DRT-III, Chandigarh disposed of an ex-parte original application seeking recovery of a bank loan. The Tribunal confirmed the defendants' liability for the outstanding amount and reduced the applicant's claimed interest rate from 12.25% to 8% annually.
Di declaration to pay Rs.20,75,119.43 with interest @8% p.a. from filing date; Recovery Certificate issued.
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DEBTS RECOVERY TRIBUNAL-III, CHANDIGARH
ORIGINAL APPLICATION NO.567/2024
PRESIDED OVER BYMRIDULESH KUMAR SINGH
DATE OF INSTITUTION: 04.04.2024
DATE OF DECISION: 09.10.2024
ICICI BANK LTD., a Body Corporate, incorporated under the Companies Act, 1956 and Bank within the meaning of the Banking Regulation Act, 1949 and having its registered office at Near Chakli Circle, Old Padra Road, Vadodara, 390-007, and its corporate office at ICICI Bank Towers, Bandra Kurla Complex, Mumbai-400051 and having branches all over India and one of its branch offices situated at 1st Floor, Near N.K. Sharma Office, Chandigarh Ambala National Highway, Zirakpur, District S.A.S. Nagar, Punjab through its authorized signatory, Sh. Mohd. Vajid.
……..Applicant
Versus
Both the defendants are residents of :-
House No. 70, Hira Nagar, Village Daroli, Ghaga, Tehsil Patran, District Patiala-147102.
….……Defendants
Advocates:
Argued by Sh. Jiteshwar Malhi, Advocate proxy for Sh. Rahul Garg, for Applicant Defendants are ex-parte
FINAL ORDER
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Application vide Power of Attorney dated 18.09.2019, which is Annexure A1 to this OA.
Documents executed:- Hypothecation Deed, , Which are Annexures A4 & A6 to this OA; Loan Recall Notice dated 12.03.2024, which is Annexure A7 to this OA and Statement of Accounts with certificate, which is Annexure A8 to this OA.
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Annexures A1 to A8 to this OA, it is proved that the defendants approached applicant bank 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 bank. 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 bank is entitled to recover a sum of Rs.20,75,119.43p (Rupees Twenty Lacs Seventy Five Thousand One Hundred & Nineteen and Paisa Forty Three 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.
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 defendant, quantum of loans 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 the loan accounts from the date of filing of the OA till realization of the amount ordered vide this final order. It is ordered accordingly. 11. In the result, the application is allowed declaring that the defendants are liable to pay to the applicant a total sum of Rs.20,75,119.43p (Rupees Twenty Lacs Seventy Five Thousand One Hundred & Nineteen and Paisa Forty Three 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 bank shall be entitled to recover
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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 bank 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. 12. Any other application pending stands disposed of. 13. Issue Recovery Certificate accordingly. 14. Parties to appear before Learned Recovery Officer of this Tribunal on 24.10.2024. 15. 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. Pronounced by me in the open Tribunal . Dated: 09.10.2024 (MRIDULESH KUMAR SINGH) Presiding Officer, DRT-III, Chandigarh
2 issues framed by the court
Whether the application for recovery of debt benefits from relitigation due to ex-partes appearance of defendants.
What rate of interest should be granted in lieu of the claimed rate considering prevailing market rates.
2 provisions across 2 enactments
ICICI Bank Ltd.
Sh. Pargat Singh
Smt. Amandeep Kaur
MRIDULESH KUMAR SINGH
As recorded by the court registry
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