Allowed

Bank of Maharashtra v. M/S Daily Janapravas Prop Sanjay Pralhad Bhokare

DRT7 Feb 2023OA/72/2022

Case brief

AI extract

What is this about?

Debt Recovery Tribunal allowed an original application filed by Bank of Maharashtra for recovery of a cash credit loan. The defendant appeared ex parte. The court reduced the claimed future interest rate and directed the sale of mortgaged properties if dues remain unpaid.

What did the court decide?

Defendant to pay Rs.1,68,65,683/ with future interest @9% per annum; properties mortgaged to secure dues; orientation certificate issued.

Bank of Maharashtra versus M/S Daily Janapravas Prop Sanjay… — Money Laundering | DRT (2023)

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Presented on: 20.12.2021 Registered on: 09.02.2022 Decided on: 07.02.2023 Duration: Y M D 1 1 18

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IN THE DEBTS RECOVERY TRIBUNAL AT PUNE (Before Shri Dilip G. Murumkar, Presiding Officer)

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ORIGINAL APPLICATION No.72/2022

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Bank of Maharashtra, Banking Company incorporated under the Banking Companies (Acquisition & Transfer of Undertakings) Act V of 1970 having its Head Office at, Lokmangal, 1501, Shivaji Nagar, Pune – 411 005 and Branch amongst other places at Vishrambaug Branch Sangli,

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… Applicant

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Versus

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M/s. Daily Janapravas Proprietor: Sanjay Pralhad Bhokare Age: Adult, Occupation: Business, R/at: CTS No.593, Commercial Complex, Library Building, Basement, Near Ram Mandir, Opp. Gymkhana, Khanbag, Sangli – 416 406

… Defendant

(OA No.72/2022)

Page 1 of 6

[SRD]

APPEARANCES
For the Applicant	Mr. Vallabh Kulkarni - Advocate
For Defendant	None(Exparte)

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TOTAL CLAIM AMOUNT –Rs.1,68,65,683 /-

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JUDGMENT (Delivered on 7^th February, 2023)

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The Applicant Bank has filed the present application for recovery of Rs.1,68,65,683/- (Cash Credit Loan) together with future interest thereon @14.50% per annum with monthly rests from 20^th December, 2021 till repayment/ realization of entire dues from the defendant.

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Brief facts of the application are as under:

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The defendant through its Proprietor approached the applicant Bank in need of financial assistance for business purpose and after due consideration, the applicant Bank on 26^th December, 2012 sanctioned and disbursed the Cash Credit facility of Rs. 1,50,00,000/- to him.

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The defendant executed necessary loan transaction and security documents and also created simple mortgage in respect of immovable property in favour of the applicant Bank as described in Schedule of the Mortgaged Property of the Original Application.

(OA No.72/2022)

Page 2 of 6

[SRD]

The applicant Bank states that the defendant from time to time requested the applicant Bank for extension of time for repayment under the Cash Credit facility. At that time the defendant executed Balance and Security Confirmation letter on 23^rd December, 2015 and 20^th December 2018 and acknowledged the balance standing at the foot of the Account and also acknowledged that the documents executed are in full force and still valid.

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It is contended by the applicant Bank that the operations under the Cash Credit Facility were not satisfactory and the defendant failed to serve the interest under the said facility. Therefore, the Cash Credit Loan account was classified as Non-Performing Asset on 26^th March, 2021.

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Thereafter, on 12^th August, 2021 the applicant Bank issued Recall Notice to the defendant calling upon him to pay the outstanding amount together with costs, charges and interest standing at the foot of Cash Credit loan account. Despite service of Notice, defendant failed and neglected to comply with the demand in the said Notice.

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Hence, this application is filed.

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Defendant failed to appear despite service of summons. Hence, the application proceeded ex parte against him vide

(OA No.72/2022)

Page 3 of 6

[SRD]

Order dated 10^th January, 2023 passed below the Application (Exhibit-01).

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

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The applicant Bank has produced on record the original loan transaction and security documents at Sr. Nos. AW-1/1 to AW-1/9 which corroborate the case of the applicant Bank.

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

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Since the defendant 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 @14.50% per annum with monthly rests. However, considering the facts of the present case, I am of the opinion that if future interest is granted @9% per annum (simple), it would be just and reasonable.

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Hence, I pass the following order: -

(OA No.72/2022)

Page 4 of 6

[SRD]

ORDER

(A) Original Application No.72/2022 is allowed with costs.

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(B) Defendant shall pay to the applicant Bank the sum of Rs.1,68,65,683/-(Rupees One Crore Sixty-Eight Lakhs Sixty-Five Thousand Six Hundred EightyThree only) with future interest @9% per annum from the date of filing of the Original Application i.e. 20^th December, 2021 till payment/realization of the amount mentioned in this operative order.

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a) All that piece and parcel of Commercial Shop Unit No. S-1 admeasuring 31.74 Sq. Mts., Shop Unit No. S-2 admeasuring 57.06 Sq. Mts. jointly admeasuring 80.85 Sq. Mts. and

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b) All that piece and parcel of Shop Unit No. S-3 admeasuring 10.97 Sq. Mts., Shop Unit No. S-6 admeasuring 22.13 Sq. Mts. and Shop Unit No. S-7 admeasuring 22.13 Sq. Mts. jointly admeasuring 66.59 Sq. Mts. both located on

(OA No.72/2022)

Page 5 of 6

[SRD]

Ground floor of the building known as “Commercial Complex with Library Building” constructed on plot property bearing CTS No. 593, situated at Khanbagh, Sangli and within the corporation limits Sangli, Miraj and Kupwad Corporation area,

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more particularly described in Schedule of the Mortgaged Property of the Original Application.

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

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(E) Issue Recovery Certificate.

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

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Place: Pune Date: 07.02.2023

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

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(OA No.72/2022)

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Page 6 of 6

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[SRD]

Bank of Maharashtra v. M/S Daily Janapravas Prop Sanjay Pralhad Bhokare

Case brief

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Bank of Maharashtra v. M/S Daily Janapravas Prop Sanjay Pralhad Bhokare

Case brief

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