Allowed

Bank of India v. Maa Shakti Stone Crusher

DRT28 Nov 2024OA/879/2022

Case brief

AI extract

What is this about?

The Debts Recovery Tribunal allowed a recovery application filed by Bank of India against multiple defendants including borrowers and guarantors. The court directed repayment of principal dues along with simplified interest rates and issued a recovery certificate.

What did the court decide?

Direct payment of principal dues with pendentelit and future interest at simplified rates; issuance of Recovery Certificate under Section 19(7A) RDB Act; stay on alienation of mortgaged and hypothecat

Bank of India versus Maa Shakti Stone Crusher — Contract and Commercial Disputes | DRT (2024)

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DEBTS RECOVERY TRIBUNAL JABALPU R

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(for the States of Madhya Pradesh and Chhattisgarh)

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(Presiding Officer - Hon'bte Shri Ram Niwas Patet)

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Original Applicotion No. - 879/22

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Bank of lndia, Seoni (M.P.)

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.... Applicant

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Versus

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1. M/s Maa Shakti Stone Crusher, Through its ProprietorShri Naval Kishore Bhaget, Vittage-Khatkar, Tehsit-Chourai, District-Chhindwara (M. P. )

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1. Shri Naval Kishore Baghel, S/o Shri Nemisingh Baghel

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1. Smt. Swati Baghet, W/o Shri naval Kishore Baghel

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1. Shri Nemi Singh Baghel, S/o Shri Sukhdev

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(2 to 4 R/o Vittage-Lakhan Wada, Post-Bamhodi, Distt.-Seoni, M.P.)

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1. Shri Ram Kumar Rai, Sio Shri Makhan La[ Rai, R/o Dr. Dhal Singh Bisen Ke Ghar Ke Samne, CV Raman Ward, District-Seoni (M.P.) Defendants

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Counsel for the Appticant : Shri Atok Mishra, Advocate

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Defendants : Ex-parte

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JUDGMENT l^{o at e d : 78-N} ove m b e r, 20 24 l

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The Appticant-Bank has fited the present Originat Apptication uls 19 of Recovery of Debts and Bankruptcy Act on 12/07 122 against the Defendants for recovery of Rs. 78,68,660.00 (Rupees Seventy Eight Lac, Sixty Eight Thousand, Six Hundred and Sixty only) along with interest and other retiefs as stated.

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The brief facts of the case are that on the request of Defendant No.-'1 through its Proprietor Defendant No.-2, the Appticant Bank enhanced the existing Cash Credit Limit from3 Lac to Rs. 32 and atso sanctioned fresh Term Loan of Rs. 33 Lac on08/03/17, Kisan Credit Card

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oA 879122

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Limit of Rs. 2 Lac on 17/08/09 and additional Kisan Credit Card Limit of Rs. 2 Lac on 29103/12. On the request of Defendant No.-2 and 3 the AppticantBank also sanctioned Term Loan in the shape of Vehicte Loan of Rs. 13.50 Lac on 10/08/16. ln consideration of the sanction of credit facitities the Defendant No.-1 & 2 as borrower, Defendant No.-4 as guarantor for Kisan Credit Card Account, Defendant No.-5 as guarantor for vehicte loan in addition to execution of loan and guarantee documents have atso created equitabte mortgage over the immovabte property, i,e., Vitlage-Khatkar, P.C. No.-10l11, B.No.-40, Khasra No.-371 /4, 494,372,373/2, 492/2, area 1.325 hectare, RIC Chourai, Tehsil-Chourai, Distt.-Chhindwara (M.P.); belonging to Defendant No.-2. The Defendant No.-2 and 3 hypothecated the vehicle Tata Safari Storm bearing Registration No.-MP20CA/3402 in favour of the Applicant-Bank. The Defendants avaited the credit facitities and also executed Acknowledgment of Debt and Security on 06/08/19 for vehicle [oan, AcknowLedgment of Debt & Security with respect to term loan lastly on 06101 121 and Acknowtedgment of Debt & Security with respect to cash credit lastly on 28110/20 but did not maintain satisfactory accounts. The accounts were ctassified as NPA and the Defendants failed to liquidate the outstanding dues despite issuance of Legal Notice on 03/09121 and initiation of action under the Securitisation Act by the Appticant Bank. The Applicant' Bank has retied upon the documents at Ex. A-1 to A'37 which were^{proved by} Shri Sumit Dixit, Senior Manager.

