Allowed

State Bank of India v. M/S Deepak Copy House

DRT20 Aug 2024OA/110/2022

Case brief

AI extract

What is this about?

The Debts Recovery Tribunal allowed the State Bank of India's application for recovery of Rs. 28,37,146.68 and interest against a proprietorship firm and its guarantor, who were proceeded ex parte for defaulting on a term loan and cash credit facility secured by a mortgage.

What did the court decide?

Application allowed for recovery of Rs. 28,37,146.68 with interest @11.50% p.a. Order imposed costs. Recovery Certificate issued. Recovery Officer directed to distribute sale proceeds.

State Bank of India versus M/S Deepak Copy House — Contract and Commercial Disputes | DRT (2024)

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IN THE DEBTS RECOVERY TRIBUNAL-I, CHANDIGARH

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BEFORE: A S NARANG, PRESIDING OFFICER

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OA No: 110 of 2022 Date of Institution: 07.01.2022 Date of Decision: 20.08.2024

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SBI, having its Local Head Office at Sector 17-A, Chandigarh and having its branch amongst other places at Main Bazar, Nalagarh, District Solan, Himachal Pradesh-174101.

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……..Applicant

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Vs.

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M/s Deepak Copy House, a Proprietorship Firm at Village Bhanglan, Post Office Dabhota, Tehsil Nalagarh, District Solan, Himachal Pradesh-174101.

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Smt. Babli Devi W/o Sh. Jaipal, Proprietor of M/s Deepak Copy House, R/o Village Bhanglan, Post Office Dabhota, Tehsil Nalagarh, District Solan, Himachal Pradesh-174101.

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Sh. Ram Rakha S/o Sh. Poholo, R/o Village Bhanglan, Post Office Dabhota, Tehsil Nalagarh, District Solan, Himachal Pradesh-174101.

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……….Defendants

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Advocates

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Sh. Vivek Verma, Counsel for the applicant bank. Defendants- Ex parte.

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OA for the Recovery of Rs.28,37,146.68p with interest @11.50% per annum with monthly rests from the date of filing the present application i.e. 07.01.2022.

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ORDER

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SBI (Bank) has filed this application under Section 19 of the Recovery of Debts and Bankruptcy Act, 1993 (RDB Act) for the recovery of Rs.28,37,146.68p with interest against M/s Deepak Copy House And Others (defendants).

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Bank’s case is that on 19.06.2017, it had granted Term Loan Facility of Rs.12.00 lacs and Cash Credit Limit of Rs.7.00 lacs, totaling Rs.19.00 lacs to defendant no.1 through its proprietor defendant no.2 for business purpose. Defendant no.3 stood as guarantor vide executed

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guarantee agreement dated 19.06.2017 (Exhibit A/4). To secure the loan, Defendant no.3 had mortgaged his immovable property (fully detailed in para No.3A of the application). The said limits were chargeable to interest @11.50% per annum with monthly rests. On 06.01.2022, a sum of Rs.28,37,146.68p was due from the defendants. Despite repeated requests, defendants did not make the repayment. Hence, this application.

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On 31.03.2022, summonses were sent to the defendants by registered post, which were duly served. However, defendants did not put in appearance. Vide order dated 29.08.2023, they were proceeded ex parte .

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In order to prove its case, the Bank has placed on record the affidavit of Mr. H. S. Verma, Chief Manager along with the loan and security documents and marked them as Exhibit A-1 to A-14.

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I have perused the evidence on the record. I am of the considered view that the Bank has proved its case that it had advanced the loan of Rs.19.00 lacs and on 06.01.2022, a sum of Rs.28,37,146.68p was due.

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Accordingly, the application of the bank for the recovery of Rs.28,37,146.68p (Rupees Twenty Eight Lacs Thirty Seven Thousand One Hundred Forty Six And Paisa Sixty Eight Only) with interest @11.50% per annum with monthly rests from the date of filing the present application i.e. 07.01.2022, till the date of payment is hereby allowed with costs. The liability of all the defendants would be joint and several. Bank can recover its dues by the sale of mortgaged property, fully detailed in para No.3A of the application as well as from the personal movable and immovable property(ies) of the defendants.

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Pending IAs, if any, stand disposed of.

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Recovery Certificate be issued accordingly. 9. Parties are directed to appear before Recovery Officer on 23.09.2024 , who is directed to distribute the sale proceeds of the mortgage property as per the provisions of Section 19(20-AB) of the Act . 10. A Copy of this order along with Recovery Certificate be sent to the Recovery Officer as well as the parties. Pronounced in the open court. (A S Narang) Dated: 20.08.2024 Presiding Officer DRT-1, Chandigarh

State Bank of India v. M/S Deepak Copy House

Case brief

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State Bank of India v. M/S Deepak Copy House

Case brief

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