Allowed

Indian Overseas Bank v. M/S Goldstone & Co.

DRT17 Jan 2025OA/330/2022

Case brief

AI extract

What is this about?

In this ex parte order, the Debt Recovery Tribunal allowed the bank's application for recovery of a term loan principal and interest. The court confirmed the loan advance and dues, imposed joint and several liability on the defendants, and directed the issuance of a Recovery Certificate and appearance before the Recovery Officer for executing the mortgage sale.

What did the court decide?

Recovery of Rs. 36,06,121.30p with interest; Recovery Certificate issued; Execution directed against mortgaged and personal property.

Indian Overseas Bank versus M/S Goldstone & Co. — Banking and Recovery | DRT (2025)

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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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OA No: 330 of 2022 Date of Institution: 15.02.2022 Date of Decision: 17.01.2025

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Indian Overseas Bank, having branches all over India having a branch at Tehsil Road, PUDA Complex, Jalandhar, Punjab.

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……..Applicant

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Vs.

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M/s Goldstone & Co., 55-B, Tara Singh, Avenue, Basti Beer Daad Khan, Jalandhar.

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Sh. Narinder Kumar Grover s/o Sh. Dewan Chand, Proprietor, M/s Goldstone and Co. r/o H.no. 30, Tagore Nagar, Jalandhar.

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……….Defendants

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Advocates

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Ms.Parmeet Kaur proxy Sh. Inderjit Singh Bhatia, Counsel for the applicant bank. Defendants – ex parte.

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OA for the Recovery of Rs. 36,06,121.30p with interest @ 9.80% per annum with monthly rests from 15.02.2022.

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ORDER

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Indian Overseas Bank (Bank) has filed this application under Section 19 of the Recovery of Debts and Bankruptcy Act, 1993 (RDB Act) for the recovery of Rs. 36,06,121.30p with interest against M/s Goldstone & Co. and another (Defendants).

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Bank’s case is that sometime in the year 2017, it had granted a loan of Rs. 29.00 Lacs to the Defendants No.1 and 2 in the form of Term Loan Facility. To secure the loan, Defendant no. 2 had mortgaged property (fully detailed in para No.3A of the application). The loan was chargeable to interest @9.80% per annum with monthly rests. On

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31.01.2022, a sum of Rs. 36,06,121.30p was due from the defendants. Despite repeated requests, defendants did not make the repayment. Hence, this application.

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On 09.03.2022, summonses were sent to the defendants by registered post, which were duly served. However, defendants did not put in appearance. Vide order dated 05.08.2022, they were proceeded ex parte .

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In order to prove its case, the Bank has placed on record the affidavit of Mr. Ravindra Kumar Pandey, Manager along with the loan and security documents and marked them as Exhibit A-1 to A-21. 5. 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. 29.00 Lacs and on 31.10.2022, a sum of Rs. 36,06,121.30p was due. 6. Accordingly, the application of the bank for the recovery of Rs. 36,06,121.30p (Rupees Thirty Six Lacs Six Thousand One Hundred Twenty One and Thirty Paisa Only) with interest @9.8% per annum with monthly rests from 15.02.2022, 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 property fully detailed in para No.3A of the application as well as from the personal movable and immovable property(ies) of the defendants. 7. Pending IAs, if any, stand disposed of. 8. Recovery Certificate be issued accordingly. 9. Parties are directed to appear before Recovery Officer on 18.02.2025 , who is directed to distribute the sale proceeds of the mortgage property as per the provisions of Section 19(20-AB) of the Act .

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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: 17.01.2025 Presiding Officer DRT-1, Chandigarh

Indian Overseas Bank v. M/S Goldstone & Co.

Case brief

What is this about?

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Indian Overseas Bank v. M/S Goldstone & Co.

Case brief

What is this about?

What did the court decide?

What the court decided

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