A Debt Recovery Tribunal allowed the bank's original application for recovery of a loan of Rs 2.06 crore. The court directed payment of principal, interest, and costs, and authorized the sale of mortgaged and personal assets.
Defendants to pay Rs 2,06,94,440.48 with interest; mortgaged and personal properties liable to be sold; Recovery Certificate to be issued.
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.
DEBTS RECOVERY TRIBUNAL : JABALPUR
(for the States of Madhya Pradesh and Chhattisgarh)
(Presiding Officer - Hon'ble Shri Ram Niwas Patel)
Originol Applicotion No. - 1242/22
Canara Bank, S.M.E. Branch, Nandini Road, Bhitai (C.G.)
..... Appticant
Versus
(2 &. 3 R/o MIG-ll, Chhattisgarh Housing Board Cotony, lndustriat Estate, Bhitai, C.G.)
Defendants
CounseI for the Appticant : Shri A[ok Mishra, Advocate
Defendants : Ex-parte
JUDGMENT
(Dated : 02"d August, 2024)
2
oA 1242t22
the Defendant No.-1 throughits Partners as borrower and DefendantNo.-2 &.3 in their individuat capacityas guarantorsin addition to executionof loan documents have also created equitabtemortgage over the immovable property, i.e., Factory Land and Buitding situated at P[ot No.-4Land 4L-1 , Heavy lndustriaI Area, Hatkoj, Bhitai, areameasuring 10,000 sq.ft.; betonging to Defendant No.-1. The Defendantsavailedthe credit facilities from time to time and atso executed Acknowledgment ofDebt & Security tastty on 14106121 but failed to liquidate the outstandingdues despite initiation of action under the Securitisation Act by theApplicantBank.The Appticant-Bank has retied upon the documents at Ex. A-1 to A'42whichwere proved by Shri Chandrakant Tandekar, Manager.
i) The Defendants do payjointty and severally Rs. 2,06,94,440.48 (Rupees Two Crore, Six Lac, Ninety Four Thousand, Four Hundred Fourty and Paisa Fourty Eight onty) together withpendentelite and future interest @11.15%per annumin opencash credit limitaccount and interest @9.50% p.a. in all the term [oan, term toan (GECL) and term toan (GECL'EXTN) accounts simple from the date of fiting of the OA, i.e.,30109/22, with costs ti[[ its reatization.
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ii) The Applicant Bank is entitled to sell the mortgaged aswe[[ as personal properties and assets of the Defendants for reatization of its dues' The Defendants are hereby restrained by means ofinjunctionfrom depteting, transferring, encumbering, atienating orin any way deating with their properties/ assets without firstpaying thectaim of the AppticantBank'
iii) A Recovery Certificate be issued uls19(22)of Recoveryof Debts and Bankruptcy Act. The appticantbank may file a memo of cost within 7 days forpreparing Recovery Certificate.
Judgment pronounced in the opencourt on this 02nd Day of A U ust,2024.
I (Ra Niwa atet ) Presidin icer
2 issues framed by the court
Whether the application for recovery of dues with interest and costs under the Recovery of Debts and Bankruptcy Act is maintainable.
Whether the mortgaged property is liable to be sold for recovery of the amount due.
2 provisions across 1 enactments
Canara Bank, S.M.E. Branch, Nandini Road, Bhitai (C.G.)
Shree Bataji Industries, Through Shri Jaikishan Agrawal and Shri Sanchit Agrawat
Shri Jaikishan Agrawal
Shri Sanchit Agrawat
Shri Ram Niwas Patel
As recorded by the court registry
Judgements on the same questions, provisions and authorities, from every court
