Allowed

Hdfc Bank Limited v. M/s Dashmesh Sales Corporation and others

DRT18 Dec 2024OA/294/2024

Case brief

AI extract

What is this about?

The Debts Recovery Tribunal allowed the applicant's original application for recovery of Rs.26,92,449.12 from the respondents. The court fixed the rate of interest at 8% per annum and directed the issuance of a recovery certificate for execution proceedings.

What did the court decide?

Recovery of Rs.26,92,449.12 with 8% per annum simple interest; issue of Recovery Certificate.

Hdfc Bank Limited versus M/s Dashmesh Sales Corporation and… — Banking and Recovery | DRT (2024)

¶1

DEBTS RECOVERY TRIBUNAL-III, CHANDIGARH

¶2

ORIGINAL APPLICATION NO.294/2024 PRESIDED OVER BYMRIDULESH KUMAR SINGH

¶3

DATE OF INSTITUTION: 16.12.2023

¶4

DATE OF DECISION: 18.12.2024

¶5

HDFC Bank Ltd., a banking company, incorporated under Companies Act,1956 having its Registered Office at HDFC Bank House, Senapati Bapat Marg, Lower Parel (West) Mumbai-400013, Maharashtra and one of its Branch Office, amongst others at Rishi Nagar Ludhiana(Punjab), being represented through its duly authorized official Sh. Sunil Kalra, Legal Manager, Department of Special Operations, HDFC Bank Ltd., Regional Office, 3^rd Floor, Plot No.I-15, Alpha IT City, Sector 101, Mohali(Punjab).

¶6

……..Applicant

¶7

Versus

¶8

1. M/s Dashmesh Sales Corporation, a proprietorship firm of Commission agents, being represented through its proprietor Sh. Sikandar Singh S/o Sh. Ram Singh, having its place of business at Plot no.8, Dana Mandi, Focal Point, Ayali Khurd, District Ludhiana142027.

¶9

Sh. Sikandar Singh S/o Sh. Ram Singh, R/o Plot no.8, Dana Mandi, Focal Point, Ayali Khurd, District Ludhiana-142027

¶10

2^nd Address: House no.27-28, Basant Vihar, Near Greater Kailash Adjoining Preet Vihar, Street no.5, Golden Avenue, Near Shivalik School, Ludhiana .

¶11

Smt. Parvinder Kaur W/o Sh. Sikandar Singh, R/o Plot no.8, Hambran Road, Dana Mandi, Focal Point, Ayali Khurd, District Ludhiana-142027

¶12

2^nd Address: House no.27-28, Basant Vihar, Near Greater Kailash Adjoining Preet Vihar, Street no.5, Golden Avenue, Near Shivalik School, Ludhiana.

….……Defendants

Advocates:

Argued by Sh. Satish Kumar Arora, Advocate for the applicant (through VC)

¶17

None for Defendant nos.1 and 2 Defendant no.3 is ex-parte

¶18

FINAL ORDER

¶19

Present Original Application was instituted by the applicant under Section 19 of the Recovery of Debts Due to Banks and Financial Institutions Act, 1993, against the defendants for recovery of Rs.26,92,449.12p (Rupees Twenty Six Lacs Ninety Two Thousand Four Hundred Forty Nine & Twelve Paisa only). The Original Application has been filed through Sh. Sunil Kalra, Legal Manager of the applicant, who is competent to institute the Original Application vide Board Resolution dated 28.07.2023, which is Annexure A1 to this OA.

¶20

The brief facts of the OA are that the defendants had approached the applicant for the grant of ODAP Limit of Rs.15.00 Lacs vide Loan Application, which is Annexure A2 to this OA and further for its renewals of Rs.15.00 Lacs vide Request Letters. Thereafter defendants again approached the applicant for enhancement of ODAP Limit to Rs.25.00 Lacs. Later from time to time defendant approached the applicant several renewals of ODAP of Rs.25.00 Lacs. 3. The applicant sanctioned the ODAP Limit of Rs.15.00 Lacs vide Sanction Letter dated 30.06.2016, which is Annexure A3 to this OA and further sanctioned its renewals vide sanction Letters dated 06.06.2017 and 24.05.2018, which are Annexures A10 and A12 to this OA. Thereafter applicant sanctioned the enhancement of ODAP to RS.25.00 Vide Sanction Letter dated 24.12.2018, which is Annexure A13 to this OA. Later from time to time applicant sanctioned the renewals cum reduction of ODAP to Rs.24.00 Lacs vide Sanction Letters dated 20.06.2019, 25.09.2019, 30.01.2020, 09.06.2020 and 15.07.2021, 03.09.2016 & 14.09.2017, which are Annexures A20 to A24 to this OA and the terms and conditions were duly accepted by the defendants. 4. Defendant no. 3 had mortgaged her immovable properties i.e. All that Part and Parcel of residential property bearing house No.27-28

¶21

¶22

measuring 200 Sq. Yards Situated at Village Partap Singh Wala, Now Vicinity known as Basant Vihar, Near Greater Kailash, Adjoining Preet Vihar, Street No.5, Golden Avenue, Near Shivalik School, Ludhiana, Punjab vide Equitable Mortgage of Sale Deed bearing vasika no.8690 dated 10.07.2008 along with its translation, which is Annexure A9 to this OA.

