Allowed

H.D.F.C. Bank Limited v. Smt. Paramjit Kaur and Others

DRT22 Feb 2024OA/1429/2022

Case brief

AI extract

What is this about?

In an ex-parte recovery application, the Tribunal declared the respondents jointly and severally liable to pay the applicant bank a principal sum of Rs. 28,09,568/- along with simple interest at 10% p.a. from the date of filing.

What did the court decide?

Recovery of Rs. 28,09,568/- payable jointly and severally with simple interest at 10% p.a. and a Recovery Certificate is issued.

H.D.F.C. Bank Limited versus Smt. Paramjit Kaur and Others — Banking and Recovery | DRT (2024)

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DEBTS RECOVERY TRIBUNAL-III, CHANDIGARH

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ORIGINAL APPLICATION NO.1429/2022

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PRESIDED OVER BY MRIDULESH KUMAR SINGH

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DATE OF INSTITUTION: 21.07.2022

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DATE OF DECISION: 22.02.2024

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H.D.F.C. Bank Limited, a banking company, carrying on the banking business under the Banking Regulation Act, 1949, incorporated under the Companies Act, 1956 and having its Registered Office at HDFC Bank House, Senapati Bapat Marg, Lower Parel, Mumbai-400013, whereas branch office amongst the other places on at “Jagraon Branch District Ludhiana (Punjab)”, through Ms. Pooja Arora, Senior Manager (Agriculture Legal), HDFC Bank Ltd, Ludhiana Branch, District Ludhiana (Punjab), being Power of Attorney Holder of Applicant Bank

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……..Applicant

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Versus

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Smt. Paramjit Kaur W/o Sh. Kulwinder Singh R/o House No. 94, Hambarha, Tehsil Ludhiana West, District Ludhiana (Punjab)- 141110.

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Sh. Mohan Singh S/o Sh. Arjan Singh, since deceased represented through his legal heirs/representatives detailed as under:

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(A) Smt. Harjinder Kaur W/o Sh. Mohan Singh R/o House No. 94, Hambarha, Tehsil Ludhiana West, District Ludhiana (Punjab)- 141110

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(B) Sh. Kulwinder Singh S/o Sh. Mohan Singh R/o House No. 94, Hambarha, Tehsil Ludhiana West, District Ludhiana (Punjab)141110.

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(C) Ms. Amandeep Kaur D/o Sh. Mohan Singh R/o House No. 94, Hambarha, Tehsil Ludhiana West, District Ludhiana (Punjab)141110

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3. Sh. Kulwinder Singh S/o Sh. Mohan Singh R/o House No. 94, Hambarha, Tehsil Ludhiana West, District Ludhiana (Punjab)-141110 (Borrowers)
4. Sh. Shingara Singh S/o Sh. Gurdiyal Singh R/o House No. 5, Hambarha, Tehsil Ludhiana West, District Ludhiana (Punjab)-141110 (Guarantor) ….……Defendants Advocates: Argued by Sh. Saurabh Bhardwaj, Advocate for the applicant Defendants are ex-parte FINAL ORDER
1. Present Original Application was instituted by the applicant bank under Section 19 of the Recovery of Debts Due to Banks and Financial
Institutions Act, 1993, against the defendants for recovery of
Rs.28,09,568/- (Rupees Twenty Eight Lacs Nine Thousand Five Hundred and Sixty Eight only). The Original Application has been filed through
Ms. Pooja Arora, Senior Manager (Agriculture Legal)of the applicant bank, who is competent to institute the Original Application vide General Power of Attorney dated 16.12.2020, which isAnnexure A1to this OA.
2. The brief facts of the OA are that the defendant Nos.1, 2(since deceased) and 3 had approached the applicant bank for the grant of CC
Limit of Rs.34.00 Lacs and Term loan of Rs. 6.00 Lacs vide Loan
application dated 06.12.2013, which isAnnexure A2to this OA. Defendant No. 4 stood as a guarantor for repayment of the loan amount. 3. The applicant Bank sanctioned the CC Limit of Rs.20.00 Lacs and Term loan of Rs.10.00 Lacs vide Sanction Letters dated 09.01.2014,
which areAnnexures A3 and A4to this OA and the terms and conditions were duly accepted by the defendants.

