into account the amount/s, if any, paid by the Defendants andlor amount realised by sare of assets, etc., during the intervening period after firing the oA' to enabre the office to prepare Recovery certificate for the amount to be paid by the Defendants to the Applicant Bank.

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Office is directed to issue Recovery Certificate as sought by the Applicant Bank in the OA and do the needful as required under the law forthwith.

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The Office is directed to issue, as far as possible, free copy of this order to the parties concerned.

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(Dictated to the Stenographer, after its transcription and necessary corrections, signed and pronounced by me in the Open Court on thls the 22nd day of December, 2023)

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^ V (Im[iaz ati) presiding Officer DRT_f, Bengaturu

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OA No.455/2022

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ANNEXURES

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Witness Examined for the Aoolicant Bank: AW-1 : Sri. Chandrajeet Kumar

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The Senior Manager of Applicant Bank

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List of Documents Exhibited for the Aoolicant Bank: Ex.A-1 : Affidavit of AW-1 Ex.A-2 : List of Documents

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Ex,A-3 to A-13 : 11 documents

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Witness Examined for the Defendants:

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Nit-

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List of Documents Exhibited for the Defendants:

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-aa-

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Nit\q)t- \s'' tr-uJ*rl Presiding Officer DRT-I, Bengaluru

Punjab National Bank v. Smt. Muniyamma

Case brief

What is this about?

What did the court decide?

Punjab National Bank v. Smt. Muniyamma

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

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Case details

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