Allowed

Punjab National Bank v. Mo. Akil Khan

DRT17 May 2023OA/842/2022

Case brief

AI extract

What is this about?

The Debt Recovery Tribunal allowed the bank's application for recovery of Rs. 28.43 lakhs sanctioned as overdraft and term loans. The court directed joint and several liability for defendants, awarded 10% interim interest, and authorized the sale of mortgaged and personal assets for debt realization.

What did the court decide?

Order for payment of Rs. 28,43,979.76 plus 10% interest; authorization to sell mortgaged and personal properties; issuance of Recovery Certificate.

Punjab National Bank versus Mo. Akil Khan — Banking and Recovery | DRT (2023)

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DEBTS RECOVERY TRIBUNAL : JABALPUR (fbr the States of Madhya I'radesh and Chhattisgarh)

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(Presiding Officer - Ilon'ble Shri Ram Niwas Patel)

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Original .,lp/tl ic'ctt ion,\ Lt. 812i2022

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Punjab National Bank, 9, Radhawallabh Market, Khargone- 45 l00l (M.P)

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. . ... Applicant

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Versus

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I Mo. AkilKhan, S/o Mo. Fajil Khan

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2 Smt. Rehmat Bee, W/o Mo. Fajil Khan

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(Both at- 74, Ward No.3, Pathanwadi Mohal la, Divcrsion l{oad, Khargone M.P 451001 ) Def'endants

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Counsel for the Applicant : Shri Sanjcev Dubcl', Adr,'ocate Defendants : lJx-partc

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JUDGMENT

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(Datcd : lTrr' Mar,2023)

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l. The Applicant-Bank has llled the presenl Original Application u/s l9 of Reco/ery o1'Dctrts and Bankruptcy Act on 28106122 against the I)el'endants lbr recovcr)' of I{s. 28,43,979.761- (Rupees'l'wenty liight Lac, Forty Three Thousand, Nine Hundred Sevenry Nine and Paisa Seventy Six only) along with interest ancl other relicls as statcd.

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The brief facts of thc casc are that on the request ol De l-endant No.1 and 2, thc Applicant []ank sanctiortcd Overdraft

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oA 842122

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Facility of Rs.12^{Lac on 27107118, Term Loan of Rs'9'90 Lac on} l5lo3llg and Term^{Loan (lbr |oad t|ansportation operatorand} other commercial^{vehicle) fbf purchaserof vchicloo1' I{s. 1.50} Lac on 05llollg.ln^{consideration of the aforesaid sanctions the} Del'endant No.l^{as borrowcr ancl Delcndant No.2 as guarantorin} addition to execution^{of loan and guat'anteedocttt.netlts have also} created equitable^{moftgage over thc immovableproperty,, i'e''} ShopsituatedatWarciNo.g,lllock-A.ShopNo'2,FirstFloor' Bus Stand Parisar,^{Khargone (M P) total area 110 sq'ft'} (l3.0lSQM); belonging to^{Del-endantNo'2' '[he Delendants} availed the credit^{{acilitics ancl also ercclttcd balance} confirmation^{letters lastlv on 07/08'21.'l'he accountbecame} irregular and the Defendants^{failcd to liquidatc thc outstanding} ducs despite initiation^{ol'actiott undcr the SecLrritisationAct by} the Applicant^{Bank.'l-he Applicant-Bankhas lelicd upon the} documents at Ex. A-l^{to A-19 which were provedby Shri} Rajcsh K. Bajaj, Chiel'Managcr.

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Despite service of^{notice' the Det'endantsneither} appeared nor filed^{written statcl.llcnt.They' lvcre proceeded ex-} pa(e vide order datcd 28llll22.^{['hcrc is therelbrc, no reasollt0} disbelieve the contentions^{of the Bank. Considering the facts of} the case, I opine that^{the Del-enclants are.lointl1, and severally} liable to pay the olaim^{antount together with irrtercstand costs.} I'he Applicant-Bank^{in its applicationhas claimedcontractual} rate of interest^{rvitli monthly rcsts. llowever, I l'ecl it tair and} reasonable to^{grant intelcst} Qll0%^{p.a. simplc pcndcntclitcand} future till realization^{of the dues. -the mortgagedproperty is}

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oA 842t2?

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liable to be sold for recovery of amount due along with the personal properlies and asscts ol'the l)cfendants.

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1'he Original Application is allowed and it is oldered as under-

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i) The Delendants do pay .iointly and scverally I{s. 28,43,979.761- (Rupees Trventy Eight Lac, F-orty Three -l'housand,, Nine Hundrc'd Seventy Nine and Paisa Sevcnry Six only) together with penclentelite ancl luture interest Qtl0% per annum simple from the date of liling of the OA, i.e., 28106122, with costs till its realization.

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ii) The Applicant Bank is entitled to sell the mortgaged as well as personal properties and assets of thc Def-endants for realization of its dues. ['he Defcndants are hereby' restrained by means of injunction from depleting, transferring, encumbering, alienating or in any wa1' dealing uith their propertics/assets without fir'st paying the clainr ol'the Applicant Ilank.

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iii) A Recovery Certillcate be issued u/s 19(22) of Recovery of Debts and []ankruptcy Act. I'hc applicant barrk may file a memo of cost rvithin 7 dals for preparing Itecovery Clertificate.

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Judgment pronounced in thc open court on this l7'l'Day of May,2023.

Punjab National Bank v. Mo. Akil Khan

Case brief

What is this about?

What did the court decide?

Punjab National Bank v. Mo. Akil Khan

Case brief

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What did the court decide?

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