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Despite service of notice, the Defendants neither appeared^nor fited written statement. They were^{proceededex-partevide order dated} 17 101 124. Admittedty Defendant^{No.'4 has executedguaranteeto secure} the Kisan Credit Card limit,^{Defendant No.-5 has executed guarantee to} secure term loan for^purchase of^{vehicle and Defendant No.-3hasexecuted} documents for vehicte^(term) loan.^{Thereforethe tiabitity of these} Defendants is restricted to^{dues the respective accounts. Considering the} facts of the case, I opine that^{the Defendantsare jointty and severalty liable} to^pay the claim amount^{togetherwith interest and costs. The Appticant-} Bank in its apptication^{has [email protected]% p.a. with monthtyrests} in cash credit account^{and term toanaccount,interest@1 1.80%p.a' with} hatf-yearty rests in Kisan^{Credit Cardaccount and interest @8%p.a' with} monthty rests in Term^{(Vehicte)Loanaccount. However, I feet it fair and} reasonable to^grant interest @11.55%^{p.a.simple in cash credit account and} Term Loan account, interest @1^{1.80% p.a. simpte in Kisan CreditCard}

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oA879t22

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account and interest @8% p.a, simpte in Vehicte Loan in the shape of Term Loan pendentelite and future till realization of the dues. The mortgaged property is tiabte to be sotd along with the personal properties and assets of the Defendants for recovery of respective dues against each Defendant.

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The Originat Apptication is allowed and^'it is ordered as under-

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i) The Defendant No.-1 & 2 do pay jointty and severalty Rs. 43,84,036.79 (Rupees Fourty Three Lac, Eighty Four Thousand Thirty Six and Paisa Seventy Nine onty) due in cash credit account and Rs. 24,99,456.00 (Rupees Twenty Four Lac, Ninety Nine Thousand, Four Hundred and Fifty Six onty) due in term loan account, the Defendant No.-2 and 4 do^{pay jointly} and severally Rs. 5,53,591 .60 (Rupees Five Lac, Fifty Three Thousand, Five Hundred Ninety One and Paisa Sixty onty) due in Kisan Credit Card account and Defendant No.-2, 3 and 5 do^{pay jointty} and severatty Rs.4,31,575.60 (Rupees Four Lac, Thirty One Thousand, Five Hundred Seventy Five and Pajsa Sixty onty) due in Term Loan account in the shate of vehicle [oan, together with pendentetite and future interest @t1.55% p.a. simple in Cash Credit account and Term Loan account, interest @1 1.80%^p.a. simple^{'in Ktsan} Credit Card account and interest @8% p.a. simple in Vehicle Loan in the shape of Term Loan from the date of fiting of the OA, i.e.,12/07 127, wilh costs titl its realization.

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ii) The Appticant Bank is entitled to sett the mortgaged and hypothecated vehicte Tata Safari Storm bearing Registration No.MP2OCA|3402 as welt as personal properties and assets of the Defendants for realization of its dues. The Defendants are hereby restrained by means of 'injunction from depteting, transferring, encumbering, atienating or in any way deating with their properties / assets without first paying the respective ctaim of the Applicant Bank.

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iii) A Recovery Certificate be issued uls 19(72) of Recovery of Debts and Bankruptcy Act. The applicant bank may fite a memo of cost within 7 days for preparing Recovery Certificate.

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Judgment pronounced in the open court on this 28th Day of November, 20

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'\
( a sPa
)
Presidinq Officer

Bank of India v. Maa Shakti Stone Crusher

Case brief

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Bank of India v. Maa Shakti Stone Crusher

Case brief

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