Allowed

Bank of Maharashtra v. Sagar Industries Prop Sagar Suresh Kale

DRT8 Apr 2024OA/861/2022

Case brief

AI extract

What is this about?

In an ex-parte debt recovery application, the Debts Recovery Tribunal allowed the claim for the outstanding loan amount pending repayment of capital interest and granted future interest at 9% per annum, while disallowing penal charges.

What did the court decide?

The applicant was directed to recover Rs.11,09,438/- along with future interest at 9% per annum from the date of filing the Original Application and a Recovery Certificate was issued.

Bank of Maharashtra versus Sagar Industries Prop Sagar Suresh Kale — Insurance | DRT (2024)

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Presented on : 04.07.2019 Registered on : 07.10.2022 Decided on : 08.04.2024 Duration : Y M D 04 09 04

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IN THE DEBTS RECOVERY TRIBUNAL AT PUNE (Before Shri Dilip G Murumkar, Presiding Officer) ORIGINAL APPLICATION No. 861/2022.

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Bank of Maharashtra, Shriroli (P) Branch, Kolhapur, C.A. No. 1173, Unchgaonkar Lane, Main Road, Shiroli Pulachi, Taluka Hatkanangale, District Kolhapur 416122. .. Applicant

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Versus

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Sagar Industries, A sole proprietary concern represented through Proprietor – Mr. Sagar Suresh Kale, R/o : Yadavwadi, A/p – Shiroli (P), Taluka Hatkanangale, District Kolhapur 416122. .. Defendant

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APPEARANCES

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For Applicant	Advocate Priti Bhat.
For Defendant	Exparte.

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TOTAL CLAIM AMOUNT –Rs.11,24,948/-

(OA No. 861/2022)

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Sanap

JUDGMENT (Delivered on 08^th April, 2024)

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The Applicant Bank has filed the present application for recovery of the sum of Rs.11,24,948/- together with future interest @10.70% per annum from the date of Application till realization of the entire dues from the defendant.

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Brief facts of the application are as under :

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As per the loan application of the defendant, the applicant Bank sanctioned and disbursed the Cash Credit facility of Rs.10,00,000/- to the defendant vide Sanction Letter dated 06.11.2017.

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In order to secure the aforesaid Cash Credit facility, the defendant executed necessary loan and security documents in favour of the applicant Bank along with deed of hypothecation of goods in favour of the applicant Bank.

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The applicant Bank contended that the defendant committed defaults in payment of installments and failed to regularize the accounts. Therefore, the applicant Bank has classified the account of the defendant as Non Performing Assets on 31.03.2018 as per direction/guidelines of the Reserve Bank of India.

(OA No. 861/2022)

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Hence, this application is filed.

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The defendant failed to appear despite service of summons. Hence, the application proceeded ex-parte as per Order dated 09.02.2019 passed below Application (Exhibit-1).

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The applicant Bank has filed Claim Affidavit of evidence (Exhibit-6) of Manoj M. Patil, Manager of the applicant Bank, and has produced on record the original loan transaction documents at Sr. Nos. AW-1-1 to AW-1-8 along with list (Exhibit 7), which corroborates the case of the applicant Bank.

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I have heard arguments of the learned Advocate for the applicant Bank.

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Since the defendant failed to appear and contest the application, I find no reason to disbelieve evidence of the applicant Bank. Therefore, the applicant Bank is entitled for reliefs as claimed.

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The applicant Bank has claimed Penal Charges of Rs.15,510/-, which cannot be granted and the same is required to be deducted from the total claim amount. Therefore, the total claim amount of Rs.11,24,948/- is reduced to Rs.11,09,438/-.

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The applicant Bank has claimed future interest @10.70% per annum. However, considering the facts of the case, I am of the

(OA No. 861/2022)

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Sanap

opinion that if future interest is granted @9% per annum (simple), it would be just and reasonable rate of interest.

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Hence, I pass the following order :-

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ORDER

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(A) Original Application No.861/2022 is allowed with costs.

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(B) The defendant shall pay to the applicant Bank the sum of Rs.11,09,438/- (Rs. Eleven Lakhs Nine Thousand Four Hundred Thirty Eight only) along with future interest @9% per annum from the date of filing of the Original Application i.e. 04.07.2019 till full payment/realization of the amount mentioned in this operative order.

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(D) The Registrar is directed to send the copy of Judgment and Recovery Certificate to the applicant and defendant.

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Sd/(Dilip G Murumkar) Place : Pune Presiding Officer Date : 08.04.2024 Debts Recovery Tribunal, Pune.

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(OA No. 861/2022)

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Sanap

Bank of Maharashtra v. Sagar Industries Prop Sagar Suresh Kale

Case brief

What is this about?

What did the court decide?

Bank of Maharashtra v. Sagar Industries Prop Sagar Suresh Kale

Case brief

What is this about?

What did the court decide?

What the court decided

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