DRT-III, Chandigarh allowed an original application under Section 19 of the RDDBFI Act. The court directed the defendants to pay the outstanding loan amount with modified simple interest instead of penal interest. Bank was issued a recovery certificate.
Recovery Certificate issued; Defendants liable for Rs.22,80,581.35 plus costs and 8% simple interest.
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-III, CHANDIGARH
ORIGINAL APPLICATION NO.1662/2022
PRESIDED OVER BY MRIDULESH KUMAR SINGH
DATE OF INSTITUTION: 28.09.2022
DATE OF DECISION: 06.06.2024
ICICI Bank Ltd., company incorporated under the Companies Act, 1956 and a Banking Company within the meaning of Banking Regulation Act, 1949 and is having its Registered Office at Land Mark, Race Course Circle, Vadodara-390007 and interalia having Branch at S.C.F.1, Grain Market Bhawanigarh, District Sangrur, Punjab-148026 through its Manager and authorized signatory Sh. Parveen Kumar
……..Applicant
Versus
………Defendants
Advocates:
Argued by Sh. Himender Pal Singh, counsel for the applicant (through VC) Defendants are ex-parte
FINAL ORDER
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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 @8.00%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. 11. In the result, the application is allowed declaring that the defendants are liable to pay to the applicant a total sum of Rs.22,80,581.35p (Rupees Twenty Two Lacs Eighty Thousand Five
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Hundred Eighty One and Thirty Five Paisa only) jointly and severally, with costs, current and future simple interest @8.00%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, 2002. 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 21.06.2024. 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: 06.06.2024
(MRIDULESH KUMAR SINGH) Presiding Officer, DRT-III, Chandigarh
2 issues framed by the court
Whether bank is entitled to recovery certificate and enforcement of loan secured by mortgage under RDDBFI Act.
Whether Tribunal can modify penal interest to uniform simple interest in its discretion.
3 provisions across 3 enactments
ICICI Bank Ltd. through Manager Parveen Kumar
Mridulesh Kumar Singh
As recorded by the court registry
Judgements on the same questions, provisions and authorities, from every court