¶23

Documents executed:- Master Facility Agreement, Letter of Continuing Guarantee, Amendment Agreement, Demand Promissory Note, Deed of Indemnity and Memorandum of Mortgage, all dated 03.06.2016, which are Annexures A4 to A8 to this OA; Amendment Agreement dated 13.06.2017, which is Annexure A11 to this OA; Supplementary Agreement, Letter of Continuing Security, Demand Promissory, Supplementary Letter of Continuing Guarantee, Memorandum of Mortgage, Deed of Indemnity and Declaration Cum Indemnity dated 26.12.2018, which are Annexures A14 to A19 to this OA; Letter of Acknowledgment of Debt dated 23.12.2021, which is Annexure A25 to this OA; Demand Notice dated 19.07.2023 with postal receipts, which is Annexure A26 to this OA; Statement of Account along with Memorandum of Interest and Certificate under Bankers Book Act, which are Annexures A27 & A28 to this OA and Valuation Report dated 21.10.2018, which is Annexure A29 to this OA.

¶24

The loan account became irregular and was classified as NPA and after adjusting debit and credit entries in loan account there was a debit of Rs.26,92,449.12p, which is recoverable and the defendants were served recall notices but they did not repay the outstanding amount, therefore, the applicant requested to accept the application and to issue Recovery Certificate accordingly.

¶25

The defendants were served notices to appear before this Tribunal but no one appeared on behalf of defendant no.3 and he was proceeded ex-parte on 13.12.2024. Sh. Rohit Sharma, Advocate appeared for defendant no.1 and 2 and filed Power of Attorney on 19.09.2024 but did not filed WS within stipulated period. Therefore,

¶26

¶27

opportunity to file WS by defendant nos.1 and 2 was closed and defense was struck of 13.12.2024.

¶28

In support of the OA, affidavit of Sh. Sunil Kalra, Legal Manager, HDFC Bank Ltd. h as been filed. 8. Heard arguments of Ld. Counsel for applicant. None appeared for defendants for arguments. Perused record. 9. It was argued by learned counsel through video conferencing that in view of the documentary evidence brought on record which had gone unrebutted, the applicant had proved its case. From the perusal of all the Annexures A1 to A29 to this OA, it is proved that the defendants approached applicant for availing of the loan facility which was granted to them and for that they had executed all the relevant documents in favour of the applicant. The defendants failed to pay back the loan as per terms and conditions of the agreement between the parties. Subsequently, account of the defendants was classified as NPA. From the documentary evidence brought on record, it is proved that applicant is entitled to recover a sum of Rs.26,92,449.12p (Rupees Twenty Six Lacs Ninety Two Thousand Four Hundred Forty Nine & Twelve Paisa 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.

¶29

In so far as pendent elite and future rate of interest is concerned, the applicant in relief clause has claimed interest @18.00%p.a. from 01.12.2023 till the realization. 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

¶30

¶31

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.

¶32

In the result, the application is allowed declaring that the defendants are liable to pay to the applicant a total sum of Rs.26,92,449.12p (Rupees Twenty Six Lacs Ninety Two Thousand Four Hundred Forty Nine & Twelve 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 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 applicant 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.

¶33

Any other application pending stands disposed of. 13. Issue Recovery Certificate accordingly.

¶34

Parties to appear before Learned Recovery Officer of this Tribunal on 03.02.2025.

¶35

Copy of this order be given dasti to the applicant 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.

¶36

Pronounced by me in the open Tribunal . Dated: 18.12.2024.

¶37

(MRIDULESH KUMAR SINGH) Presiding Officer,

¶38

DRT-III, Chandigarh

Hdfc Bank Limited v. M/s Dashmesh Sales Corporation and others

Case brief

What is this about?

What did the court decide?

Hdfc Bank Limited v. M/s Dashmesh Sales Corporation 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

Hdfc Bank Limited versus M/S Nav Trading Co. and Others

Punjab National Bank versus Jarnail Singh and Another

Hdfc Bank Limited versus Kulwant Singh and Others

Punjab Gramin Bank versus Santokh Singh

Hdfc Bank Limited versus M/S Tilak Ram and Sons and Others

Punjab National Bank versus Ranjit Singh