Allowed

Jammu and Kashmir Bank Limited v. Manzoor Ahmed Sheikh

DRT11 Jan 2024TA/105/2023

Case brief

AI extract

What is this about?

The Debt Recovery Tribunal allowed the bank's application for recovery of Rs.31,11,295.70 with interest. The court found the bank's case proved, confirmed joint and several liability, and directed issuance of a recovery certificate under Section 19(20-AB) of the SARFAESI Act for sale of mortgaged properties.

What did the court decide?

Recovery of Rs.31,11,295.70 with interest allowed; Recovery Certificate issued; Sale of mortgaged properties permitted.

Jammu and Kashmir Bank Limited versus Manzoor Ahmed Sheikh — Execution and Attachment | DRT (2024)

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IN THE DEBTS RECOVERY TRIBUNAL-I, CHANDIGARH

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BEFORE: A S NARANG, PRESIDING OFFICER

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TA No: 105 of 2023 Date of Institution: 20.08.2014 Date of Decision: 11.01.2024

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The Jammu and Kashmir Bank Ltd., (Business Unit Dalgat, Srinagar), through its Assistant Vice President, Zonal Office, M.A. Road, Srinagar, J & K

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……..Applicant

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Vs.

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Manzoor Ahmad Sheikh S/o Abdul Ahad Sheikh, R/o Kalwal Mohalla, Rainawari, Srinagar, Sole Proprietor: M/s Crown Carpets, Kalwal Mohalla, Rainawari, Srinagar.

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Ghulam Mohammad Ganaie S/o Ghulam Hassan Ganaie, R/o Bagh-i-Mehtab, Srinagar.

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Abdul Rahim Lala S/o Ghulam Nabi Lala, Jogi Lankar, Rainawari, Srinagar.

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……….Defendants

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Advocates

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Sh. Vivek Verma, counsel for the applicant. Defendants- Ex parte .

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TA for the Recovery of Rs.31,11,295.70p with interest @14.25% per annum with monthly rests from 20.08.2014.

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ORDER

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On 03.06.2014, Punjab and Sind Bank, had filed a suit for the recovery of Rs.31,11,295.70p with interest against M/s Manzoor Ahmad Sheikh And Others (defendants) in the Additional District Judge, Srinagar. However, vide order dated 21.02.2023, this suit was transferred by the Court of Additional District Judge, Srinagar, to DRT-I, Chandigarh.

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Bank’s case is that on 22.08.2002, it had granted Cash Credit Loan of Rs.6.00 lacs to defendant no.1 for business purpose. Defendant nos.2 and 3 stood as guarantors. To secure the loan, Defendant no.1 had

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mortgaged his immovable properties and also created hypothecation of stocks in trade (fully detailed in para No.5 of the application). The loan was chargeable to interest @12.50% per annum with monthly rests. On 20.08.2014, a sum of Rs.31,11,295.70p was due from the defendants. Despite repeated requests, defendants did not make the repayment. Hence, the suit.

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Summonses were sent to defendants by registered post, which were duly served. However, defendants did not put in appearance. Vide order dated 02.05.2017 passed by Civil Court, Jammu, defendants were proceeded ex parte .

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In order to prove its case, the Bank has placed on record the affidavit of Mr. Mohammad Farooq Rather, Vice President Law, along with the loan and security documents.

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I have perused the evidence on the record. I am of the considered view that the Bank has proved its case that it had advanced the loan of Rs.6.00 lacs and on 20.08.2014, an amount of Rs.7,80,16,881/- was due.

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Accordingly, the case of the bank for the recovery of Rs.31,11,295.70p (Rupees Thirty-One Lacs Eleven Thousand Two Hundred Ninety-Five And Paisa Seventy Only) with interest @14.25% per annum with monthly rests from 20.08.2014, till the date of payment is hereby allowed with costs. The liability of all the defendants would be joint and several. Bank can recover its dues by the sale of mortgaged properties, fully detailed in para No.5 of the application, as well as from the personal movable and immovable property(ies) of the defendants.

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Pending IAs, if any, stand disposed of. 8. Recovery Certificate be issued accordingly. 9. Parties are directed to appear before Recovery Officer on 12.02.2024 , who is directed to distribute the sale proceeds of the

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mortgage properties, as per the provisions of Section 19(20-AB) of the Act . 10. A Copy of this order along with Recovery Certificate be sent to the Recovery Officer as well as the parties. Pronounced in the open court. (A S Narang) Dated: 11^th January, 2024 Presiding Officer DRT-1, Chandigarh

Jammu and Kashmir Bank Limited v. Manzoor Ahmed Sheikh

Case brief

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Jammu and Kashmir Bank Limited v. Manzoor Ahmed Sheikh

Case brief

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What did the court decide?

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