Allowed

Hdfc Bank v. Mr Abhishek Rai

DRT24 Sept 2024OA/369/2023

Case brief

AI extract

What is this about?

The Debts Recovery Tribunal allowed the applicant bank's Original Application for issuance of a Recovery Certificate. The court found the defendants jointly and severally liable for the outstanding balance due to the bank, exceeding the loan period. Consequently, the application was allowed with directions for cost recovery.

What did the court decide?

Recovery Certificate issued for Rs. 24,69,640.61 with interest and costs; charge kept alive on hypothecated vehicle.

Hdfc Bank versus Mr Abhishek Rai — Specific Performance | DRT (2024)

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oA 36972023/DRT,c!wahat

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IN THE DEBTS RECOVERY TRIBUNAL, GUWAHATI

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(North Eastern Region) (Trib!nal of Assam Nagaland Meghalaya I\4anipur M zoram ArLrnachalpradesh &Trpura) Before Shri Shiv Sharan Dubev. Presidino Officer

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O.A. No. 369/2023

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ln the matter of -

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HDFC BANK LTO. Rukminigaon Branch A. P. TOWER, 3d Floor, G.S Road, Guwahati- 781022, Kamrup (Metro), Assam.

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.. ' ' ,,, , .. ' ', ,,, ,,, ,Applicant

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Vs.

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I. MR. ABHISHEK RAI S/o Arun Kumar Rai Resident of House No. 45, Rajni Kanta Deka Path, Gopinath Nagar, Near Nirmal House, Kalapahar, Guwahati, Assam-78'1 0'1 6.

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MR. ARUN KUMAR RAI S/o Bishnu Deo Rai Resident of House No.45. Rajni Kanta Deka Path, Gopinath Nagar, Near Nirmal House, Kalapahar, Guwahati, Assam-781 01 6.

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Defendants

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Presonce of the Counsel :

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For the Applicant : Mr. Mukesh Sharma, Ms Ellora Bharali, Advocates For the Defendants : None (Ex-parte)

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Dal€d:24/09no21

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JUDGMENT

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This is an application under section 19 of the Recovery of Debts Due to Banks and Financial lnstitutions Acl, 1993 filed by the HDFC Bank Ltd. Rukminigaon Branch A.P TOWER, 3'd Floor, G.S Road, Guwahati - 781022, KamruP (Metro), Assam, with a prayer to issue Recovery Certificate for the sum of Ra. 24,09,640.61 (Rupee3 Twsnty-Four Lacs Sixty-Nlns Thou3end Six Hundred Forty and Paisa Sixtyone) only as on 26.08.2023 against the defendants with pendentelite and future interest at contractual rates with monihly rests till realization atonsw*hcostandorherretier.

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rg{fi,? DRT. Guwehrti

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OA 369/2o23uoRr4uw.hari

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A few facts giving rise to the present application are as under.

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The defendant no.1 is the borrower and the Defendant No.2 is the co_ borrower of the loan facility which was availed from the applicant bank.

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The defendant no.'l had approached the Applicant Bank and applied for financial assistance for purchase of one commercial vehicle by submifting a Loan Application dated 26.06.2021 and after considering the said Application, the Applicant Bank had sanctioned a Term Loan of Rs. 39,OO,OOO.OO as Term Loan to the Defendants for purchasing the said commercial vehicle with the interest charged al8.75o/o p.a. calculated on daily product at monthly rests and in case of default, the bank shall be entitled to charge an additional interest 2% per month or such rate as may be specified by the bank from time to time. The Commercial vehicle Loan was to be rapaid in 47 Monthly installments of Rs. 98,313/- aach with the first installment commencing ftom 20.08.2021 and the last installment falling due on 20.06.2025. ln connection with the sanction of the aforesaid Term Loan of Rs. 39,OO,OOO.OO sanctioned by the Applicant Bank and availed of by the Oefendants, an Agreement for Loan and Guarantee dated NIL has been signed and executed by the Defendants in favour of the Applicant Bank as security for repayment of the loan facility, thereby agreeing to all the terms and conditions laid down in the said Agreements and also hypothecated the Vehicle (more specifica y described in Schedub-A of the OA) in favour of the Applacant Bank.

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ln connection with the sanction of the said Commercial Loan of Term Loan of Rs. 39,00,000.00 sanctioned by the Applicant Bank, the Defendants had signed and execuled an lrrevocable Power of Attorney dated 09.07.2021.

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The Defendants had availed of the said loan facility from the Applicant Bank, but have not paid the loan amounts in the Term Loan account as par the terms and conditions as agreed upon with the Applicant Bank, inspite of repeated demands and requests by the Applicant Bank.

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As the Oefendants have failed to repay the outstanding amount in the loan account, the Applicant Bank had demanded and requested the Defendant to regularize the loan accounts by paying the outstanding amounl in the loan account

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including the accrued interest thereon. But the Defendants failed to make any payment thereof. Thereafter, the Applicant Bank was compelled to issue Legal Notice dated 2A.OA.2O23 to the defendants demanding payment of the entire outstanding amount in the loan accounts within Seven (7) days from the date thereof, falling which necessary action will be taken against them. But the defendants failed to respond to the said notice.

