DRT allowed an application by Bank of India to recover Rs. 23,16,930 from two borrowers and their guarantors based on defaulted KCC and AGOD loans, granting a uniform 8% simple interest rate.
Debt of Rs. 23,16,930 along with costs and simple interest at 8% p.a. declared recoverable; Recovery Certificate issued.
This page shows the compact analysis of this judgement. The full analysis — procedural history, issue-by-issue holdings with ratio and obiter, advocates, and paragraph-level evidence for every claim — is being added to the record in batches and will appear here when this judgement has been through it.
DEBTS RECOVERY TRIBUNAL-III, CHANDIGARH
ORIGINAL APPLICATION NO.321/2022 PRESIDED OVER BY MRIDULESH KUMAR SINGH
DATE OF INSTITUTION: 10.02.2022
DATE OF DECISION: 17.04.2025
Bank of India, a body corporate and a nationalized Bank under the provisions of The Banking Companies (Acquisition & Transfer of Undertaking) Act, 1970 having its Head Office at “Star House”, C-5, G Block, 2nd Floor, Bandra Kurla Complex, Bandra (East), Mumbai 400051 and one of its branches at Machiwara Branch, District Ludhiana through Sh. Paramjit Singh its Principal Officer and Constituted Attorney, presently posted as Chief Manager, Corporate Department, Zonal Office, Rakh Bagh, Ludhiana.
……..Applicant
Versus
Advocates:
Argued by Sh. R.V. Mehra, Advocate for the applicant ( through VC ) Defendants are ex-parte
FINAL ORDER
2 OA/321/2022 BANK OF INDIA VS. DEV RAJ AND ANOTHER
Rs.7.00 Lacs and AGOD Limit of Rs.05.00 Lacs vide Loan Applications dated 13.02.2013, which are Annexures A2 & A3 to this OA. Defendant Nos. 3 & 4 are the guarantors.
3 OA/321/2022 BANK OF INDIA VS. DEV RAJ AND ANOTHER
| 7. In |
support of the OA, affidavit of Sh. Paramjit Singh, Chief |
|---|---|
| Manager, | Bank of India,has been filed. |
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 exercising the discretion vested in this Tribunal, this Tribunal deems it just and appropriate to grant uniform simple interest @8.00%p.a. in both 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.
4 OA/321/2022 BANK OF INDIA VS. DEV RAJ AND ANOTHER
Dated: 17.04.2025.
(MRIDULESH KUMAR SINGH) Presiding Officer, DRT-III, Chandigarh
2 issues framed by the court
Whether the applicant is entitled to recover the outstanding debt from the defendants jointly and severally.
Whether interest rates should be adjusted to the prevailing market conditions.
2 provisions across 2 enactments
Bank of India
Dev Raj
Kapil Anand
Mridulesh Kumar Singh
As recorded by the court registry
Judgements on the same questions, provisions and authorities, from every court
