Allowed

Bank of India v. M/S Prashar Orchards

DRT17 Apr 2025OA/1646/2022

Case brief

AI extract

What is this about?

The Debts Recovery Tribunal allowed an application filed by Bank of India for the recovery of Rs.23,05,441/- with interest from M/s Prashar Orchards and Sh. Hari Chand. The court approved the sale of mortgaged assets for distribution of proceeds.

What did the court decide?

Application for recovery of Rs.23,05,441/- with interest allowed; Recovery Certificate issued; Recovery Officer directed to distribute proceeds.

Bank of India versus M/S Prashar Orchards — Contract and Commercial Disputes | DRT (2025)

¶1

IN THE DEBTS RECOVERY TRIBUNAL-I, CHANDIGARH

¶2

BEFORE: A S NARANG, PRESIDING OFFICER

¶3

OA No: 1646 of 2022 Date of Institution: 06.08.2022 Date of Decision: 17.04.2025

¶4

Bank of India, branch office at Kullu, Himachal Pradesh.

¶5

……..Applicant

¶6

Vs.

¶7

M/s Prashar Orchards, through its proprietor Sh. Hari Chand S/o Sh. Purkhu, R/o Village Sharni, Post Office Jallugran, Tehsil Bhutar, District Kullu, Himachal Pradesh.

¶8

Sh. Hari Chand S/o Sh. Purkhu, R/o Village Sharni, Post Office Jallugran, Tehsil Bhuntar, District Kullu, Himachal Pradesh. ……….Defendants

¶9

Advocates Ms. Sonal, proxy counsel for Sh. Satish Jaswal, Counsel for the applicant bank. Defendants- Ex parte vide order dated 11.05.2023.

¶10

OA for the Recovery of Rs.23,05,441/- with interest @9.95% per annum with monthly rests from 06.08.2022.

¶11

ORDER

¶12

Bank of India (Bank) has filed this application under Section 19 of the Recovery of Debts and Bankruptcy Act, 1993 (RDB Act) for the recovery of Rs.23,05,441/- with interest against M/s Prashar Orchars And Another (defendants).

¶13

Bank’s case is that on 18.08.2017, it had granted Cash Credit Limit of Rs.20.00 lacs to defendantno.1 through its proprietor defendant no.2 for business purpose. To secure the loan, Defendant no.2 had mortgaged his immovable property (fully detailed in para No.3A of the application). The loan was chargeable to interest @12.20% per annum with monthly rests. On 10.08.2020, defendants had executed the

¶14

¶15

acknowledgments of debts and securities vide Exhibit A-13. On 03.08.2022, a sum of Rs.23,05,441/- was due from the defendants. Despite repeated requests, defendants did not make the repayment. Hence, this application.

¶16

On 29.08.2022, summonses were sent to the defendants by registered post, which were duly served. However, defendants did not put in appearance. Vide order dated 11.05.2023, they were proceeded ex parte .

¶17

In order to prove its case, the Bank has placed on record the affidavit of Mr. Ram Lal, Senior Manager along with the loan and security documents and marked them as Exhibit A-1 to A-14.

¶18

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.20.00 lacs and on 03.08.2022, a sum of Rs.23,05,441/- was due. 6. Accordingly, the application of the bank for the recovery of Rs.23,05,441/- (Rupees Twenty Three Lacs Five Thousand Four Hundred Forty One Only) with interest @9.95% per annum with monthly rests from the date of filing the present application i.e. 06.08.2022, 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.3(A) of the application as well as from the personal movable and immovable property(ies) of the defendants.

¶19

Pending IAs, if any, stand disposed of. 8. Recovery Certificate be issued accordingly.

¶20

Parties are directed to appear before Recovery Officer on 20.05.2025 , who is directed to distribute the sale proceeds of the

¶21

¶22

mortgage properties and hypothecated assets 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: Presiding Officer DRT-1, Chandigarh (R. K. Singh, PS)

Bank of India v. M/S Prashar Orchards

Case brief

What is this about?

What did the court decide?

Bank of India v. M/S Prashar Orchards

Case brief

What is this about?

What did the court decide?

What the court decided

A compact analysis

Issues for consideration

Statutes considered

Parties & counsel

Coram

Case details

Similar cases

Mohanan K versus South Indian Bank

State Bank of India versus Smt. Sharmila Wd/o Narsaian Lingaian Yedla Alias Narsaiya Lingaiya Yedla

Icici Bank Limited versus Mr. Vinay Kumar

Icici Bank Limited versus Akshay B Gowda S

Hdfc Bank versus Mohd. Mukim

Canara Bank (Syndicate Bank) versus M/S Sri Sai Samridhi Construction