The Debts Recovery Tribunal allowed an application for issuance of a Recovery Certificate. The court found the bank proved the loan disbursement and default, permitting realization of the outstanding principal with simple interest at 12% per annum.
Issuance of Recovery Certificate; Permission to realize Rs.22,26,656.87 with 12% p.a. simple interest; Award of costs.
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.
BEFORE THE DEBTS RECOVERY TRIBUNAL –II AT CHENNAI
Dated this 22nd day of September, 2023
PRESENT: SHRI T. RAJESH
PRESIDING OFFICER
TA No.847 of 2023
(Originally filed before DRT-I, Chennai as OA No.38/2021 and thereafter
transferred to this Tribunal and renumbered as TA No.847 of 2023)
Canara Bank Formerly Syndicate Bank Aminjikarai Branch No.6/20, Govindan Street, Ayyavoo Colony Aminjikarai, Chennai – 600 029 Rep. by its Chief Manager and Principal Officer …Applicant
Versus
Prop. of M/s Sri Balaji Travels No.4, Pattammal Street, Gangai Nagar Kallikuppam, Ambattur Chennai – 600 053 …Defendants
Counsel for the Applicant Bank : M/s P. Sreenivasulu Counsel for Defendants : Ex-parte
FINAL ORDER
1
date of filing of the OA till the date of realisation along with costs of the application and for sale of schedule properties.
2
These issues are considered together.
3
evidence are all found admissible. The proof affidavit of the applicant bank remained unchallenged and rebutted. Therefore, on careful consideration of proof affidavit along with exhibits filed on behalf of the applicant bank, besides the material placed before the Tribunal, the Tribunal is satisfied that the applicant bank has successfully proved the OA claim against the defendants. Further, the statement of accounts in respect of the loan account produced and certified under the Banker’s Book Evidence Act, clearly indicates that the amount claimed by the applicant is due from the defendant. It is clear from the statement of accounts that penal interest is not capitalized.
4
jointly and severally, from the date of filing of the OA till date of realization after deducting all the amounts received by them during the pendency of OA, and also by selling the available hypotheca and the other assets of the defendants.
(Dictated to PS, transcribed by him, corrected, signed and pronounced by me in Open Court on this the 22nd day of September, 2023)
Sd/(T. RAJESH ) PRESIDING OFFICER DRT-II, CHENNAI
5
3 issues framed by the court
Whether the applicant bank succeeded in proving the liability of the defendants for the outstanding loan amount?
What order as to the cost of the proceedings needs to be passed?
Whether the applicant bank is entitled to interest at a reduced rate given the business nature of the loan?
1 provisions across 1 enactments
Canara Bank
M/s Sri Balaji Travels
Mr. S. Balaji
T. RAJESH
As recorded by the court registry
Judgements on the same questions, provisions and authorities, from every court
