Debts Recovery Tribunal allowed an ex-parte original application filed by a bank for recovery of Rs. 27,29,465 owed to it by a borrower who failed to repay term loans secured by commercial vehicles. The court reduced the claimed interest rate.
Recovery of Rs.27,29,465 with simple interest @8% per annum from the date of filing till realization.
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DEBTS RECOVERY TRIBUNAL-2, CHANDIGARH, PRESIDED OVER BY M.M. DHONCHAK
ORIGINAL APPLICATION NO. 1269/2023
DATE OF INSTITUTION: 06.09.2023
DATE OF DECISION: 19th DAY OF JANUARY 2024
ICICI Bank Limited , a body corporate, incorporated under the Companies Act, 1956 and Bank within the meaning of the Banking Regulation Act, 1949, having its registered office at ICICI Bank Tower, Near Chakli Circle, Old Padra Road, Vadodara-390007 and its corporate office at ICICI Bank Towers, Bandra Kurla Complex, Mumbai-400051 and Branches all over India and one of its Branch situated at 1st Floor, Near N. K. Sharma Office, Chandigarh-Ambala National Highway, Zirakpur, District S.A.S. Nagar, Punjab, through its Authorised Signatory, Sh. Mohammad Vajid
…….....Applicant
VERSUS
Sh. Suresh Kumar s/o Sh. Mahabir Singh r/o House No. 176, Garhi-Chhaju, 73 Jaurasi, District Panipat, Haryana-132103 (PAN No.CEGPK5885K)
………… Defendant
Argued by: Sh. Rahul Garg proxy counsel for Sh. D.K. Singal counsel for the applicant bank Defendant ex parte vide order dated 27.10.2023
FINAL ORDER
Present Original Application was instituted by the applicant bank under Section 19(1) of the Recovery of Debts and Bankruptcy Act, 1993 (hereinafter referred to as ‘the Act’ for brevity), against the defendant for recovery of Rs.27,29,465/(Rupees Twenty Seven Lakh Twenty Nine Thousand Four Hundred and Sixty Five only) . It has been filed through Sh. Mohammad Vajid, Authorised Signatory of the applicant bank
OA/1269/2023 ICICI BANK LTD. V. SURESH KUMAR 2
stated to be competent to institute the Original Application vide power of attorney, Annexure-A1 (copy).
OA/1269/2023 ICICI BANK LTD. V. SURESH KUMAR 3
recall notice dated 28.03.2022, Annexure-A11 (copy), but to no avail.
OA/1269/2023 ICICI BANK LTD. V. SURESH KUMAR 4
the defendant had executed all the relevant documents as stated above in favour of the applicant bank. Unfortunately, the defendant failed to pay back the loan as per terms and conditions of the agreement executed between the parties. From the documentary evidence brought on record, it is proved that the applicant bank is entitled to recover a sum of Rs.27,29,465/- (Rupees Twenty
Seven Lakh Twenty Nine Thousand and Four Hundred and Sixty Five only) from the defendant.
This Tribunal is of the considered opinion that sometimes in appropriate cases the prerogatives of mercy and magnanimity are the brightest jewels in the crown of the Judge. Keeping in view the facts and circumstances of the instant case including the Pandemic Covid-19 affecting businesses, purpose of loan, i.e. purchase of commercial vehicles make TATA 2518 and TATA LPT 4825, quantum of loan, prevalent market rates of interest which have gone drastically downhill in yesteryears, while exercising the discretion vested in this Tribunal, this Tribunal deems it just and appropriate to grant uniform simple interest @8% per annum from the date of filing of the OA till realisation of the amount ordered vide this order. It is ordered accordingly.
OA/1269/2023 ICICI BANK LTD. V. SURESH KUMAR 5
Pronounced in the open Tribunal (M.M. Dhonchak)
2 issues framed by the court
Whether the original application filed under Section 19(1) for recovery of outstanding loan amount should be allowed.
Whether the rate of interest claimed by the bank or a reduced rate under judicial discretion should be granted.
1 provisions across 1 enactments
ICICI Bank Limited
M.M. Dhonchak
As recorded by the court registry
Judgements on the same questions, provisions and authorities, from every court
