Allowed

Hdfc Bank Ltd. v. Sh. Baljodh Singh and Others

DRT7 Jun 2024OA/19/2024

Case brief

AI extract

What is this about?

The DRT-III, Chandigarh allowed the applicant bank's application under S. 19 RDDB&FI Act to recover Rs. 33,59,693 from respondents for defaulted KCC and term loans. The court granted simple interest at 8% p.a. instead of claimed penal rates and ordered recovery via sale of mortgaged properties.

What did the court decide?

Recovery of Rs. 33,59,693 plus simple interest at 8% p.a. from filing date; issuance of Recovery Certificate; liberty to enforce sale of mortgaged or personal assets.

Hdfc Bank Ltd. versus Sh. Baljodh Singh and Others — Banking and Recovery | DRT (2024)

¶1

DEBTS RECOVERY TRIBUNAL-III, CHANDIGARH

¶2

ORIGINAL APPLICATION NO.19/2024

¶3

PRESIDED OVER BY MRIDULESH KUMAR SINGH

¶4

DATE OF INSTITUTION: 06.12.2023

¶5

DATE OF DECISION: 07.06.2024 HDFC Bank Ltd., 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-400011, whereas its Branch at “Amarkot, District Tarn Taran (Punjab)” through Sh. Dinesh Kumar, Deputy Manager (Agri. Legal), H.D.F.C. Bank Ltd., Regional Office, Mohali, District Mohali (Punjab) being Authorized Officer of applicant bank

¶6

1.	Versus Sh. Baljodh Singh S/o Sh. Mukhtiar Singh,	……..Ap R/o H.No.14,	plicant Havelia
	Jharh Sahib, Gajjal, Tehsil Khemkaran, (Punjab)-143416	District Tarn	Taran
2.	Sh. Sukhdayal Singh S/o Sh. Mukhtiar Singh,	R/o H.No.14,	Havelia
	Jharh Sahib, Gajjal, Tehsil Khemkaran, (Punjab)-143416	District Tarn	Taran
3.	Sh. Gurlal Singh S/o Sh. Mukhtiar Singh,	R/o H.No.14,	Havelia
	Jharh Sahib, Gajjal, Tehsil Khemkaran, (Punjab)-143416	District Tarn (Borr	Taran owers)
4.	Sh. Khajan Singh S/o Sh. Angrej Singh, R/o Gajjal, Tehsil Khemkaran, District Tarn Taran	Havelia Jharh (Punjab)-1434 (Gua ….……Defe	Sahib, 16 rantor) ndants

¶7

¶8

Advocates: Argued by Sh. Saurabh Bharadwaj, Advocate for the applicant Defendants are ex-parte

¶9

FINAL ORDER

¶10

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.33,59,693.00 (Rupees Thirty Three Lacs Fifty Nine Thousand Six Hundred and Ninety Three only). The Original Application has been filed through Sh. Dinesh Kumar, Deputy Manager (Agri. Legal) o f the applicant bank, who is competent to institute the Original Application vide Power of Attorney dated 28.07.2023, which is Annexure A1 to this OA.

¶11

The brief facts of the OA are that the defendants had approached the applicant bank for the grant of KCC Limit of Rs.21.50 Lacs and Dropline Overdraft Limit of Rs.3.50 Lacs and Term Loan of Rs.3.00 Lacs vide Loan Applications dated 06.02.2018, which is Annexure A2 to this OA. 3. The applicant Bank sanctioned the KCC Limit of Rs.21.50 Lacs and Dropline Overdraft Limit (KGC Limit) of Rs.3.40 Lacs vide Sanction Letters dated 19.02.2018, which are Annexures A3 and A4 to this OA; and the terms and conditions were duly accepted by the defendants.

¶12

4. Defendant Nos.1 to 3 had mortgaged their immovable properties
i.e. total land measuring 96 Kanal 00 Marla detailed as:-
a) land measuring 35 Kanal 04 Marla owned by defendant No.1
b) land measuring 35 Kanal 03 Marla owned by defendant No.3
and
c) land measuring 25 Kanal 13 Marla owned by defendant No.2
all situated at Village Gajjal, Tehsil Patti, District Tarn Taran, Punjab
vide Letter to Sub-Registrar for creation of charge bearing mutation

¶13

¶14

no.469 dated 23.02.2018 and Declaration u/s 4(1) dated 22.02.2018, which is Annexure A7 to this OA.

¶15

Documents executed:- Agreements for Overdraft/cash credit cum guarantee cum hypothecation both dated 26.02.2018, which are Annexures A5 and A6 to this OA; Legal notice dated 02.11.2023 with postal receipts, which is Annexure A8 to this OA and Statements of accounts with Certificate regarding the computer system and the genuineness of the statement of account being prepared through computer system, which are Annexures A9 and A10 to this OA.

¶16

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.33,59,693.00, 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.

¶17

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 03.06.2024.

¶18

In support of the OA, affidavit of Sh. Dinesh Kumar, Deputy Manager (Agri. Legal), HDFC Bank Ltd. h as been filed. 8. Heard ex-parte arguments and perused record.

¶19

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 A10 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 defendants failed to pay back the loan as per terms and 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

¶20

¶21

that applicant bank is entitled to recover a sum of Rs.33,59,693.00 (Rupees Thirty Three Lacs Fifty Nine Thousand Six Hundred and Ninety Three only) along with interest from the defendants, jointly and severally, from the date of filing of the present Original Application till realization of the account.

¶22

In so far as pendent elite and future rate of interest is concerned, the applicant bank in relief clause has claimed interest @10.50%p.a. plus penal interest @2%p.a. with half yearly rests from 31.10.2023 till the realization.

¶23

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 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. 11. In the result, the application is allowed declaring that the defendants are liable to pay to the applicant a total sum of Rs.33,59,693.00 (Rupees Thirty Three Lacs Fifty Nine Thousand Six Hundred and Ninety Three only) jointly and severally, with costs, current and future simple interest @8.00%p.a. in both the loan accounts 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

¶24

¶25

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 24.06.2024. 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.

¶26

Pronounced by me in the open Tribunal. Dated: 07.06.2024

¶27

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

Hdfc Bank Ltd. v. Sh. Baljodh Singh and Others

Case brief

What is this about?

What did the court decide?

Hdfc Bank Ltd. v. Sh. Baljodh Singh and Others

Case brief

What is this about?

What did the court decide?

What the court decided

A compact analysis

Issues for consideration

Statutes considered

Parties & counsel

Coram

Case details

Similar cases

Punjab National Bank versus Sh. Gurcharan Singh and Another

H.D.F.C. Bank Ltd. versus Ms. Charanjeet Kaur and Others

Icici Bank Ltd. versus Sh. Gurmat Singh and Another

Punjab National Bank versus Sh. Mehar Singh and Another

Bank of India versus Sh. Kewal Krishan and Another

Indian Bank versus Mess Thai Fastners