Original Application under S. 19 RDBFI Act for recovery of Rs. 52.14 lakhs against two respondents was allowed ex-parte. Tribunal reduced interest rate to 8% p.a. and directed issuance of Recovery Certificate under SARFAESI Act.
Directing the respondents to pay Rs. 52,14,578.00 with interest at 8% p.a. and issuing a Recovery Certificate.
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.686/2023
PRESIDED OVER BYMRIDULESH KUMAR SINGH
DATE OF INSTITUTION: 12.05.2023
DATE OF DECISION: 17.05.2025
Canara Bank, a Body Corporate constituted under the Banking Companies (Acquisition and Transfer of Undertakings) Act, 1970 having its head office at 112, JC Road, Bangalore and one of its Regional office situated at MSME SULABH, Bharat Nagar Chowk, PB 347, District- Ludhiana, Punjab being represented through its Authorized Person Sh. Tarun Goyal-141001
Versus
….……Defendants
Advocates:
Argued by Sh. Munish Yadav, Advocate for the applicant (Through VC) Defendants are ex-parte
FINAL ORDER
2 OA NO.686/2023 CANARA BANK VS M/S GENESIS AND OTHERS
3 OA NO.686/2023 CANARA BANK VS M/S GENESIS AND OTHERS
DNP, Letter of Undertaking and Appendix-32 all dated 30.12.2021, which are Annexures A20 to A23 to this OA and Statement of Accounts with certificate, which is Annexure A24 and A25 to this OA. 5. The loan accounts became irregular and were classified as NPA and after adjusting debit and credit entries in both the loan accounts there was adebit of Rs.52,14,578.00 which is recoverable and the defendants were 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.
4 OA NO.686/2023 CANARA BANK VS M/S GENESIS AND OTHERS
from the date of filing of the present Original Application till realization of the accounts.
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. 11. In the result, the application is allowed declaring that the defendants are liable to pay to the applicant a total sum of Rs.52,14,578.00 (Rupees Fifty Two Lacs Fourteen Thousand Five Hundred Seventy Eight Only) jointly and severally, with costs, current and future simple interest @8.00%p.a. in both the loan accounts 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 defendants in execution proceedings if not sold earlier under the provisions of the SARFAESI Act, 2002. If the dues of the applicant still remain unsatisfied, it shall be entitled to recover the same by attachment and sale of personal assets of the defendants. The applicant is at liberty to enforce the claim through due process of law. 12. Any other application pending stands disposed of .
5 OA NO.686/2023 CANARA BANK VS M/S GENESIS AND OTHERS
Pronounced by me in the open Tribunal . Dated: 17.05.2025.
(MRIDULESH KUMAR SINGH) Presiding Officer, DRT-III, Chandigarh
2 issues framed by the court
Whether the applicant bank is entitled to recover the outstanding dues along with interest from the respondents.
Whether the Tribunal should reconsider the rate of interest claimed by the applicant.
1 provisions across 1 enactments
Canara Bank
M/s Genesis
Sushma Devi
Mridulesh Kumar Singh
As recorded by the court registry
Judgements on the same questions, provisions and authorities, from every court
