Allowed

Svc Co. Operative Bank Limited v. Nilesh

DRT12 Mar 2025OA/712/2022

Case brief

AI extract

What is this about?

The Debts Recovery Tribunal, Pune, allowed an ex-parte Original Application filed by SVC Co-operative Bank Ltd. for recovery of dues from borrowers who failed to repay a housing loan and defaulted on interest. The Tribunal reduced the future interest rate to 9% p.a. (simple) and directed the creation of a security interest over mortgaged property via an issued Recovery Certificate.

What did the court decide?

Order allowed; Defendants to pay Rs.72,12,986/- with future interest at 9% p.a.; Recovery Certificate issued; Bank entitled to sell mortgaged property.

Svc Co. Operative Bank Limited versus Nilesh — Banking and Recovery | DRT (2025)

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Presented on: 02.05.2022 Registered on: 06.08.2022 Decided on: 12.03.2025 Duration: Y M D 02. 10 10

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IN THE DEBTS RECOVERY TRIBUNAL AT PUNE (Before Shri Dilip G Murumkar, Presiding Officer) ORIGINAL APPLICATION No.712/2022

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SVC Co-operative Bank Ltd. Having Registered Office at SVC Tower, Jawaharlal Neharu Road, Vakola, Santacruz (E), Mumbai - 400 055, having its branch at 635/1B, Nr. Gajra Society, Bibvewadi, Pune.

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… Applicant

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Versus

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Mr. Nilesh Maruti Bahirat 2. Mrs. Bharati Nilesh Bahirat 3. Mrs. Taramati Maruti Bahirat

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All R/at Bahirat Building, S.No.3/1A/14, Near Old Post Office, Warje, NDA Road, Pune.

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… Defendants

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APPEARANCES

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For the Applicant Mrs. Priti Bhat - Advocate For the Defendants None (Ex parte)

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TOTAL CLAIM AMOUNT –Rs.72,12,985.60Ps.

(OA No.712/2022)

Page 1 of 5

[ AGT ]

JUDGMENT (Delivered on 12^th March, 2025)

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This is an application under sub-section (1) of Section 19 of the Recovery of Debts Due to Banks and Financial Institutions Act, 1993 renamed as Recovery of the Debt and Bankruptcy Act, 1993 (`The 1993 Act’ for short) filed by applicant bank for the recovery of the dues in the sum of Rs.72,12,985.60Ps. as on 31.10.2019 together with future interest thereon @11.80% p.a. with monthly rests from the date of filing of the Original Application till repayment/realization against defendants.

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The averments in the application can be summarized as under:

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Defendants are the Principal borrowers and mortgagors. The Defendants have been sanctioned Housing Loan of Rs.80 Lakhs for the purpose of purchasing house as per their request letter dated 12.04.2017, by the Applicant Bank.

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In order to secure the above said credit facility; the defendants have executed loan transaction and security documents as mentioned in paragraph 4 of the Original Application.

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In order to further secure the credit facility, the defendants have mortgaged following immovable property in favour of the Applicant Bank i.e. all that piece and parcel of property being land admeasuring 1R (as per Gunthewari Certificate 110.14 sq.mtrs.) situated in the middle of the Southside out of the land admeasuring

(OA No.712/2022)

Page 2 of 5

[ AGT ]

1 H standing on the land bearing Survey No.2, Hissa No.1A/14 (as per Index- II of the Sale Deeds No.2, Hissa No.2A, situated in the village Warje, Taluka Haveli, District Pune within the Registration jurisdiction of Sub Registrar, Haveli and within the local limits of Pune Municipal Corporation, as mentioned in the Original Application and registered Mortgage Deed dated 17.04.2017.

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The Defendants were irregular in repayment of its dues after October, 2019. Despite repeated requests made by the applicant to the defendants to regularize the account, defendants failed to repay the dues. Therefore, the account of defendants was classified as NonPerforming Asset on 19.10.2019. Therefore, the applicant Bank issued Notice dated 07.11.2019 under Section 13(2) of The Securitization And Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002 (in short “SARFAESI Act”) to all the defendants and demanded Rs.72,12,985.60Ps towards outstanding dues payable as on 31.10.2019 together with interest and expenses as indicated therein. Despite issuance of Demand Notice, the defendants failed to repay the dues of the applicant.

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Hence, filed this application.

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Defendant Nos.1 to 3 were duly served with summons. Despite service of summons, defendant Nos.1 to 3 failed to appear. Hence, the application proceeded ex-parte against the defendants and order of ex-parte hearing has been passed on 14.11.2024.

(OA No.712/2022)

Page 3 of 5

[ AGT ]

The applicant has filed Claim Affidavit of evidence (Exhibit-6) of Mrs. Vaishali Belhe, Branch Manager of the applicant and has produced on record the Original Loan Transaction documents at Exhibits AW-1/1 to AW-1/9, which corroborates the case of the Applicant Bank.

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I have heard arguments of the learned Advocate for the applicant bank.

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Since the defendants failed to appear and contest the application, I find no reason to disbelieve the evidence of the applicant. Therefore, the applicant is entitled for reliefs as claimed for.

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The applicant has claimed future interest @11.80% per annum. However, in my opinion, rate of interest claimed by the applicant bank is exorbitant. Having regard to the facts of the case, I am of the opinion that if future interest is granted @9% p.a. (Simple), it would be just and reasonable rate of interest.

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Hence, I pass the following order:-

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ORDER

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(A) Original Application No.712/2022 is allowed with costs.

(OA No.712/2022)

Page 4 of 5

[ AGT ]

(B) Defendant Nos.1 to 3 either jointly or severally shall pay a sum of Rs.72,12,986/- (Rupees Seventy Two Lakhs Twelve Thousand Nine Hundred Eighty Six only) to the applicant bank towards Housing Loan Account with future interest @9% per annum (simple) from the date of filing of the Original Application i.e. 02.05.2022 till payment/realization of the amount mentioned in this operative order.

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(C) The aforesaid adjudicated amount is secured by the registered Mortgage Deed dated 17.04.2017 of the immovable property i.e. all that piece and parcel of property being land admeasuring 1R situated in the middle of the Southside out of the land admeasuring 1H standing on the land bearing Survey No.2, Hissa No.1A/14 (as per Index- II of the Sale Deeds No.2, Hissa No.2A, situated in the village Warje, Taluka Haveli, District Pune within the Registration jurisdiction of Sub Registrar, Haveli and within the local limits of Pune Municipal Corporation, as mentioned in the Original Application.

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(D) The Applicant Bank is entitled to sell the mortgaged property to recover the dues.

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(E) Issue Recovery Certificate.

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(F) The Registrar is directed to send the copy of Judgment and Recovery Certificate to the applicant and defendants.

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Sd/-

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Place :– Pune Date :- 12.03.2025.

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(Dilip G. Murumkar) Presiding Officer, Debts Recovery Tribunal, Pune.

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(OA No.712/2022)

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Page 5 of 5

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[ AGT ]

Svc Co. Operative Bank Limited v. Nilesh

Case brief

What is this about?

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Svc Co. Operative Bank Limited v. Nilesh

Case brief

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