Allowed

Punjab National Bank v. Jaswinder Singh

DRT22 Oct 2024OA/647/2024

Case brief

AI extract

What is this about?

Debts Recovery Tribunal allowed the bank's application for recovery of a loan of Rs.22,51,832.12 against a borrower who failed to repay despite mortgage and notices. The court granted 8% simple interest and ordered issuance of a recovery certificate.

What did the court decide?

Recovery Certificate issued; Defendant liable to pay Rs.22,51,832.12 plus costs and 8% simple interest; future recovery via execution permitted.

Punjab National Bank versus Jaswinder Singh — Execution and Attachment | DRT (2024)

¶1

DEBTS RECOVERY TRIBUNAL-III, CHANDIGARH

¶2

ORIGINAL APPLICATION NO.647/2024

¶3

PRESIDED OVER BYMRIDULESH KUMAR SINGH

¶4

DATE OF INSTITUTION: 07.04.2024

¶5

DATE OF DECISION: 22.10.2024

¶6

Punjab National Bank, a body corporate, constituted under the Banking Companies (Acquisition and Transfer of Undertakings) Act, 1970 having the Head Office at Plot No.4, Sector 10, Dwarka, New Delhi 110075 and having one of its branch at Dudwindi, Distt. Kaourthala through Sh. Ankur Rawat, Senior Manager, Punjab National Bank Circle Sastra Centre, Kapurthala, Principal Officer, General Attorney of the applicant.

¶7

……..Applicant Versus Sh. Jaswinder Singh S/o Sh. Gian Singh, R/o VPO Dudwindi, Tehsil Sultanpur Lodhi, District Kapurthala, Punjab. ….……Defendant

¶8

Advocates:

¶9

Argued by Sh. P.S. Sobti, Advocate for the applicant Defendant is ex-parte

¶10

FINAL ORDER

¶11

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.22,51,832.12p (Rupees Twenty Two Lac Fifty One Thousand Eight Hundred Thirty Two And Paise Twelve Only). The Original Application has been filed through Sh. Ankur Rawat, Senior Manager of the applicant, who is competent to institute the Original Application vide General Power of Attorney dated 04.11.2016, which is Annexure A1 to this OA.

¶12

The brief facts of the OA are that the defendant had approached the applicant for the grant of KCC Limit of Rs.4.00 Lacs & further enhancement of KCC Limit to Rs.12.00 Lacs vide Loan applications

¶13

¶14

dated 03.08.2009 & 27.08.2013 which are Annexures A2 & A8 to this OA.

¶15

3. The applicant sanctioned KCC Limit of Rs.4.00 Lacs & further enhanced it to Rs.12.00 Lacs vide Sanction Letters dated 11.08.2009 & 27.08.2013 which areAnnexures A3 & A9to this OA and the terms and conditions were duly accepted by the defendant. 4. Defendant had mortgaged his immovable property i.e. total land
measuring 25Kanal 06Marlasituated at Dudwindi, H.B.-32, Tehsil Sultanpur Lodhi vide Registered Mortgage Deed bearing vasikano.1113 dated 05.8.2009 & vasika no.1048 dated 05.09.2013 and Jamabandi
for the year 2006-2007 along with their translations,which are
Annexures A6, A12, A13 and A13Ato this OA.
Documents executed:- Agreement of Hypothecation, Letter of
Undertaking, Letter of Consent all dated 12.08.2009, which are
Annexures A4, A5 and A5Ato this OA; Report of Halqa Patwari, with its translations both dated 05.08.2009, which isAnnexure A7to this
OA; Legal Notice dated 14.05.2021 with postal receipts, which is
Annexure A14to this OA; Notice dated 16.01.2023 with , which is
Annexure A15to this OA; Balance Confirmation dated 01.08.2012,
17.12.2015, 04.09.2018 and 31.09.2021, which areAnnexures A16
to A19to this OA and Copy of Statement of Account with certificate dated 06.04.2024, which isAnnexure A20to this OA.
5. 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.22,51,832.12p, which is recoverable and the defendant was 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.
6. The defendant was served notices to appear before this Tribunal
but no one appeared on behalf of defendant and he was proceeded ex- parte on 17.10.2024.

¶16

¶17

In support of the OA, affidavit of Sh. Ankur Rawat, Senior Manager, Punjab National Bank has been filed.

¶18

Heard arguments and perused record.

¶19

It was argued by learned counsel 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 A20 to this OA, it is proved that the defendant approached applicant for availing of the loan facility which was granted to her and for that he had executed all the relevant documents in favour of the bank. The defendant failed to pay back the loan as per terms and conditions of the agreement between the parties. Subsequently, account of the defendant was classified as NPA. From the documentary evidence brought on record, it is proved that applicant is entitled to recover a sum of Rs.22,51,832.12p (Rupees Twenty Two Lac Fifty One Thousand Eight Hundred Thirty Two And Paise Twelve Only) along with interest from the defendant, jointly and severally, from the date of filing of the present Original Application till realization of the account.

¶20

In so far as pendent elite and future rate of interest is concerned, the applicant in relief clause has claimed interest @11.50%p.a. plus penal interest @2.00%p.a. with half yearly rests from 12.08.2023 till the realization.

¶21

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 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 @08.00%p.a. in

¶22

¶23

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.

¶24

In the result, the application is allowed declaring that the defendant is liable to pay to the applicant a total sum of Rs.22,51,832.12p (Rupees Twenty Two Lac Fifty One Thousand Eight Hundred Thirty Two And Paise Twelve Only) jointly and severally, with costs, current and future simple interest @08.00%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 defendant in execution proceedings if not sold earlier under the provisions of the SARFAESI Act, 2002. If the dues of the still remain unsatisfied, it shall be entitled to recover the same by attachment and sale of personal assets of the defendant. The applicant is at liberty to enforce the claim through due process of law.

¶25

Any other application pending stands disposed of.

¶26

Issue Recovery Certificate accordingly.

¶27

Parties to appear before Learned Recovery Officer of this Tribunal on 02.11.2024.

¶28

Copy of this order be given dasti to the applicant and be sent to defendant through registered/speed post and this order be also uploaded on the official website of this Tribunal and record be consigned.

¶29

Pronounced by me in the open Tribunal .

¶30

Dated: 22.10.2024.

¶31

(MRIDULESH KUMAR SINGH) Presiding Officer, DRT-III, Chandigarh

Punjab National Bank v. Jaswinder Singh

Case brief

What is this about?

What did the court decide?

Punjab National Bank v. Jaswinder Singh

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

Punjab National Bank versus Gurmukh Singh and Others

Hdfc Bank Limited versus Kuldeep Singh and Others

Hdfc Bank Limited versus Kulwant Singh and Others

Punjab National Bank versus Messrs Khalsa Commission Agent and Others

Bank of India versus Kaur Singh and Others

Icici Bank Limited versus Jaswant Singh and Others