The Debts Recovery Tribunal, Patna, in an ex-parte proceeding, upheld the application by FC Bank Ltd. and HDFC Bank Ltd. to recover dues of Rs. 32.59,823.02 along with interest from the borrower and guarantor who failed to appear and contest the claim.
Recovery certificate issued for Rs. 32,59,823.02 with interest to be realized from the defendants' assets.
This page shows the compact analysis of this judgement. The full analysis — procedural history, issue-by-issue holdings with ratio and obiter, advocates, and paragraph-level evidence for every claim — is being added to the record in batches and will appear here when this judgement has been through it.
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OA 438 of 2023 1 Jl
DRT. PATN A
Debts Recovery Tribunal, Patna
Karpuri Thakur Sadan, Aashiana Digha Road Patna-800025
Presiding Officer : Shri KaushalendraYadav
OA Case No. 438of 2023
FC Bank Ltd.. 2"d Floor Rajendra Ram Plaza Exhibition Road. Patna- 1
,Applicant
Vs
. . Defendants
Present:
For the Applicant : Shri Bhola Shankar . Advocate For the Defendants : None
Dated: 18.09.2024
JUDGMENT
3 . Defendant no. 1 approached the bank for grant of loan of Rs.38.19.844/on 11.11.2021. which was sanctioned by the bank on 30.11.2021. Defendants executed the various loan documents. Defendant no. 2 is guarantor.
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OA 438 of 2023 1 J 1
bank. in spite of several assurances given by it to the applicant bank resulting in the account turning as NPA on5.4.2023 .
Since. the defendants failed and neglected in spite of several reminders to make payment of the dues recoverable to the bank. hence this application has been filed by the bank.
The total liability in the loan account is Rs.32.59.823.02with pendentelite and future interest @9.43% p.a. with monthly rests from 25.7.2023 till the realization.
| SI.N'’Description of Documents Photocopies |
of 1Date Execution |
Amount (inLakh) |
Signature of Executants |
1Ex./ Ann No |
|---|---|---|---|---|
| ) | 11.1 1.2021 | Defendants | ||
| Loanagreement | 30.1 1.2021 | lefendants | ||
| e notrce |
Bank | |||
| Statement no |
( | a |
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OA +38 of 2023 IJ I
24.7 o0o3
account
11 . It has been established that defendants are living and carrying on their business in the state of Bihar. Cause of action also arose in the State of Bihar. The said claim on the date of filing of application exceeded Rs.20 lacs. The applicant bank is functioning within the jurisdiction of this Tribunal. Therefore, this Tribunal has territorial as well as pecuniary jurisdiction to adjudicate upon the present application.
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OA 438 of 2023 1 Jl
DRT, PATN A
The rule 12 (10) of the Debt Recovery Tribunal (Procedure) Rules, 1993. provides that if the defendant denies his liability to pay the claim made by the applicant, the tribunal may act upon the affidavit of the applicant who is acquainted with the facts of the case or who has on verification of the record sworn the affidavit in respect of the contents of the application and the documents as evidence.
The rule 12 (11 ) of the aforesaid Rules, provides that the provisions contained in section 4 of the Banker-s Books evidence that Act. 1891 (18 of 1891 ) shall apply to a certified copy of an entry in a Banker's Books furnished along with application filed under sub section 1 of section 19 by the applicant.
Section 4 of Banker’s Books evidence Act, 1891 runs as underS.4. Mode qf proof of- entries in bankers’ books.–Subject Io tIle pr(nisi(ms ( if this Act , a certified COPY CIf anY entrY in a bauker's book shall in all legal proceedings he received as I)rinrcl f'cicie evidence CIf tIle existence of such enTI''. and shall be ctdnritted as evidence of fIle nlatters, trcmsclctions and accounts therein recorded in c'I’c'/'); case \there. and to lhe stllne extent CIS. the original entrY itself is no\t hv law adlnissible, but not further or otherwise.
As such the certified true copies of the documents are admissible in evidence. The statement of account maintained in the ordinary course of business is not only admissible but shall be taken as the correct statement of account. more so since the entries in the statement of account have not been challenged
On perusal of the application. documents. affidavit and on consideration of the arguments. it is proved that the defendants have applied for loan and the bank had sanctioned the loan and to secure the loan and for repayment of loan amount with interests etc., the defendants have executed various loan documents. as stated in the application and proved by aforesaid evidence. Defendants have neither denied the utilization of funds advanced by applicant bank nor have pointed out any specific error and discrepancy in the Statement of Account.
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OA 438 of 2023 IJI
DRT, PATN A
aforementioned statement. As such this amount is recoverable till full and final realization of the claim.
ORDER
In the result, the application of the applicant bank is allowed and debt is determined with costs against the defendants. The defendants are hereby jointly and severally. ordered to pay the applicant bank its debt amounting toRs.32.59.823.02along with pendente-lite and future interest ai 9.43% p.a. with compounded monthly rests from 6.9.2023(The date of filing of this OA) till realization of the entire sum due and recoverable with costs.
It is made clear that any amount deposited by the defendants. be deducted in the claim amount. if not deducted.
