The DRT allowed the debts recovery application filed by Punjab & Sind Bank against the defendants for recovery of Rs. 30.69 lakhs. The tribunal fixed simple interest at 8% per annum and directed issuance of a recovery certificate.
Recovery of Rs. 30,69,752.35 with costs and 8% p.a. simple interest; issuance of Recovery Certificate.
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DEBTS RECOVERY TRIBUNAL-III, CHANDIGARH
ORIGINAL APPLICATION NO.154/2023
PRESIDED OVER BYMRIDULESH KUMAR SINGH
DATE OF INSTITUTION: 02.02.2023
DATE OF DECISION: 18.10.2024
Punjab & Sind Bank, a Body Corporate constituted under banking Companies (Acquisition and Transfer of Undertakings) Act, 1980 (Act No.40 of 1980) having its Head Office at 21, Bank House, Rajendra Place, New Delhi and Branches amongst other places at Phase 5, Mohali, Distt. SAS Nagar through General Power of Attorney Holder Sh. Ashish Ranjan, Chief Manager who is Constituted Attorney of the Applicant Bank.
1. M/s Bharti Ajay & Associates situated at H.No.2007, Sector-45C, Chandigarh through its proprietor Smt. Bharti Mittal W/o Sh. Ajay Mittal
Residential Address of Smt. Bharti Mittal:- H.No.2007, Sector-45C, Chandigarh
Alternative Address Office – SCO 196-197, 2nd Floor, Sector-34 Chandigarh
2. Smt. Kamla Devi W/o Sh. Kapoor Singh R/o MIG H.No.1813, Housing Board Colony, Sector 15, Panchkula
3. Sh. Ajay Mittal S/o Sh. S.K. Mittal R/o H.No.2007, Sector-45C Chandigarh
………. Defendants
Advocates:
Argued by Sh. Anup Prajapati, Advocate proxy for Ms. Puja Sharma, Advocate for the Applicant Defendants are ex-parte
FINAL ORDER
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Authority Letter dated 20.01.2023 & General Power of Attorney dated 04.12.2018, which are Annexures A1 & A2 to this OA. 2. The brief facts of the OA are that the Defendant No.1 had approached the applicant for grant of LAP Limit of Rs.24.00 Lacs & OD Limit (ODP) Rs.7.50 Lacs vide Loan Applications dated 21.04.2017, which are Annexures A3 & A14 to this OA. Defendant No.2 & 3 Stood as a Guarantors 3. The Applicant Bank sanctioned LAP Limit of Rs.24.00 Lacs & OD Limit (ODP) Rs.7.50 Lacs vide Sanction Letters dated 19.05.2017 and 24.05.2017, which are Annexures A4 & A15 to this OA and the terms and conditions were duly accepted by the defendants. 4. Defendant No.2 Jaspal had mortgaged his immovable properties i.e. total land measuring 85 Sq. yds (71.09 Sq. Mtrs) situated at MIG House No. 1813, Housing Board Colony, Sector 15, Panchkula vide Equitable Mortgage of Sale Deed bearing v asika No.2924 dated 27.03.2008, which is Annexures A12 to this OA. Documents executed:-DP Note, Loan Agreement, Guarantee Agreement, Undertaking, Consent Letters all dated 22.05.2017, which are Annexures A6 to A8 and A11 to this OA; Revised Clauses Pertaining to Rate of Interest, which are Annexures A9 & A10 to this OA; Letter Confirming deposit of title Deed dated 29.05.2017, which is Annexure A13 to this OA; Undertaking, D.P. Note, Letter of Continuity, Loan Agreement, Agreement of Hypothecation of Goods, Agreement of Hypothecation of Book Debts, Guarantee Agreement, Consent Letters, Revised Clauses Pertaining to Rate of Interest all dated 26.05.2017, which are Annexures A15A, A16 to A23 to this OA; CERSAI Letter, which is Annexure A24 to this OA; Revival Letter dated 04.02.2020, which are Annexures A25 & A26 to this OA; Statements of Accounts with certificate, which are Annexures A27 & A28 to this OA and Demand Notice under Section 13(2) dated 07.07.2020 with postal receipts, which is Annexure A29 to this OA. 5. The loan accounts became irregular and were classified as NPA and after adjusting debit and credit entries in both the loan accounts
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there was a debit of Rs.30,69,752.35ps, 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 30.09.2024.
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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 @08.00%p.a. in both the loan accounts from the date of filing of the OA till realization of the amount ordered vide this final order. It is ordered accordingly.
Pronounced by me in the open Tribunal .
Dated: 18.10.2024.
(MRIDULESH KUMAR SINGH) Presiding Officer, DRT-III, Chandigarh
3 issues framed by the court
Whether the applicants were entitled to recover the outstanding loan amount including interest.
What rate of interest should be granted in the given circumstances.
Whether the defendants were liable to pay the amount jointly and severally.
2 provisions across 2 enactments
Punjab & Sind Bank
M/s Bharti Ajay & Associates
Smt. Kamla Devi
Sh. Ajay Mittal
Mridulesh Kumar Singh
As recorded by the court registry
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