Allowed

Punjab National Bank v. Khairuz Suraliwala

DRT6 Sept 2023TA/58/2023

Case brief

AI extract

What is this about?

The Tribunal allowed the original application filed by Punjab National Bank for recovery of an education loan dues jointly and severally from three defendant-applicants, directing payment with interest and issuance of a recovery certificate.

What did the court decide?

Defendants directed to pay Rs.14,18,461.88 with interest jointly and severally within 60 days; Recovery Certificate issued.

Punjab National Bank versus Khairuz Suraliwala — Banking and Recovery | DRT (2023)

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TA 58 of 2023

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Registered on :18.07.2017

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Decided on : 06.09.2023

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IN THE DEBT RECOVERY TRIBUNAL-I MUMBAI

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TRANSFER ORIGINAL APPLICATION NO. 58 of 2023

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PUNJAB NATIONAL BANK ) A Bank constituted Under the Banking ) Companies (Acquisition and Transfer of Under- ) Takings Act, 1970, having its Head Office at 7, ) Bhikhaiji Cama Place, New Delhi and also having) One of its Branch Office at Bandra (W), Mumbai ) 4000150 and another Asset Recovery ) Management Branch Office at- PNB Pragati ) Tower, 1^st Floor, Plot No. C-9, G-Block, Bandra ) Kurla Complex, Bandra (East), Mumbai- 4000051)

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… APPLICANT

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VERSUS

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KHAIRUZ ZARIR SURALIWALLA )

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MRS. MAHARUKH Z. SURALIWALLA ) 3. ZARIR R. SURALIWALLA ) All are residing at: ) 402/B, Rizvi Mahal, 106, Waterfield Road) Bandra (W), Mumbai 400 050 ) ...DEFENDANTS ____________________________________________________________ Counsel for the Applicant : Adv. John Daniel Counsel for the Defendants : Ex-parte

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J U D G M E N T

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The Original Application has been filed by the Applicant against the Defendants for recovery of Rs.14,18,461.88 (Rupees Fourteen Lakhs Eighteen Thousand Four Hundred Sixty One and paise Eighty Eight

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Page 1 of 4

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TA 58 of 2023

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only) with further interest thereon at the rate of 12.35% per annum (compounding) with monthly rests and penal interest @ 2% (simple) from the date of filing of the present OA till its realization.

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Facts as succinctly set out in the O.A./T.A are that the Defendant No.1 & 2 approached the Applicant Bank along with an application dated 13.04.2006 for a term loan (Education) facility for Rs. 7,50,000/for Defendant No. 1’s Education purpose. The said request was considered by the Applicant Bank and on 15.04.2006 the Applicant Bank sanctioned the Term Loan (Education) facility to the Defendant No.1 & 2 for Rs.7.50 lakhs with interest @11.75% p.a. with monthly rests.

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In consideration of sanction the said loan, the Defendants executed the various loaning and security documents which includes Demand Promissory note dated 15.04.2006; Agreement for Education Loan dated 15.04.2006; Supplementary Agreement (Education Loan) dated 18.12.2006 and Deed of Guarantee dated 15.04.2006 executed by Defendant No.3.

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It is stated that the Defendants executed the Balance and Security Confirmation Letters dated 15.03.2009 and 06.02.2012 and on 10.06.2014 and acknowledged their liability.

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However, the Defendants failed to adhere the financial discipline and neglected to make the payment of the outstanding dues. Thereafter, the Applicant issued Recall Notice dated 09.03.2017 and called upon the Defendants to pay the outstanding dues but they failed to pay the dues. Hence, the present OA has been filed.

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Page 2 of 4

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TA 58 of 2023

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Notices were issued to the Defendants. Despite service, no one appeared for the Defendants thus, they were proceeded ex-parte vide order dated 01.03.2018.

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The Applicant Bank has filed and produced all the relevant documents and original documents alongwith their claim affidavit filed through their Manager A. Ramchandran.

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I have heard the Ld. Counsel for the Applicant and gone through the record.

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The witness of the Applicant Bank has fully corroborated the averments made in the OA/TA, even otherwise the whole case of the Applicant Bank is based on documents and the witness has duly proved all these documents as against the Defendants. In my view there is no question of disbelieving the evidence led by the Applicant Bank and the Applicant Bank has proved its case beyond reasonable doubt. The liability of Defendant No.1 to 3 are joint and several.

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In the light of above discussions, the Original Application by the Applicant Bank deserves to be allowed against the Defendant No.1 to 3.

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O R D E R

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(i) The present O.A. is hereby allowed and Defendant No.1 to 3 are hereby directed to pay to the Applicant Bank, jointly and severally, within a period of 60 days, a sum of Rs.14,18,461.88 (Rupees Fourteen Lakhs Eighteen Thousand Four Hundred Sixty One and paise Eighty Eight only) with further interest thereon at the rate of 12.35% per annum

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Page 3 of 4

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TA 58 of 2023

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(compounding) with monthly rests and penal interest @ 2% (simple) from the date of filing of the present OA till its realization.

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(ii) Failing which the aforesaid amount shall be recovered from the sale of mortgaged properties, as well as other personal movable and immovable assets of the Defendants.

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(iii) Defendants are hereby directed not to deal with their properties till further direction of Ld. Recovery Officer.

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(iv) Defendants shall also pay the cost and expenses of the OA/TA.

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(v) Recovery Certificate be issued forthwith and be sent to the Recovery Officer of this Tribunal.

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Copy of this order be sent to the parties as per rules.

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File be consigned to record.

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Place: Mumbai. (Dr. Rekha G. Dhakar) Date : 06.09.2023 Presiding Officer, DRT-1, Mumbai

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Tjs/-

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Page 4 of 4

Punjab National Bank v. Khairuz Suraliwala

Case brief

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Punjab National Bank v. Khairuz Suraliwala

Case brief

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