Allowed

Idbi Bank v. Rakesh Upadhyaya

DRT28 Feb 2024OA/302/2022

Case brief

AI extract

What is this about?

A Debt Recovery Tribunal allowed an original application filed by a bank for recovery of a housing loan of approximately Rs. 49.5 lakh. The court found the defendants jointly and severally liable based on documentary evidence and directed repayment with interest.

What did the court decide?

Defendants directed to pay Rs. 49,50,049.03 plus 11.15% per annum interest within 60 days; failing which recovery from sale of assets; recovery certificate issued.

Idbi Bank versus Rakesh Upadhyaya — Banking and Recovery | DRT (2024)

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O. A. No. 302 of 2022

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Registered on : 08.07.2022 Decided on : 28.02.2024

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IN THE DEBT RECOVERY TRIBUNAL-I AT MUMBAI ORIGINAL APPLICATION NO. 302 of 2022

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IDBI Bank Limited , (which has taken over IDBI Home Finance Ltd- IHFL) a body corporate established under the Industrial Development Bank of India Act, 1964 having its Registered Office at Chaturvedi Mansion, 2^nd Floor, 26/4 Old Palasiam, Agra – Mumbai Road, Indore – 452 001 amongst its other branches (erstwhile branches of IHFL) a Branch Office at Sapna Building, Ground Floor, Plot No. 850, S. K. Bole Road, Agar Bazar, Dadar (West) Mumbai – 400 028 and Retail Collection & Recovery Department, Mittal Court, 2^nd Floor, “C” wing, Nariman Point Mumbai – 400 021 through A. O. Mr. Pankaj Raj Sirohi.

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VERSUS

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...APPLICANT

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1. MR. RAKESH UPADHYAYA, 4/402 Vanrai Colony, W E Highway, Near Maha Nanda Colony, Goregaon (E), Mumbai – 400 065.

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2. MRS. SUBHANGI UPADHYAYA, 4/402 Vanrai Colony, W E Highway, Near Maha Nanda Colony, Goregaon (E), Mumbai – 400 065.

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3. MR. IRFAN M BAIG, B/11 Nityanan Nagar, Kaju Pada, Pipe Line Sakinaka, Andheri (E) Mumbai – 400 702.

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...DEFENDANTS

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O. A. No. 302 of 2022

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_____________________________________________

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Counsel for the Applicant : Advocate Akansha H. i/b Adv. Rathina Marvaraman. Counsel for the Defendant : Already Ex-Parte

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J U D G M E N T

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The present OA has been filed by the Applicant for recovery of a sum of Rs. 49,50,049.03 (Rupees Forty Nine Lakh Fifty Thousand Forty Nine and Paise Three only) in respect of Housing Loan Facility sanctioned to the Defendants as per particular claim along with further interest at the rate of 11.15% p.a. from the date of filing of this application till the date of realization.

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Facts as succinctly set out in the OA are that Defendant No.1 approached the Applicant Bank for sanctioning the Home Loan facility. The Applicant Bank sanctioned the said facility vide sanction letter dt. 14.06.2006 for an amount of Rs.10,00,000/- with the terms and conditions contained therein.

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It is stated that the Defendants have availed housing loan to purchase the Immovable property i.e. Flat No. 105, Plot No. 5, Shree Sai Krupa CHS, M. G. Road, Patel Nagar, Kandivli, Mumbai – 400 067 being the prime security for the loan sanctioned, and more particularly described in Annexure “A” in favour of the Applicant in which the Defendants have executed the Power of Attorney authorizing the Applicant Bank with depositing the Title deeds of the said property which is mentioned in Annexure “A” with the Bank.

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In order to secure the aforesaid said Home Loan facility the Defendants the following document in favour of the Applicant Bank:-

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O. A. No. 302 of 2022

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a. Loan Application executed by Defendant No. 1 & 2 on 31.07.2006.

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b. General power of attorney dt.18.07.2006 executed by Defendant No. 2.

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c. Irrevocable Power of Attorney executed by Defendant No. 1 & 2.

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d. Letter of Guarantee dt.31.07.2006 executed by Defendant No. 3.

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e. Demand Promissory Notice dt.31.07.2006 along with take delivery letter to DPN dt.31.07.2006.

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f. Article Reference for loan executed by Defendant No. 1 & 2.

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However, after availing the said Home Loan Facility, the Defendants failed to adhere to the terms and conditions of the Sanction of aforesaid Credit Facility and neglected to make the payment to the Applicant bank. Therefore, the account was declared as NPA and further the Applicant issued the Legal Notice dt.24.08.2019 called upon the Defendant to make the payment of the outstanding dues but the Defendants failed to pay the dues. Hence, the present OA has been filed.

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Notices were issued to the Defendants. Despite service, none appeared for the Defendants nor filed the WS thus, they were proceeded ex-parte on 29.01.2024.

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The Applicant Bank has produced all the Original Loan documents and other relevant documents along with their Claim Affidavit filed on 13.12.2023 through the Manager Sheela Menon.

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O. A. No. 302 of 2022

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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 Defendants. 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. The liability of Defendant No.1 to 3 are joint and several.

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In the light of above discussions, the Original Application deserves to be allowed against the Defendant No. 1 to 3 are jointly and severally.

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O R D E R

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(i) I allow the present OA and direct the Defendant No. 1 to 3 to pay to the Applicant Bank, jointly and severally, within a period of 60 days, a sum of Rs. 49,50,049.03 (Rupees Forty Nine Lakh Fifty Thousand Forty Nine and Paise Three only) along with further interest at the rate of 11.15% p.a. from the date of filing of the present OA till its realization.

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

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O. A. No. 302 of 2022

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

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(iv) Defendants 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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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 : 28.02.2024 Presiding Officer, DRT-1, Mumbai

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Idbi Bank v. Rakesh Upadhyaya

Case brief

What is this about?

What did the court decide?

Idbi Bank v. Rakesh Upadhyaya

Case brief

What is this about?

What did the court decide?

What the court decided

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Issues for consideration

Statutes considered

Parties & counsel

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