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Defendant No.2 (since deceased) had mortgaged his immovable properties i.e. total land measuring 31 Kanal 14 Marla situated at Village Hambran, Tehsil and District Ludhiana, Punjab vide Registered Mortgaged Deed bearing Vasika No.9592 dated 06.01.2014 along with its translation, which is Annexure A11 to this OA. Documents executed: - Demand Promissory Notes, Agreement for Term Loan cum Guarantee cum Hypothecation and Agreement for Overdraft/Cash Credit cum Guarantee cum Hypothecation all dated 21.01.2014, which are Annexures A5 to A10 to this OA; Legal Notice dated 14.03.2022 along with its original postal receipts, which is Annexure A12 to this OA and Statements of Accounts with Certificate, which are Annexures A13 and A14 to this OA. 5. The loan accounts became irregular and were classified as NPA and after adjusting debit and credit entries in loan accounts there was a debit of Rs.28,09,568/-, which is recoverable and the defendants were served recall notices but they did not repay the outstanding amount, therefore, the applicant bank requested to accept the application and to issue Recovery Certificate accordingly. 6. The defendants were served notices to appear before this Tribunal but no one appeared on behalf of defendants and they were proceeded ex-parte on 29.01.2024. 7. In support of the OA, affidavit of Ms. Pooja Arora, Senior Manager (Agriculture Legal), HDFC Bank Limited h as been filed. 8. Heard ex-parte arguments and perused record. 9. It was argued by learned counsel that in view of the documentary evidence brought on record which had gone unrebutted, the applicant bank had proved its case. From the perusal of all the Annexures A1 to A14 to this OA, it is proved that the defendants approached applicant bank for availing of the loan facilities which were granted to them and for that they had executed all the relevant documents in favour of the bank. The, then defendants failed to pay back the loan as per terms and

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conditions of the agreement between the parties. Subsequently, accounts of the defendants were classified as NPA. From the documentary evidence brought on record, it is proved that applicant bank is entitled to recover a sum of Rs.28,09,568/- (Rupees Twenty Eight Lacs Nine Thousand Five Hundred and Sixty Eight only) along with interest from the present defendants, jointly and severally, from the date of filing of the present Original Application till realization of the account.

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In so far as pendent elite and future rate of interest is concerned, the applicant bank in relief clause has claimed interest @11.50%p.a. plus @2%p.a. penal interest in both facilities with half yearly rests from 05.03.2022 till the realization.

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The Tribunal is of the considered opinion that sometimes in appropriate cases the prerogative of mercy is the brightest jewel in the crown of the Judge. Keeping in view the facts and circumstances of the instant case including nature of the mortgaged property, undertaking of the defendants, quantum of loan and prevalent market rates of interest which have gone drastically downhill in yester years, while exercising the discretion vested in this Tribunal, this Tribunal deems it just and appropriate to grant uniform simple interest @10.00%p.a. in the loan account from the date of filing of the OA till realization of the amount ordered vide this final order. It is ordered accordingly.

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In the result, the application is allowed declaring that the defendants are liable to pay to the applicant a total sum of Rs.28,09,568/- (Rupees Twenty Eight Lacs Nine Thousand Five Hundred and Sixty Eight only) jointly and severally, with costs, current and future simple interest @10.00%p.a. in the loan account from the date of filing of OA till the date of realization of the amount. Accordingly, the applicant bank shall be entitled to recover aforesaid amount from the sale of hypothecated/mortgaged properties of the defendants in execution proceedings if not sold earlier under the provisions of the SARFAESI Act,

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If the dues of the bank still remain unsatisfied, it shall be entitled to recover the same by attachment and sale of personal assets of the defendants. The applicant is at liberty to enforce the claim through due process of law. 12. Any other application pending stands disposed of. 13. Issue Recovery Certificate accordingly. 14. Parties to appear before Learned Recovery Officer of this Tribunal on 08.03.2024. 15. Copy of this order be given dasti to the applicant bank and be sent to defendants through registered/speed post and this order be also uploaded on the official website of this Tribunal and record be consigned. Pronounced by me in the open Tribunal. Dated: 22.02.2024

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(MRIDULESH KUMAR SINGH) Presiding Officer, DRT-III, Chandigarh

H.D.F.C. Bank Limited v. Smt. Paramjit Kaur and Others

Case brief

What is this about?

What did the court decide?

H.D.F.C. Bank Limited v. Smt. Paramjit Kaur and Others

Case brief

What is this about?

What did the court decide?

What the court decided

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