Allowed

Hdfc Bank Limited v. Harwant Singh and Others

DRT7 Oct 2024OA/866/2023

Case brief

AI extract

What is this about?

The Debts Recovery Tribunal allowed the application filed by HDFC Bank Ltd. for recovery of Rs. 22,57,403.69. The court granted uniform simple interest at 8.00% p.a. and authorized recovery from the sale of mortgaged properties or through attachment of personal assets.

What did the court decide?

Recovery of Rs. 22,57,403.69 with costs and interest @8.00% p.a. from sale of mortgaged properties or personal assets.

Hdfc Bank Limited versus Harwant Singh and Others — Banking and Recovery | DRT (2024)

¶1

DEBTS RECOVERY TRIBUNAL-III, CHANDIGARH

¶2

ORIGINAL APPLICATION NO.866/2023

¶3

PRESIDED OVER BYMRIDULESH KUMAR SINGH

¶4

DATE OF INSTITUTION: 10.07.2023

¶5

DATE OF DECISION: 07.10.2024

¶6

HDFC Bank Ltd., a Banking company, incorporated and Registered under the Companies Act, 1956 having its Registered Office at HDFC Bank House, Senapati Bapat Marg, Lower Parel(West), Mumbai 400013, inter alia having a branch office at Chabal Kalan and Amarkot District Tarn Taran (Punjab) through Sh. Harminder Pal Singh posted as Remedial Manager of Retail Agri at HDFC Bank Ltd., Plot No.I-15, Sector-101, Alpha IT City, Mohali (Punjab) who is Constituted Attorney.

¶7

……..Applicant Versus

¶8

1. Sh. Harwant Singh S/o Sh. Gurmakh Singh, R/o House No.211, Village Lakhnan, Tehsil Patti, District Tarn Taran (Punjab).

¶9

Sh. Chhinder Singh S/o Sh. Gurmakh Singh, R/o House No.211, Village Lakhnan, Tehsil Patti, District Tarn Taran (Punjab).

¶10

Sh. Gurbhej Singh S/o Sh. Jagtar Singh, R/o House No.109, Village Lakhnan, Tehsil Patti, District Tarn Taran (Punjab)

¶11

….……Defendants

¶12

Advocates:

¶13

Argued by Sh. Soarabh Modi, Advocate for the Applicant Defendants are ex-parte

¶14

FINAL ORDER

¶15

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.22,57,403.69 (Rupees Twenty Two Lacs Fifty Seven Thousand Four Hundred Three and Sixty Nine Paisa Only). The Original Application has been filed through Sh. Harminder Pal Singh, Remedial Manager of the applicant, who is competent to institute the Original Application vide

¶16

¶17

General Power of Attorney dated 16.12.2020, which is Annexure A1 to this OA.

¶18

The brief facts of the OA are that the defendant No.1 & 2 had approached the applicant bank for the grant of CC Limit of Rs.10.68 Lacs and Term Loan of Rs.3.52 Lacs vide Loan Application dated 21.05.2013, which is Annexure A2 to this OA. Further, defendant No.1 & 2 had again approached for enhancement of CC Limit to Rs.19.00 Lacs and Term Loan to Rs.4.16 Lacs vide Loan Applications dated 13.02.2015, which is Annexure A8 to this OA.

¶19

The applicant Bank sanctioned the CC Limit of Rs.7.15 Lacs and Term Loan of Rs.3.50 Lacs vide Sanction Letters dated 10.06.2013, which is Annexure A3 to this OA and the terms and conditions were duly accepted by the defendants. Further, enhanced the CC Limit to Rs.16.75 Lacs and Term Loan to Rs.4.15 Lacs vide Sanction Letters dated 02.04.2015, which is Annexure A9 to this OA. 4. Defendant No. 1 & 2 had mortgaged her immovable property i.e. total land measuring 65Kanal 04Marla situated at Village Lakhnan, Hadbast No. 76, District Tarn Taran vide Registered Mortgage Deed bearing vasikano.455 dated 24.06.2013 & Declaration U/s 4(1) dated 09.04.2015, w hich are Annexures A4 & A10 to this OA. Documents executed:-Agreement for Overdraft /Cash Credit cum Guarantee Cum Hypothecation, Agreement for Term Loan cum Guarantee Cum Hypothecation, Demand Promissory Note & Letter of continuity for DP Note all dated 01.07.2013, which are Annexure A5 to A7 to this OA; Agreement for Overdraft /Cash Credit cum Guarantee Cum Hypothecation, Agreement for Term Loan cum Guarantee Cum Hypothecation both dated 30.04.2015, which are Annexure A11 & A12 to this OA; Statements of Accounts with certificate, which is Annexure A13 to this OA and Legal Notice dated 01.03.2023 with postal receipts, which is Annexure A14 to this OA. 5. The loan accounts became irregular and were classified as NPA and after adjusting debit and credit entries in both the loan accounts

¶20

¶21

there was a debit of Rs.22,57,403.69, which is recoverable and the defendants were served recall notices but they did not repay the outstanding amount, therefore, the applicant bank requested to accept the application and to issue Recovery Certificate accordingly.

¶22

The defendants were served notices to appear before this Tribunal but no one appeared on behalf of defendants and they were proceeded ex-parte on 27.09.2024.

¶23

In support of the OA, affidavit of Sh. Harminder Pal Singh, Remedial Manager, HDFC Bank Ltd. has been filed.

¶24

Heard arguments and perused record.

¶25

It was argued by learned counsel that in view of the documentary evidence brought on record which had gone unrebutted, the applicant bank had proved its case. From the perusal of all the Annexure A1 to A14 to this OA, it is proved that the defendants approached applicant bank for availing of the loan facilities which were 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, accounts of the defendants were classified as NPA. From the documentary evidence brought on record, it is proved that applicant bank is entitled to recover a sum of Rs.22,57,403.69 (Rupees Twenty Two Lacs Fifty Seven Thousand Four Hundred Three and Sixty Nine Paisa Only) along with interest from the defendants, jointly and severally, from the date of filing of the present Original Application till realization of all the accounts.

¶26

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. from 01.10.2022 till the realization.

¶27

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

¶28

¶29

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 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.

¶30

In the result, the application is allowed declaring that the defendants are liable to pay to the applicant a total sum of Rs.22,57,403.69 (Rupees Twenty Two Lacs Fifty Seven Thousand Four Hundred Three and Sixty Nine Paisa Only) jointly and severally, with costs, current and future simple interest @8.00%p.a. in all the loan accounts from the date of filing of OA till the date of realization of the amount. Accordingly, the applicant bank shall be entitled to recover 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.

¶31

Any other application pending stands disposed of.

¶32

Issue Recovery Certificate accordingly.

¶33

Parties to appear before Learned Recovery Officer of this

¶34

Tribunal on 23.10.2024.

¶35

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.

¶36

Pronounced by me in the open Tribunal .

¶37

Dated: 07.10.2024.

¶38

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

Hdfc Bank Limited v. Harwant Singh and Others

Case brief

What is this about?

What did the court decide?

Hdfc Bank Limited v. Harwant Singh and Others

Case brief

What is this about?

What did the court decide?

What the court decided

A compact analysis

Issues for consideration

Parties & counsel

Coram

Case details

Similar cases

Icici Bank Limited versus Mehal Singh and Others

Hdfc Bank Limited versus Messrs Samundri Trading Co. and Others

Hdfc Bank Limited versus Parminder Singh and Others

Punjab National Bank versus Bawa Singh

Punjab National Bank versus Darshan Kumar and Others

Hdfc Bank Limited versus Jaspal Singh and Others