Allowed

Bank of Maharashtra v. Ajit Garments Prop Shri. Ajit Sahebrao Thorat

DRT24 Nov 2023OA/86/2022

Case brief

AI extract

What is this about?

The Debts Recovery Tribunal allowed an application by Bank of Maharashtra for recovery of Rs.24.57 lakhs from borrowers and guarantors who failed to repay sanctioned loans. Court reduced penal interest and modified future interest rates.

What did the court decide?

Direct payment of Rs.24,57,602/- with future interest at 9% p.a. and authority to sell mortgaged property.

Bank of Maharashtra versus Ajit Garments Prop Shri. Ajit… — Banking and Recovery | DRT (2023)

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Presented on : 12.06.2018 Registered on : 17.02.2022 Decided on : 24.11.2023 Duration : Y M D 05 05 12

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IN THE DEBTS RECOVERY TRIBUNAL AT PUNE (Before Shri Dilip G Murumkar, Presiding Officer) ORIGINAL APPLICATION No. 86/2022.

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Bank of Maharashtra, 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 Ambegaon Budruk, Taluka Haveli, District Pune - 411046.

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.. Applicant

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Versus

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1 Shri Ajit Sahebrao Thorat, Adult, Occ. : Business, Prop. of Ajit Garments, R/o : Flat No. 28, Prajwal Residency, S. No. 48/46, Narhe Road,Manaji Nagar, Pune 411041.

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2 Shri Sachin Dadasaheb Thorat, Adult, Occ. : Business, R/o : Flat No. 8, Chandrama Sankul, S. No. 54/10/1/2, Narhe, Pune 411041.

(OA No.86/2022)

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3 Sou. Janhavi Sachin Thorat, Adult, Occ. : Business, R/o : Flat No. 8, Chandrama Sankul, S. No. 54/10/1/2, Narhe, Pune 411041.

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.. Defendants

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APPEARANCES

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

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TOTAL CLAIM AMOUNT –Rs.25,56,001/-

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JUDGMENT

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(Delivered on 24^th November, 2023)

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The Applicant Bank has filed the present application for recovery of the sum of Rs.25,56,001/- together with future interest @14.85% per annum with monthly rests from the date of Application till realization of the entire dues from the defendants.

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Brief facts of the application are as under :

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Defendant No. 1 is the Proprietor of Ajit Garments. Defendant Nos.2 and 3 are the guarantors. As per the loan application of defendant No.1, applicant Bank sanctioned and disbursed the Cash Credit of Rs.10,00,000/- and Term Loan of Rs.7,00,000/to him in July 2013. Defendant Nos.2 and 3 agreed to stand as guarantors for the said loan. The defendants agreed to pay interest @ 13.50% per annum.

(OA No.86/2022)

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In order to secure the aforesaid Cash Credit facility and Term Loan, the defendants executed necessary loan and security documents in favour of the applicant Bank. Defendant No.1 also executed composite deed of hypothecation and defendant Nos.2 and 3 executed deed of mortgage of Flat No.8 situated in C Wing, Chandrama Sankul, S.No. 54 Hissa No.10/1/2 and 10/1/4 of village Narhe, Taluka Haveli, District Pune in favour of the applicant Bank.

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The applicant Bank contended that the defendants committed defaults in payment of installments and failed to regularize the accounts. The applicant Bank has demanded payment from defendant by personal visits and telephonic calls and reminders, however, the defendants failed and neglected to pay the outstanding dues of the applicant Bank. Hence, this application is filed.

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The defendant failed to appear despite service of summons. Hence, the application proceeded ex-parte as per Order dated 19.01.2023 passed below Application (Exhibit-1).

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The applicant Bank has filed Claim Affidavit of evidence (Exhibit-6) of P.V. Gurunathan, Chief Manager of the applicant Bank, and has produced on record the original loan transaction

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documents at Sr. Nos. AW-1 to AW-13 alongwith list (Exhibit 7), which corroborates 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 Penal Interest of Rs.98,499/(77,769 + 20730), which cannot be granted and the same is required to be deducted from the total claim amount. Therefore, the total claim amount of Rs.25,56,001/- is reduced to Rs.24,57,602/-.

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The applicant Bank has claimed future interest @14.85% 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.

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Hence, I pass the following order :-

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ORDER

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(A) Original Application No.86/2022 is allowed with

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costs.

(B) Defendant Nos.1 to 3 either jointly or severally shall pay to the applicant Bank the sum of Rs.24,57,602/(Rupees Twenty Four Lakhs Fifty Seven Thousand Six Hundred Two only) along with future interest @9% per annum from the date of filing of the Original Application i.e. 12.06.2018 till full payment/realization of the amount mentioned in this operative order.

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(C) The aforesaid adjudicated amount is secured by the valid and subsisting mortgage of immovable property i.e. Flat No.8 situated in C Wing, Chandrama Sankul, S.No. 54 Hissa No.10/1/2 and 10/1/4 of village Narhe, Taluka Haveli, District Pune more particularly described in Para No. 5.8 of the Original Application.

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(D) The applicant Bank is entitled to sell the mortgaged property 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

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Judgment and Recovery Certificate to the applicant and defendant.

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Place : Pune Date : 24.11.2023

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

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(OA No.86/2022)

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Bank of Maharashtra v. Ajit Garments Prop Shri. Ajit Sahebrao Thorat

Case brief

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Bank of Maharashtra v. Ajit Garments Prop Shri. Ajit Sahebrao Thorat

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