Allowed

Allahabad Bank v. Ms Jupiter Industries

DRT27 Aug 2024TA/292/2022

Case brief

AI extract

What is this about?

The Debts Recovery Tribunal allowed a transfer application filed by Indian Bank for recovery of an outstanding loan of Rs. 3,48,77,532 with interest and costs from the respondents who were defaulters in a cash credit facility processed on 24.03.2014.

What did the court decide?

Payment of Rs. 3,48,77,532 along with cost and interest @ 12.75% from the date of filing till realization, jointly and severally.

Allahabad Bank versus Ms Jupiter Industries — Banking and Recovery | DRT (2024)

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Before SUSHIL^{KUMARRASTOGI'Presiding Officer} Debts^{RecoverYTribunal'Il' Delhi}

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TA No'292^{OF 2022}

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TNDTAN .il'Nd^{BANK (FORMERLY KNOWN AS-ALI',AHABAD} v" r'rli. ,uPtii^{rNDUsrRrEs& orHERs}

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Reserved on zOL'O7'2O24 Pronounced^{on t 27'08'2024}

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Indian^Bank (formerly known^{as Allahabad Bank)}

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-^{ApPlicant bank}

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Vs.

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M/s luPiteer^Industries

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Mr.^{Akash Bartaria}

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Mr.^{Parshant KaPoor}

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Defendants

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Present: Mr. Akash^{Jain, Counsel aPpearsfor} applicant^bank. None for^defendants.

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FINAL^ORDER

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This original^{application has been filed by the} applicant^{bank, on 27'09'2018 through Shri Ravinder} Kumar^{Thapliyal, Chief Managerof the applicant bank'} under Section^{19 of the Recoveryof Debts Due to} Banks and^{FinancialInstitution Act' 1993 against the} defendant^{nos. 1 to 3 for recoveryof a sum of} Rs.3,48,77,532/-^{togetherwith cost' chargesand} pendentellite^{and futureinterest@ 14'50o/op'a' from} date of^{filing of this T.A' till the realization in full'}

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Z. The^{brief facts of the case are that at the} request of^{the defendant no' 1 company through its} proprietor defendant^{no' 2, the applicant bank} sanctioned,^{on 24.03.2014,a Cash CreditFacility} '..- ./ 9J'

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TA NO.^{292 of 2022} 2 of under All^Bank Trade^Scheme Rs.4,00,00,000/-^{forworkingcapitalrequirement'} In order^{to avail the said loan facility the defendants} have executed^{various loaning/securitydocuments} dated^{24.03.2014.The defendantno' 2 & 3 stoodas} guarantor.^{The above said facility was sanctioned} against^{the hypothecated assets and the defendant} no. 2^{created equitable mortgage in respect of} property bearing^{no' S-25,First Floor' without roof} right, Ajay^{Enclave,Tilak Nagar' New Delhi in favour} of the applicant^{bank to secure the aforesaid credit} facility by^{deposit of title documents with the} applicant^{bank.The defendant no' 3 created equitable} mortgage^{in respect of property situated at 40-53'} FirstFloor,ChitranjanPark,NewDelhibydepositing the title^{documentsin favourof the applicant bankto} secure the^{aforesaidcreditfacility' The defendantno'} 2 deposited^{the title documents on 15'04'2014in} favour of^{the aPPlicantbank'}

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It^{is furthersubmitted that the defendants} enjoyed and^{utilized the Loan facitity' but faitedto} maintain^{the financialdisciplineand failed to repay} the due^{amounts' The applicantbank requested the} defendants^{to regularizethe loan accountby visits} and letters,^{but there was no response from the} defendants,^{hence the account was classifiedas NPA} on 31.03.2016'^{Therefore, the applicant bank initiated} proceedings under^{SARFEASIAct,2002 and sold the} above said^{mortgage properties for a sum of} Rs.1,33,45,000^{& Rs.50,42,OOO|- and sale certificate} issued on^{O4.Og.2Ot7 & 03'01'2018respectively and} adjusted the^{said sale consideration in the Cash Credit}

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S-\

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TANO.292of2022³

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Account of^{defendants' The applicant bank has} filed the^{present TA for recovery of the remaining} outstanding^amount'

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4 On notice^{by this Tribunal, defendants failed to} put aPPearance^{at all,} desPite Publication^and were Proceeded^against accordinglY^defendants exparte^{on 13.09'2023'}

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5.^The documents^{filed by applicant bank as} Annexure A-1 to^{Annexure A-14 have gone} unchallenged^{and un-rebutted' Hence' the case of the} applicant^{bank standsfully established against the} defendants^{with respectto non payment of EMI/} outstanding^amount.

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After^{perusing the records, this Tribunal is of the} view that^{the applicant bank has provedits case} beyond^{reasonabledoubts' The documents filed by} the applicant^{bank not rebutted by the defendantsand} there is^{no questionof disbelievingthe documents} filed bY^{the aPPlicant bank} based uPon^the written/Printed^documents'

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In the light^{of the above discussions, the presentT'A'} deserves^{to be allowed against defendant no' 1 to 3'}

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ORDER

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I hereby^{allow this T.A' of the Applicant Bank} and direct^{the defendantnos' 1 to 3 to pay jointlyand} severally to^{the applicant ban[ yllhin 30 days from} q-)'. -

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TANO.292of2022

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of Rs.3,48,77,5321- Rs.3,48,77,5321-^along

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sum of Rs.3,48,77,5321- Rs.3,48,77,5321-^along today, a with cost,^{expensesand interest @ L2'75o/o from the} date of^{filing of this T'A' till the date of realization'}

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In case^{of failure to deposit the above amount} 2) within^{thestipulated period,the same shall be} recoveredfromthesaleofthehypothecatedassets. In case^{of shortfallthe same shall be recoveredfrom} the sale^{of personal movable and immovableassetsof} the defendant^{nos. 1to 3'}

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3)^{RecoveryCertificatebe issuedforthwith andbe} sent to^{Recovery Officer, Debts Recovery Tribunal-Il'} Delhi.

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