Allowed

Punjab National Bank v. Monika

DRT22 Apr 2025OA/1481/2024

Case brief

AI extract

What is this about?

The Tribunal allowed the bank's Original Application under the RDDBFI Act for recovery of Rs. 48.22 lakhs. It reduced the claimed interest from 10.80% to 8% per annum and issued a Recovery Certificate, directing enforcement via hypothecated property or asset attachment.

What did the court decide?

Recovery of Rs. 48.22 lakhs plus costs and 8% simple interest; issuance of Recovery Certificate.

Punjab National Bank versus Monika — Specific Performance | DRT (2025)

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DEBTS RECOVERY TRIBUNAL-III, CHANDIGARH

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ORIGINAL APPLICATION NO.1481/2024 PRESIDED OVER BYMRIDULESH KUMAR SINGH

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DATE OF INSTITUTION: 27.12.2024

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DATE OF DECISION: 22.04.2025

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Punjab National Bank, a body corporate and a nationalized Bank constituted under the provisions of The Banking Companies (Acquisition & Transfer of Undertaking) Act 5 of 1970 with its Head Office at Plot No.4, Sector-10, Dwarka, New Delhi 110075 and amongst others a Branch at Rajpura Road, Ludhiana through Sh. Sukhjeet Singh, Senior Manager and Attorney holder posted at Circle Sastra Centre, Ludhaina.

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……..Applicant

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Versus

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Ms. Monika D/o Sh. Ashok Kumar R/o House no. B-33/735, Ward No. 26, Saroop Nagar Salem Tabri, District Ludhiana, Punjab 141008.

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….……Defendant

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Advocates:

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Present Ms. Anuradha Gupta, Advocate proxy for Sh. Manish SIngla, Advocate for the Applicant Defendant is ex parte

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FINAL ORDER

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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 defendant for recovery of Rs.48,22,041.10p (Rupees Fourty Eight Lacs Twenty Two Thousand Fourty One and Paise Ten Only). The Original Application has been filed through Sh. Sukhjeet Singh, Senior Manager o f the applicant bank, who is competent to institute the Original Application vide General Power of Attorney dated 08.03.2024, which is Annexure A1 to this OA.

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The brief facts of the OA that the defendant had approached the applicant bank for the grant of Housing Loan of Rs.35.00 Lacs vide

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2 OA NO.1481-2024 PUNJAB NATIONAL BANK VS MONIKA

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Loan Application Form dated 29.06.2019, which is Annexure A2 to this OA.

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The applicant Bank sanctioned the Housing Loan of Rs.35.00 Lacs vide Sanction Letter dated 30.07.2019, which is Annexure A3 to this OA and the terms and conditions were duly accepted by the defendant.

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Defendant had mortgaged her immovable property i.e. Residential House measuring 122 Sq Yds bearing MC No.XXXIII-F-23157/1-A situated at Village Jassian, Hadbast no.101, Abadi known as New Gurnam Nagar, Post Office Neta Ji Nagar, Tehsil and District Ludhiana vide Equitable Mortgage of Sale Deed bearing no. 201920/101/1/8633 dated 16.09.2019 with its translation, which is Annexure A7 to this OA.

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Documents executed:- Agreement for housing Loan, Letter of Hypothecation and Power of Attorney all dated 03.08.2019, which are Annexures A4 to A6 to this OA; Letter executed by defendant evidencing deposit of title deed dated 17.09.2019, which is Annexure A8 to this OA; Valuation Report dated 31.08.2024, which is Annexure A9 to this OA; Balance Confirmation Letter dated 21.06.2021 and 29.12.2021, which is Annexure A10 to this OA; Notice u/s 13(2) dated 17.05.2022, which is Annexure A11 to this OA and Statement of account dated 31.08.2024, which is Annexure A12 to this OA. 5. The loan account became irregular and was classified as NPA and after adjusting debit and credit entries in loan account there was adebit of Rs.48,22,041.10p, which is recoverable and the defendant was 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.

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The defendant was served notices to appear before this Tribunal but no one appeared on behalf of defendant and she was proceeded ex-parte on 04.04.2025.

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3 OA NO.1481-2024 PUNJAB NATIONAL BANK VS MONIKA

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In support of the OA, affidavit of Sh. Sukhjeet Singh, Senior Manager, Punjab National Bank has been filed.

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Learned proxy counsel present has not advanced any

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arguments. Perused record

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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 Annexures A1 to A12 to this OA, it is proved that the defendant approached applicant for availing of the loan facility which was granted to her and for that she had executed all the relevant documents in favour of the applicant. The defendant failed to pay back the loan as per terms and conditions of the agreement between the parties. Subsequently, account of the defendant was classified as NPA. From the documentary evidence brought on record, it is proved that applicant is entitled to recover a sum of Rs.48,22,041.10p (Rupees Fourty Eight Lacs Twenty Two Thousand Fourty One and Paise Ten Only) along with interest from the defendant, from the date of filing of the present Original Application till realization of the account.

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In so far as pendent elite and future rate of interest is concerned, the applicant bank in relief clause has claimed interest @10.80%p.a. with monthly rests from 01.09.2024 till the realization. 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 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 account from the date of filing of the OA till realization of the amount ordered vide this final order. It is ordered accordingly.

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4 OA NO.1481-2024 PUNJAB NATIONAL BANK VS MONIKA

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In the result, the application is allowed declaring that the defendant is liable to pay to the applicant a total sum of Rs.48,22,041.10p (Rupees Fourty Eight Lacs Twenty Two Thousand Fourty One and Paise Ten Only) with costs, current and future simple interest @08.00%p.a. in the loan account 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 defendant 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 defendant. 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 .

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Issue Recovery Certificate accordingly.

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Parties to appear before Learned Recovery Officer of this Tribunal on 19.05.2025.

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Copy of this order be given Dasti to the applicant bank and be sent to defendant through registered/speed post and this order be also uploaded on the official website of this Tribunal and record be consigned.

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Pronounced by me in the open Tribunal . Dated: 22.04.2025

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

Punjab National Bank v. Monika

Case brief

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Punjab National Bank v. Monika

Case brief

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