Allowed

State Bank of India v. Sandeep Malhotra

DRT5 Feb 2024OA/1042/2022

Case brief

AI extract

What is this about?

Debts Recovery Tribunal allowed an application by State Bank of India for recovery of Rs. 26,47,635/- plus future interest after finding no reason to disbelieve the bank's evidence due to the defendant's absence. The court adjusted the claimed amount by deducting penal interest and modified future interest rate to 9%.

What did the court decide?

Defendant directed to pay Rs. 26,47,635/- plus future interest @9% p.a.; Issuance of Recovery Certificate; Permission to sell mortgaged property.

State Bank of India versus Sandeep Malhotra — Contract and Commercial Disputes | DRT (2024)

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Presented on : 27.07.2022 Registered on : 27.07.2022 Decided on : 05.02.2024 Duration : Y M D 01 06 09

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IN THE DEBTS RECOVERY TRIBUNAL AT PUNE (Before Shri Dilip G Murumkar, Presiding Officer) ORIGINAL APPLICATION No. 1042/2022.

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State Bank of India,

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A Banking Company constituted under the State Bank of India Act, 1955 and having its Corporate Office at State Bank Bhavan, Nariman Point, Madam Cama Road, Mumbai 400021 and its branch at – Dasve, Lavasa where facility was granted and migrated to Stressed Assets Recovery Branch, Second Floor, Wardhaman, Seven Loves Chowk, Plot No. 321/A/3, Mahatma Phule Peth, Pune 411042.

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.. Applicant

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Versus

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Mr. Sandeep Malhotra s/o Tarvinder Kumar,

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R/o : Flat No. 951, Vikas Kunj, Vikas Puri, New Delhi 110018.

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.. Defendant

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APPEARANCES

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For Applicant	Advocate Sudha Koloti.
For Defendant	Exparte.

(OA No. 1042/2022)

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TOTAL CLAIM AMOUNT –Rs.26,72,319/-

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JUDGMENT (Delivered on 05^th February, 2024)

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The Applicant Bank has filed the present application for recovery of the sum of Rs.26,72,319/- together with future interest @9.75% per annum from the date of Application till realization of the entire dues from the defendant.

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Brief facts of the application are as under:

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As per the loan application dated 31.07.2015 of the defendant, the applicant Bank sanctioned and disbursed two facilities ie. Home Loan of Rs.40,00,000/- and Funding of Life Insurance Cover Loan of Rs.1,02,000/to the defendant vide Arrangement Letter dated 31.10.2015. The applicable rate of interest for the said facilities was @9.75% per annum with monthly rests.

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In order to secure the aforesaid two facilities, the defendant executed necessary loan and security documents along with deed of mortgage of Apartment bearing No. 04, 4^th Floor of Wing 7, Hill Shore, Lot 42, West Lakefront Street Road, Survey No. 20 Hissa No. 0, Survey No. 66, Hissa No.1 of village Mugaon, Taluka Mulshi, District Pune in favour of the

(OA No. 1042/2022)

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applicant Bank.

The applicant Bank contended that the defendant committed defaults in payment of installments and failed to regularize the accounts. Therefore, on 30.06.2022, the applicant Bank issued legal Notice to the defendant. Despite service of Notice, the defendant failed and neglected to pay the outstanding dues of the applicant Bank.

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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 10.01.2024 passed below Application (Exhibit-1).

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The applicant Bank has filed Claim Affidavit of evidence (Exhibit-6) of Smt. Padmaja Pol, Chief Manager of the applicant Bank, and has produced on record the original loan transaction documents at Sr. Nos. AW-1 to AW-16 along with 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

(OA No. 1042/2022)

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reliefs as claimed.

The applicant Bank has claimed Penal Interest of Rs.24,684/-, which cannot be granted and the same is required to be deducted from the total claim amount. Therefore, the total claim amount of Rs.26,72,319/- is reduced to Rs.26,47,635/-.

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The applicant Bank has claimed future interest @9.75% per annum. 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.1042/2022 is allowed with costs.

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(B) The defendant shall pay to the applicant Bank the sum of Rs.26,47,635/- (Rupees Twenty Six Lakhs Forty Seven Thousand Six Hundred Thirty Five only) along with future interest @9% per annum from the date of filing of the Original Application i.e. 27.07.2022 till full payment/realization of the amount mentioned in this operative order.

(OA No. 1042/2022)

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valid and subsisting mortgage of Apartment bearing No. 04, 4^th Floor of Wing 7, Hill Shore, Lot 42, West Lakefront Street Road, Survey No. 20 Hissa No. 0, Survey No. 66, Hissa No.1 of village Mugaon, Taluka Mulshi, District Pune, more particularly described in the Para No. 5.6 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 Judgment and Recovery Certificate to the applicant and defendant.

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Place : Pune Date : 05.02.2024

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

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(OA No. 1042/2022)

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State Bank of India v. Sandeep Malhotra

Case brief

What is this about?

What did the court decide?

State Bank of India v. Sandeep Malhotra

Case brief

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What did the court decide?

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