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The Statements of Accounts maintained by the Applicant Bank in the usual and ordinary course of business shows that there is an outstanding balance of Rs.24,69,640.61 as on 26.08.2023 together with further inlerest in the Commercial Vehicle Loan Account No.85544494, and the account became NPA on 18.06.2023 and as such the Defendants are legally bound and jointly and severally liable to repay the said amount to the Applicant Bank with interest till realization with cost and charges.

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The applicant bank thus became constrained to file the present Original Application for the recovery of Rs, 24,69,640.6'l (Rupeg3 Twenty-Four Laca SixtyNine Thousand Six Hundred Forly and Psisa Sixty-One) only as on 26.08.2023 along wiih interesl and cost ofthe applicataon.

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After filing of the OA the Tribunal issued notice upon the defendants through registered post and the applicant bank filed service report on 29.11.2023 and brought on record the^postal receipt along with track consignment report which shows that the notice has been served upon the defendants. Even after issuing nolice upon the defendants there has been no representation on behalf of the defendants either by the counsel or the peEon and hence the defendants were set ex-parte on 11j2.2023 and the matter was^posted for ex-parte hearing on behalf of the applicant bank.

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Supporting the claim of the applicant bank Ritu Deka, Manager of the Applicant Bank has filed evidence on affidavit coupled with the security documents marked as Document -P, Exhibit- AW- l/1 to AW-'l/5, supporting the claim of the applicant bank.

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Heard the learned counsel for the applicant bank who prayad for issuance of Recovery Ceriificate against the defendants as per pleadings made in the Application, suppoded by evidence on affidavit of their witness who affirmed on oath the execution

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ot the security and other documents by the defendants and also execution of theil own documents relied upon, which have been marked exhibits.

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Considering the facts and circumstances of the case, I am of the mnsidered view that the document liled by the applicant bank are supporting^{the claimof the} applicant bank and establishing the liability of the defendant. lt^{is proved} that the defendants are liable to^pay to the applicant^{bank the claim made in the Original} Application. The loan was obtained and documents^{have been executedon} 09.07.2021. The account became^{NPAon 18.06.2023 and the OA has beenfiled on} 06.10.2023. Hence, the OA is filed well within^{the periodof limitation and this Tribunal} having a^jurisdiction to adjudicate the Original Application.

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Considering the unchallenged/unrebutted version of Ritu Deka, the applicant's witnsss and all the documents marked as exhibits, including duly certified copy of the statement of account along with interest calculation sheet maintained by the applicant Bank in it's regular course of business, I hold that the applicant is entitled to get the Recovery Certificate as prayed for.

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ln the result, the present Original Application No. 369 ol 2023 is allowed with cost as under :-

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i) The defendant No. 1 & 2 are^jointly and severally liable to pay to the applicant bank a sum of Rs. 24,69,6/+0.61 (Rupess Tvyenty-Four Laca Sixty-Nine

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Thousand Six Hundred Forty and Paisa Sixty-One) only with pendentelile and future interest @8.75% per annum with monthly rests from 27 .08.2023 I the date of full paymenvrealization and also cost of the application.

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ii) The charge of the certificated amount be kept alive on hypothecated vehicle i.e. Hypothecation of Vehicle Model- ASHOK LEYLAND 4220 202'1, Engine No. MJP2106714, Chassis No. MBI NGCHD5MPJM8953, as described in

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Schedule-A of the OA till the amount is realized in full.

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iii) The applicant bank is entitled to proceed against the secured items towards

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recovery of the debts.

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iv) The applicant bank is also entifled to proceed against the personal assets and properties of the defendants towards recovery of the dues.

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Y) The applicant bank is entitled to the costs of the O.A. which includes the advocate fees of the applicant bank. Applicant is directed to file the cost memo within 2 weeks from today.

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vi) lssue Recovery Certificate accordingly for a sum Rs. 24,69,640,61 (Rupees Twenty-Four Laca Sixty-Nine Thousand Six Hundiod Forty and paisa Sixty-One) only in favour of the appticant bank against the defendants No.1 & 2.

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viD Communicate copy of this order to the concerned parties.

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This order is dictated and conected by the undersigned.

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Judgment dated 24th September 2024, signed and pronounced in the Tribunal

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today under my signature.

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Copy of the JudgmenvFinal Order be uploaded in the Tribunal,s Website and

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file be consignad to Record Room.

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s9j.oA,rl+^ "t'+ 21-lrglN t (shiv sharen oJu.j/l '^v Presiding Officer DRT, cuwahati.

Hdfc Bank v. Mr Abhishek Rai

Case brief

What is this about?

What did the court decide?

Hdfc Bank v. Mr Abhishek Rai

Case brief

What is this about?

What did the court decide?

What the court decided

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