PUNJAB NATIONAL BANK vs AURO ENGINEERING WORKS on 19 August 2019

DEBTS RECOVERY TRIBUNAL-I CHANDIGARH

MA 72 of 2019 in OA 840 of 2018 Punjab National Bank Vs. Auro Engg. Works & Anr.

19.08.2019 Item No. 121 Present: Sh. AS Gagrha, Counsel for the Applicant Bank.

This Application has been filed by the Applicant Bank for recalling order dt.22.07.2019 vide which the OA was dismissed for non compliance of order along with an affidavit of one Mohinder Pal Mohay, Sr. Manager at Branch Office Gagret, Distt. Una (HP) and has prayed for restoration of OA to its original number. The Applicant has also tendered unconditional appology for the lapses occurred as the Applicant had failed to serve the defendnats inadvertantly.

Before the prayer fo the Applicant could be considered, it has been cound that OA 840 of 2018 was filed on 25.05.2018 and on taking up on 05.06.2018 notices were issued to be returned by 27.08.208 on which date the Bank did not file service report and on 15.10.2018 at the request of the Applicant again fresh notices were issued to be served upon the defendants. But on 22.02.2019, instead of filing service report, the Bank again asked for issuance of fresh notices and acceding to the request of the Applicant the notices were issued afresh to be returned by 22.07.2019 on which date the Applicant when failed third time to serve the defendants and asked for issuance of fresh notice, the OA was dismissed with a detailed order, which is reproduced as below: “…..The counsel for the applicant bank prays for issuance of fresh summons through registered as well as dasti stating that earlier notices could not be served upon the defendants. Before the prayer of the counsel for the applicant bank could be considered, I have perused the record which shows that this OA was filed on 25.05.2018 and thereafter vide order dated 05.06.2018 the applicant bank was directed to serve the defendants through registered as well as dasti to be returned by 27.08.2018. But, the applicant bank has failed to file service report and again at the request of counsel for the applicant bank vide detailed order dated 15.10.2018 & 22.02.2019 the applicant bank was directed to serve the defendants through registered as well as dasti and again the applicant bank has failed to file service report whereas the notices were prepared both the times but the applicant bank instead of filing service report praying for issuance of fresh summons. It is pertinent to mention that these courts have been established by special enactment of the DRT Act to recover dues speedily from the defaulters in an effective and summarized manner. Contrary to that the bank itself seems not interested to speed up the recoveries. These types of cases are burden on the court and the precious time of the court is being wasted by taking adjournments on flimsy grounds. Despite sincere efforts of the concerned ministry and departments through guidelines and circulars to the banks for the appointment of General Manager and Deputy General Manager level officer to monitor the pending cases and to ensure attendance of Bank representative in DRTs and to check lapses on the part of banks and to brought them into the notice of senior officers so as to ensure that no delay occurs on the part of the bank, such lapses on the part of the bank is defeating the purpose of The Act besides increasing the pendency in DRTs. It is pertinent to add here that the Act under Section 19 (24) thrusts upon the Tribunal to make all efforts to complete the proceedings in two hearings and dispose of the case within 180 days from the receipt of the application whereas the applicant bank itself has taken such a long time yet is at initial stage of service which is contrary to the spirit of the Act. Today, the applicant bank has prayed for issuance of fresh summons even after lapse of one year, whereas the amended provisions of Act which was amended to further speed up proceedings and to cut short the delay thrust upon the Tribunal under Section 19 (5) (i) not to allow more than 45 days time (30 days + 15 days) to the defendants to file the written statement. Even the Hon’ble High Court in the case title M/s Crest Steel & Power Pvt. Ltd Vs Punjab National Bank reaffirming the spirit of the provision so that the matter should not be lingered on, on behalf of defendants. It has been found that despite the sincere efforts by this Tribunal to implement the rules in an effective manner, to curb delay practice but the mindset of these bank officers is still persist to the old culture of seeking adjournments as a norm rather than an exception, taking it as granted that if the Tribunal is of their personal institution and will run on their wishes and whims, killing the precious judicial time in such type of adjournments, apparent on its face that a sufficient time of more than nine months were with the bank from last order. It appears that the applicant bank is not interested to pursue the matter seriously and just to facilitate the defaulters by prolonging the litigants itself has not filed service report till today. It seems that applicant bank has lost interest in this case and just for the sake of keeping it pending again & again asking for issuance of fresh summons, hence case is dismissed for non compliance of the order.

Let copy of this order be given dasti to the applicant bank and there after file be consigned to record.”

After going through the conduct of the Applicant, it has been observed that the higher officials of the Bank boast of custodian of public money but their actions do not reflect that they bother about speedy compliance of order to fasten the face of recovery.

Since the Applicant is a public institution and should not be penalised due to the mistakes of one or two officers, therefore, the MA is allowed. OA is restored to its original number.

A copy of this order be sent to Sh. Siddhartha Majumdar, Circle Head, Punjab National Bank, Hamirpur, Sh.Deepak Kumar, Circle Head, Punjab National Bank Shimla and The Zonal Manager, Punjab National Bank, Zonal Office, Chandigarh.

(Harcharn Singh), Presiding Officer, DRT-I, Chandigarh 19.08.2019/cms