Defendants are debarred from transferring. alienating encumbering or otherwise dealing with or disposing of the mortgaged or hypothecated or any other properties and assets without paying the aforesaid adjudicated dues to the applicant bank to secure the ends of justice. The mortgaged or hypothecated assets to secure the loan in question are hereby attached and shall be subject to the final order under the recovery proceedings in pursuance of the Recovery certifIcate issued under Section 19(22) of Recovery of Debts and Bankruptcy Act 1993. The applicant may submit the certified copy of this Judgment and the Recovery Certificate before the Registrar/Sub- Registrar to endorse the charge over the secured assets
Let a certificate of recovery be drawn up forthwith and put up for signatures in terms of provisions contained in Section 19(22) of the Act to be issued. on the basis of the order of the Tribunal to the Recovery OffIcer. The Recovery Officer shall realize the amount as per the certificate in the manner and mode prescribed under the Act from the defendants. by sale of lnortgaged/ hypothecated assets as well as other personal movable/immovable assets of the d e fe n d a n t s o L4>c/\
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OA 438 of 2023 1.J I
Parties are directed to appear before the Recovery Officer. DRT. Patna on 4.11.2024. The order be communicated accordingly.
Judgment signed. sealed. dated and pronounced in the open coun on 1811lday of September. 2024.
Dictated &corrected by me.
[KausMndraYadav] Presiding Of11cer Debts Recovery Tribunal. Patna
FORM NO. 9 [See Regulation 24( 1 )]
PP
DEBTS RECOVERY TRIBUNAL PATNA
2nd Floor, ( A. B & F Wing) Karpuri Thakur Sadan. Kendriyd Karamchari Parisar (GPC)A), Ashiana Digha Road, Patna-800025
RECOVERY CERTIFICATE UNDER SECTION 19(2) READ WITH SECTION 19(b2) OF THE RECOVERY OF DEBTS & BANKRUPTCY ACT, 1993, AS AMENDED FROM TIME TO TIME.
RC No. 212/2024
IN
Case No: OA/438/2023
In the Matter of
(CH- 1) HDFC BANK AT HDFC BANK LIMITED. 2ND FLOOR RAJENDk4 RAM PLAZA EXHIBITION ROAD.
Applicant(s)
PA’rNA .BIHAR -80000 1
------ Verslts -------
To
(CD- 1) SHRIKRISHNA SINGH
Son of Dayashanker Singh Ward no.- 13. Budhan Purava Golalnber, Buxar
Buxar.BIHAR -802 1 0 1
Defendant( s)
(CD- 2) DRAUPATI DEVI (GUARANTOR) WIFE OF DAYA SFIANKAR SINGH, ADDRESSWARD NO-16B, LTDHAN PURAVA GOLAMBER
BLIX ER, Dl STR ICl’I-- B UX ER, PIN CODE- 802 1 ( 1 BIHAR
Recovery CertifIcate for Rs 3259823.02 [ Rupees Thirty Two Lakhs Fifty Nine Thousands Eight Hundred Twenty Three And Paisc F\vII Onjy I
In terms of anal order dated 18/09/2024 passed by this Tribunal in the above mentioned case, it is ordered that the Applicant Certificate Holder Bank is entitled to recover a sum of Rs. 3259823.02 along with cost, expenses and interest from the 06/09/2023 i.e. date ol- filing / with effective date of the OA/438/2023 and future interest from order date till the date of realisation in full, jointly or sever,IIly from the Certificate Debtors. hereinafter referred to as:-
In case of failure to pay the aforementioned adjudicated amount within 30 days, same shall be recovered from the sale of the mortgdged/hypothecated assets as well as other personal movable/ Immovable assets of the certificate debtors
The moltgaged or hypothecated assets to secure the loan in question are hereby attached and shall be subject to the anal order under the recovery proceeding in pursuance of the Recovery certificate issued under Section 19(22) of Recovery of Debts and Bankruptcy Act 1993
Padies are directed to appear before ASHISH KUMAR , Recovery Officer, DEBTS RECOVERY TRIBUNAL PATNA on 04/11/2024
The Recovery Officer shall realize the amount as per this Certificate in the manner and mode prescribed under Sections 25 to 28 of the Recovery of Debts Due to Banks and Financial Institutions Act. 1 993 (as amended from time to time) from the above named CertifIcate Debtors
This Certificate has been issued under my signature and seal of the Tribunal on this 19/09/2024
Cd„
PRESIDING OFFICER DEBTS RECOVERY TRIBUNAL PATNA
FORM NO. 10 [See Regulation 24(2)]
DEBTS RECOVERY TRIBUNAL PATNA
2nd Floor, ( A. B & F Wing) Karpuri Thakur Sadan, Kendriya Karamchari Parisar (GPOA). Ashiana Digha Road, Patna-800025.
SCHEDULE TO RECOVERY CERTIFICATE MEMO OF COSTS
RC No. 212/2024
IN
Case No: OA/438/2023
Applicant(s): HDFC BANK Versus
Defendant(s): SHRIKRISHNA SINGH
| Sr.No | Item ofCosts | IAmountinRs |
|---|---|---|
| eeon the application | m | |
| 2 | r | Fo |
| AdvocateFees | Fil | |
| 4 | o | ro |
| 5 | s | bc |
| 'otalCosts: Rs | 135000 |
Place: PATNA
Date: 1 9/09/2024
PRESIDIN–G OFFICER[ DEBTS RECOVERY TRIBUNAL PATNA
Note: Strike out whichever is not applicable
3 issues framed by the court
Whether the Tribunal has jurisdiction to adjudicate the debt recovery application filed by the bank against the borrower and guarantor.
Whether the application is maintainable within the limitation period despite the account being declared NPA on 5.4.2023.
Whether the bank is entitled to a recovery certificate against the defendants for the outstanding dues along with interest.
5 provisions across 3 enactments
FC Bank Ltd.
HDFC Bank Limited
Shrikrishna Singh
Draupati Devi
Kaushalendra Yadav
As recorded by the court registry
Judgements on the same questions, provisions and authorities, from every court
