Allowed

Hdfc Bank Limited v. Gurmeet Singh Alias Tarsem Singh and Others

DRT12 Sept 2024OA/972/2023

Case brief

AI extract

What is this about?

In an ex-parte order, the Tribunal allowed the bank's recovery application. It declared defendants liable to pay Rs.20.34 lakhs reduced interest to 8% p.a. and ordered the issuance of a Recovery Certificate for enforcement.

What did the court decide?

Declaration of liability, recovery of Rs.20,34,001.00 with 8% p.a. interest, issuance of Recovery Certificate, and liberty to attach and sell assets.

Hdfc Bank Limited versus Gurmeet Singh Alias Tarsem Singh and… — Banking and Recovery | DRT (2024)

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DEBTS RECOVERY TRIBUNAL-III, CHANDIGARH

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ORIGINAL APPLICATION NO.972/2023

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PRESIDED OVER BYMRIDULESH KUMAR SINGH

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DATE OF INSTITUTION: 23.06.2023

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DATE OF DECISION: 12.09.2024 H.D.F.C. Bank Ltd. a Banking company, carrying on banking business under Banking Regulation Act, 1949, incorporated under The Companies Act, 1956 and having registered Office at HDFC Bank House, Senapati Bapat Marg, Lower Parel, Mumbai 400013, whereas one of its branch at “Badhni Kalan, District Moga (Punjab)” through Ms. Pooja Arora, Senior Manager(Legal), H.D.F.C Bank Ltd., Ludhiana Branch, District Ludhiana (Punjab) being Power of Attorney holder of the applicant.

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……..Applicant

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Versus

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1. Sh. Gurmeet Singh @ Tarsem Singh S/o Sh. Jangir Singh, R/o Patti Mahir Ki, Village Ranian, Tehsil Nihal Singh Wala, District Moga (Punjab) 142056

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2. Sh. Pritam Singh S/o Sh. Suhawa Singh, R/o Patti Mahir Ki, Village Ranian, Tehsil Nihal Singh Wala, District Moga (Punjab) 142056

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3. Sh. Jangir Singh S/o Sh. Suhawa Singh, R/o Patti Mahir Ki, Village Ranian, Tehsil Nihal Singh Wala, District Moga (Punjab) 142056

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4. Sh. Nirmal Singh S/o Sh. Mukhtiar Singh, R/o Patti Mahir Ki, Village Ranian, Tehsil Nihal Singh Wala, District Moga (Punjab) 142056

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.……Defendants

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Advocates: Argued by Sh. Saurabh Bharadwaj, Advocate for the Applicant (through VC) Defendants are ex-parte FINAL ORDER

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1. Present Original Application was instituted by the applicant bank under Section 19 of the Recovery of Debts Due to Banks and Financial Institutions Act, 1993, against the defendants for recovery of Rs.20,34,001.00 (Rupees Twenty Lacs Thirty Four Thousand One Only). The Original Application has been filed through Ms. Pooja Arora, Senior Manager o f the applicant, who is competent to institute the

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

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2. The brief facts of the OA are that the defendant No.1 to 3 had approached the applicant for the grant of KCC Limit of Rs.13.17 Lacs
and Term Loan of Rs.3.10 Lacs vide Loan Applications dated
02.08.2014, which isAnnexure A2to this OA. Further, Defendant
No.1 & 2 again approached the applicant for OD Limit of 2.77 Lacs vide
Loan Applications dated 18.06.2019, which isAnnexure A12to this
OA.
3. The applicant sanctioned the KCC Limit of Rs.12.00 Lacs and
Term Loan of Rs.2.77 Lacs vide Sanction Letters dated 20.08.2014,
which areAnnexure A3 to A4to this OA. Further, the applicant
sanctioned the OD Limit of 2.77 Lacs vide Sanction Letter dated
23.07.2019, which isAnnexure A13to this OA and the terms and conditions were duly accepted by the defendants
4. Defendant no.1 had mortgaged his immovable properties i.e.
total land measuring 27 Kanal 07 Marlasituated at Village Ranian I,
Tehsil Nihal Singh Wala, District Moga (Punjab) vide Registered
Mortgage Deed bearing Vasika no. 991dated 20.08.2014 with its
translation, which isAnnexure A11to this OA. Documents executed:-D.P.Notes, Letters of Continuity, Agreement for
Term Loan cum Guarantee Cum Hypothecation, Agreement for
Overdraft/Cash Credit cum Guarantee Cum Hypothecationall dated
20.08.2014, which areAnnexures A5 to A10to this OA;Agreement
for Overdraft/Cash Credit cum Guarantee Cum Hypothecationdated
29.07.2019, which isAnnexure A14to this OA; Letter of
Acknowledgment of Debts 07.07.2020, which isAnnexure A15to this
OA; Legal Notice dated 31.05.2023 with Postal Receipts, which is
Annexure A16to this OA and Statements of Accounts all with
certificate, which areAnnexures A17 to A18to this OA.
5. The loan accounts became irregular and were classified as NPA
and after adjusting debit and credit entries in all the loan accounts
there was a debit of Rs.20,34,001.00, which is recoverable and the

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defendants were 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.

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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 02.08.2024. 7. In support of the OA, affidavit of Ms. Pooja Arora, Senior Manager, HDFC Bank Ltd. h as been filed. 8. Heard arguments and perused record. 9. It was argued by learned counsel through video conferencing 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 Annexure A1 to A18 to this OA, it is proved that the defendants approached applicant 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. 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 is entitled to recover a sum of Rs.20,34,001.00 (Rupees Twenty Lacs Thirty Four Thousand One 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. 10. In so far as pendent elite and future rate of interest is concerned, the applicant in relief clause has claimed interest @12.00%p.a. plus penal interest @2.00%p.a. rests from 30.05.2023 till the realization.

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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 defendants, quantum of loan and prevalent market rates of interest which have gone drastically downhill in yester years, while

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exercising the discretion vested in this Tribunal, this Tribunal deems it just and appropriate to grant uniform simple interest @8.00%p.a.in all 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.20,34,001.00 (Rupees Twenty Lacs Thirty Four Thousand One 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 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 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.

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Any other application pending stands disposed of. 13. Issue Recovery Certificate accordingly. 14. Parties to appear before Learned Recovery Officer of this Tribunal on 08.10.2024. 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: 12.09.2024. (MRIDULESH KUMAR SINGH) Presiding Officer, DRT-III, Chandigarh

Hdfc Bank Limited v. Gurmeet Singh Alias Tarsem Singh and Others

Case brief

What is this about?

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Hdfc Bank Limited v. Gurmeet Singh Alias Tarsem Singh and Others

Case brief

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