Allowed

State Bank of India v. Sh. Hardial Singh @ Dial Singh

DRT24 Sept 2024OA/2055/2022

Case brief

AI extract

What is this about?

The Tribunal allowed an application under the Recovery of Debts and Bankruptcy Act for recovery of Rs. 27.54 lakhs with interest from the legal representatives of a deceased borrower and another defendant. The loan was secured by a mortgage on land, and the Tribunal directed the issuance of a Recovery Certificate and ordered the sale of mortgaged property to distribute proceeds.

What did the court decide?

Recovery of Rs. 27,54,198/- with interest granted; sale of mortgaged land and personal property of Defendant No. 2 allowed; Recovery Certificate issued.

State Bank of India versus Sh. Hardial Singh @ Dial Singh — Banking and Recovery | DRT (2024)

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IN THE DEBTS RECOVERY TRIBUNAL-I, CHANDIGARH

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BEFORE: A S NARANG, PRESIDING OFFICER

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OA No: 2055/2022 Date of Institution: 10.10.2022 Date of Decision: 24.09.2024

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SBI, one of its Branch at Zira, District Ferozepur, Punjab.

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……..Applicant

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Vs.

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Sh. Hardial Singh @ Dial Singh, S/o Sh. Kundan Singh, since deceased through his LRs:-

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i. Smt. Kuldeep Kaur, Widow ii. Sh. Baljinder Singh, Son (already arrayed as defendant No.2).

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iii. Ms. Satinder Kaur, Daughter. All R/o Village Behak Gujjran, Tehsil Zira, District Ferozepur.

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Sh. Baljinder Singh S/o Sh. Hardial Singh @ Dial Singh, R/o Village Behak Gujjran, Tehsil Zira, District Ferozepur.

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……….Defendants

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Advocates

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Ms. Sonal, proxy Counsel for Sh. Pankaj Beri, Counsel for the applicant bank.

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Defendants – ex parte

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OA for the Recovery of Rs.27,54,198/- with interest @11.75% per annum with half yearly rests from 10.10.2022.

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ORDER

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SBI, (Bank) has filed this application under Section 19 of the Recovery of Debts and Bankruptcy Act, 1993 (RDB Act) for the recovery of Rs.27,54,198/- with interest against Sh. Hardial Singh, since deceased through his LRs and another (defendants).

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Bank’s case is that on 28.09.2015, it had granted a KCC Limit of Rs.20.00 Lacs to defendants for agricultural purpose. To secure the loan, Defendant No.1 (since deceased) had mortgaged his land (fully detailed

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in para No.3(A) of the application). The loan was chargeable to interest @11.75% per annum with half yearly rests. On 10.10.2022, a sum of Rs.27,54,198/- was due from the defendants. Despite repeated requests, defendants did not make the repayment. Hence, this application.

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On 10.11.2022, summonses were sent to the defendants by registered post, which were duly served. However, defendants did not put in appearance. Vide order dated 06.11.2023, they were proceeded ex parte .

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In order to prove its case, the Bank has placed on record the affidavit of Mr. Arvind Kumar, Chief Manager along with the loan and security documents and marked them as Exhibit A-1 to A-9.

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I have perused the evidence on the record. I am of the considered view that the Bank has proved its case that it had advanced the loan of Rs.20.00 Lacs and on 10.10.2022, a sum of Rs.27,54,198/- was due.

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Accordingly, the application of the bank for the recovery of Rs.27,54,198/- (Rupees Twenty Seven Lacs Fifty Four Thousand One Hundred and Ninety Eight Only) with interest @11.75% per annum with half yearly rests from 10.10.2022, till the date of payment is hereby allowed with costs. Bank can recover its dues by the sale of mortgaged land fully detailed in para No.3(A) of the application as well as from the personal movable and immovable property(ies) of the defendant No.2. The LRs of Sh. Hardial Singh (since deceased) i.e. defendant No.1, would be liable to pay to the extent of property inherited by them from Sh. Hardial Singh (Deceased).

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Pending IAs, if any, stand disposed of.

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Recovery Certificate be issued accordingly.

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Parties are directed to appear before Recovery Officer on 25.10.2024, who is directed to distribute the sale proceeds of the mortgage land and standing crops as per the provisions of Section 19(20AB) of the Act . 10. A Copy of this order along with Recovery Certificate be sent to the Recovery Officer as well as the parties. Pronounced in the open court. (A S Narang) Dated: 24.09.2024 Presiding Officer DRT-1, Chandigarh Pankaj

State Bank of India v. Sh. Hardial Singh @ Dial Singh

Case brief

What is this about?

What did the court decide?

State Bank of India v. Sh. Hardial Singh @ Dial Singh

Case brief

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What did the court decide?

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