Allowed

Canara Bank v. Grand Cru Wine

DRT23 Apr 2024OA/24/2023

Case brief

AI extract

What is this about?

The Debt Recovery Tribunal allowed the Original Application filed by Canara Bank against the defendant for recovery of a loan amount aggregating to Rs. 21,32,167.84 along with interest and directed enforcement measures including the appointment of a Recovery Officer.

What did the court decide?

Defendant directed to pay a sum of Rs. 21,32,167.84 with interest within 60 days. Recovery Certificate to be issued to Recovery Officer. Recovery from personal assets if not paid. Defendant restrained

Canara Bank versus Grand Cru Wine — Banking and Recovery | DRT (2024)

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OA 24 of 2023

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Registered on : 23.01.2023 Decided on : 23.04.2024

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IN THE DEBT RECOVERY TRIBUNAL-I AT MUMBAI ORIGINAL APPLICATION NO. 24 of 2023

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CANARA BANK Banking Company incorporated under the Banking Companies (Acquisition and Transfer of Undertaking) Act, 1970, and is a Schedule Nationalised Bank within the meaning of the Banking Regulation Act, 1949, having their having its Head Office at 112, J.C. Road, Opp. Town Hall, Bangalore 560 002 and having Branch Offices amongst other places at Karaswada branch, Thivim Industrial Estate, Main Gate, Mapusa, Goa- 403 526, Represented by its Authorised Signatory Mr. Prabodhan S. Punwatkar S/o Shudhdodhan.

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…. APPLICANT

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VERSUS

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MR. SANTOSH UTTAM NAIK PROPRIETOR OF M/S. GRAND CRU WINE S/o Mr. Uttam Naik Age 56 years Shop No. S1, Sirsaim, Tivim, Bardez, Goa- 403 502 And also at

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House No. 73, Gaonkar Wado, Near Sai Baba Temple, Camurlim Bardez, Goa- 403 507.

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… DEFENDANT

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____________________ Counsel for the Applicant	_________________________ : Adv. Bhaarat S. i/b M. V. Kini &
	Co.
Counsel for the Defendant	: None

OA 24 of 2023

J U D G M E N T

The Original Application has been filed by the Applicant against the Defendant for recovery of following amounts:

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i. Rs. 20,64,464.06 (Rupees Twenty Lakh Sixty Four Thousand Four Hundred Sixty Four and Paise Six Only) with future rate of interest @ 9.75 % p.a. plus 2 % penal interest from 01.07.2022 till the realisation.

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ii. Rs. 67,703.78 (Rupees Sixty Seven Thousand Seven Hundred Three and Paise Seventy Eight Only) with future rate of interest @ 9.75 % p.a. plus 2 % penal interest from 01.07.2022 till the realisation.

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iii. Aggregating to sum of Rs. 21,32,167.84 (Rupees Twenty One Lakh Thirty Two Thousand One Hundred Sixty Seven and Paise Eighty Four Only) with interest mentioned herein above.

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Facts as succinctly set out in the present OA are that the Defendant has approached the Applicant to avail the OD MSME Loan facility to meet working capital requirements of Rs. 20 Lakh vide application letter dated 06.03.2019.

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In consideration of sanction of the aforesaid facility Defendant executed following loaning and security documents on 06.03.2019:

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It is further stated that as per the Government of India Relief Guild Lines, the Applicant sanctioned as COVID FITL of Rs. 1,04,859/- and disbursed the amount of Rs. 1,04,859 on 03.09.2020 under the loan account no. 3904710000007.

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OA 24 of 2023

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However, after availing aforesaid facility, Defendant failed to repay the loan amount as well as interest, thus, the account was classified as NPA on 18.01.2020. Thereafter, the Applicant issued legal notice dated 17.02.2022 informed the Defendant about NPA and called upon the Defendant to repay the outstanding dues, but failed to do so. Hence, the present OA has been filed.

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Notice was issued to the Defendant. Defendant put their appearance through counsel however, despite service, none appeared for the Defendant nor any WS has been filed.

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The Applicant Bank has produced all the Original Loan documents and other relevant documents along with their Claim Affidavit filed through Branch Manager Prabodhan S. Punwatk.

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I have heard the Ld. Counsel for the Applicant Bank and perused the record.

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The witness of the Applicant Bank has fully corroborated the averments made in the OA, even otherwise the whole case of the Applicant Bank is based on documents and the witness has duly proved all these documents as against the defendant. In my view there is no question of disbelieving the evidence led by the Applicant Bank and the Applicant Bank has proved its case beyond reasonable doubt.

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In the light of above discussions, the Original Application filed by the Applicant Bank deserves to be allowed against the Defendant.

OA 24 of 2023

O R D E R

(i) I allow the present O.A. and direct the Defendant to pay to the Applicant, within a period of 60 days, a sum of following amount:

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a. Rs. 20,64,464.06 (Rupees Twenty Lakh Sixty Four Thousand Four Hundred Sixty Four and Paise Six Only) with future rate of interest @ 9.75 % p.a. plus 2 % penal interest from 01.07.2022 till the realisation.

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b. Rs. 67,703.78 (Rupees Sixty Seven Thousand Seven Hundred Three and Paise Seventy Eight Only) with future rate of interest @ 9.75 % p.a. plus 2 % penal interest from 01.07.2022 till the realisation.

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c. Aggregating to sum of Rs. 21,32,167.84 (Rupees Twenty One Lakh Thirty Two Thousand One Hundred Sixty Seven and Paise Eighty Four Only) with interest mentioned herein above.

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(ii) Failing which the aforesaid amount shall be recovered from the sale of the personal moveable and immoveable assets of the Defendant.

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(iii) Defendant is hereby directed not to deal with their properties till further direction of Ld. Recovery Officer.

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(iv) Defendant shall also pay the cost and expenses of the OA.

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(v) Recovery Certificate be issued forthwith and be sent to the Recovery Officer of this Tribunal.

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OA 24 of 2023

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Copy of this order be sent to the parties as per rules.

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File be consigned to record.

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Place: Mumbai. (Dr. Rekha G. Dhakar) Date : 23.04.2024 Presiding Officer,

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DRT-1, Mumbai.

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Tjs/-

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Canara Bank v. Grand Cru Wine

Case brief

What is this about?

What did the court decide?

Canara Bank v. Grand Cru Wine

Case brief

What is this about?

What did the court decide?

What the court decided

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