DRT-II Chennai allowed Transfer Application filed by Canara Bank to recover outstanding loan of Rs.16.42 lakh against borrower and guarantors via sale of mortgaged properties on admission of evidence.
Recovery of Rs.16,42,972 with interest @ 12% p.a.; properties to be sold; Recovery Certificate issued for enforcement.
This page shows the compact analysis of this judgement. The full analysis — procedural history, issue-by-issue holdings with ratio and obiter, advocates, and paragraph-level evidence for every claim — is being added to the record in batches and will appear here when this judgement has been through it.
IN THE DEBT RECOVERY TRIBUNAL –II CHENNAI Dated this 30th day of November, 2023
PRESENT: SHRI T.RAJESH PRESIDING OFFICER
TA.No.388 OF 2022
(Old TA.No.396/2018–DRT-I, Chennai) (Old OA.No.344/2018–DRT-III, Chennai)
M/s Canara Bank, Represented by its Manager, Mr.R.Ramesh, S/o.Ramasamy, Madapalli Branch, No.4, Alangayam Main Road, Madapalli, Madavalam Post, Vellore – 635 653.
… Applicant.
Vs.
… Defendants.
Counsel for Applicant : Mr.S.Parthasarathy. Defendants : Absent.
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ORDER
of Debts and Bankruptcy Act seeking recovery of Rs.16,42,972/- with further interest from the date of filing of the TA and by allowing the same to be recovered from the defendants jointly and severally and also by sale of schedule mentioned properties.
The 1st defendant being the borrower and both the defendants being the guarantors had applied for and availed Farm Machinery Term loan for Rs.3,79,000/- for purchase of tractor from Applicant.
hypothecation over the tractor was marked as being the security for
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repayment of the loan. The defendants had also acknowledged the liabilities.
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Both these issues are gone into and decided together.
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penal interest. Since the lending is for agricultural related activities future and pendentelite interest is awarded @ 12% p.a. simple.
i) TA No.388 of 2022 stands allowed. ii) Applicant is permitted to recover an amount of Rs.16,42,972/(Rupees Sixteen Lakhs Forty Two Thousands Nine Hundred and Seventy Two only) with future and pendentelite interest @ 12% p.a. (simple) from the date of filing of the TA till realization from the defendants after giving credit to all the amount recovered and received during the pendency of the TA .
iii) The schedule mentioned property to be proceeded against and sold and if the sale proceeds are not sufficient the defendants and their other assets are liable to be proceeded against.
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(Dictated to PA, transcribed by him, corrected, signed and pronounced by me in the Open Court, this 30th day of November, 2023)
Sd./- (T. RAJESH) PRESIDING OFFICER DRT-II, CHENNAI
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2 issues framed by the court
Whether the applicant had succeeded in proving the transfer application claim against both defendants?
What orders are to be passed regarding the recovery of the claimed amount?
2 provisions across 1 enactments
M/s Canara Bank
Mr.R.Tamil Selvan
Mr.S.Arivalagan
T RAJESH
As recorded by the court registry
Judgements on the same questions, provisions and authorities, from every court
