Allowed

Central Bank of India v. Ms Burburik International

DRT2 Sept 2024OA/15/2024

Case brief

AI extract

What is this about?

The Debt Recovery Tribunal allowed the applicant bank's original application for recovery of dues. The respondent failed to appear. The court ordered payment of the principal amount, reduced interest rates, and issuance of a recovery certificate under the relevant Act.

What did the court decide?

Respondent directed to pay Rs. 61,38,813.73 with adjusted interest; Recovery Certificate to be issued; Injunction against alienating property.

Central Bank of India versus Ms Burburik International — Banking and Recovery | DRT (2024)

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DEBTS RECOVERY TRIBUNAL : JABALPUR

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(for the States of Madhya Pradesh and Chhattisgarh)

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(Presiding Officer - Hon'ble Shri Ram Niwas Patet)

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Original Application No. - 15124

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Central Bank of lndia, 44, Sittamata Bazar Street, Ctoth Market, lndore^(M.P.)

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..... Appticant

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Versus

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M/s Burburik lnternational, Through its ProprietorDheeraj Sharma, 7-8, Sector-C, Titak Nagar Ext., Tigriya Rao, lndore (M.P.) 452018; Also at: 8917, Raoji Bazar, Juni, lndore (M.P.l 452007

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..... Defendant

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Counsel for the Appticant : Shri Sanjeev^{Dubey, Advocate} Defendant : Ex'Parte

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JUDGMENT

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(Dated : O7m SeptemUer,2024\

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The Appticant-Bank has fited the^{present Originat Apptication} u/s 19 of Recovery of Debts and^{BankruptcyAct on 03101124against the} Defendant for recovery of Rs.61,38,813.73^{(RupeesSixty One Lac, Thirty} Eight Thousand, Eight Hundred Thirteen and^{Paisa Seventy Three onty)atong} with interest and other retiefs as stated.

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The brief facts of the case are that^{on the request of} Defendant, the Appticant Bank sanctioned^{Cash Credit Limit of Rs. 25 Lac} and Term Loan of Rs. 32^Lac on 07t12119,^{Cent Covid-19 Sahayata Yojna of} Rs. 2.50 Lac on 29t04/20, Cent^{GuaranteedEmergencyCredit Line (CGECL)} of Rs. 6 Lac on 01 t}6l20 and^{another GECL of Rs. 6.75 Lac on 13112171.|n} consideration of the sanction^{of credit facitities the Defendanthas executed} requisite loan documents.^{The Defendant avaited the credit facitities but} faited to tiquidate the outstanding^{dues despite issuanceof Demand Notice} dated OBl05t23 under the Securitisation^{Act by the Appticant Bank. The} Appticant-Bank has relied upon the^{documentsat Ex. A-1 to A-18 which were} proved by Shri Shashank Saxena, Chief^Manager.

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oA 15124

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Despite service of notice, the Defendant neither appeared nor fited written statement. He was proceeded ex-parte vide order dated 06/05/24. There is therefore, no reason to disbetieve the contentions of the Bank. Considering the facts of the case, I opine that the Defendant is tiabte to pay the ctaim amount together with interest and costs. The AppticantBank in its apptication has ctaimed interest @14.50% p.a. in CC account, interest @11.15% p.a. in Term Loan account and interest @9.z5yo p.a. in GECL accounts. However, I feel it fair and reasonabte to grant interest @12% p.a. in cc account, interest @11.15% p.a. in term loan account and interest @9.25% p.a. in GECL accounts simpte pendentetite and future titt reatization of the dues. The personal properties and assets of the Defendant are liabte to be sotd for recovery of amount due.

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The originat Apptication is atlowed and it is ordered as under-

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i) The Defendant do pay Rs. 61,38,813.73 (Rupees sixty one Lac, Thirty Eight Thousand, Eight Hundred Thirteen and Paisa Seventy Three onty) together with pendentetite and future interest @12% p.a. in CC account, interest @11.15% p.a. in term loan account and interest @9.25% p.a. in GECL accounts simpte from the date of fiting of the OA, i.e., 03/01 /24, wilh costs titt its reatization.

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ii) The Appticant Bank is entitled to setl the personal properties and assets of the Defendants for realization of its dues. The Defendants are hereby restrained by means of injunction from depteting, transferring, encumbering, atienating or in any way deating with their properties/assets without first paying the ctaim of the Appticant Bank.

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iii) A Recovery certificate be issued uls 19(zz) of Recovery of Debts and Bankruptcy Act. The appticant bank may fite a memo of cost within 7 days for preparing Recovery Certificate.

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Judgment pronounced in the open court on this 02nd Day of September,2024.

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<br>!
(Ram N Patet)
Presidine Officer

Central Bank of India v. Ms Burburik International

Case brief

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Central Bank of India v. Ms Burburik International

Case brief

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