PUNJAB NATIONAL BANK vs NITIN VERMA AND OTHERS on 26 December 2024

FINAL ORDER

1. Present Transfer Application was instituted by the applicant under Section 19 of the Recovery of Debts Due to Banks and Financial Institutions Act, 1993, against the defendants for recovery of Rs.31,70,149.62p (Rupees Thirty One Lacs Seventy Thousand One Hundred Forty Nine And Sixty Two Paise Only). The Transfer

Application has been filed through Shri Sonu, Chief Manager of the applicant, who is competent to institute the Transfer Application vide General Power of Attorney dated 22.11.2014, which is Annexure A2 to this TA.

2. The brief facts of the TA are that the defendant no.1 to 3 had approached the applicant for grant of Housing Limit-I of Rs.20.00 Lacs and Housing Limit-II of Rs.8.00 Lacs vide Loan Application, which is Annexure A3 to this TA.

3. The applicant sanctioned Housing Limit-I of Rs.20.00 Lacs and Housing Limit-II of Rs.8.00 Lacs vide Sanction Letters dated 10.01.2019, which is Annexure A7 to this TA.

4. Defendant no.1 had mortgaged his immovable properties i.e. total Residential Housing measuring 100 Sq. Yards situated at Village Gill No.2, Hadbast No.263, Abadi Guru Nanank Colony, Tehsil & District Ludhiana vide Equitable Mortgage of Sale Deed bearing vasika no.2018-19/103/1/4835 dated 17.12.2018 along with its translation, which is Annexure A10 to this TA. Documents executed:-Valuation Report dated 17.11.2018, which is Annexure A1 to this TA; Agreement of Housing Loan, Power of Attorney and Mortgage Deed dated 11.12.2018 & 18.01.2019, which are Annexures A4, A5, A6 and A8 to this TA; Memorandum of Deposit of title deed dated 28.12.2018, which is Annexure A9 to this TA; Notice u/s 13(2) of SARFAESI Act dated 12.08.2021 with postal receipts, which is Annexure A11 to this TA and Statement of Accounts along with Certificate under Banker’s Book Evidence Act, which are Annexures A12 & A13 to this TA.

5. The loan accounts became irregular and were classified as NPA and after adjusting debit and credit entries in loan accounts there was a debit of Rs.31,70,149.62p, which is recoverable and the defendants were served recall notices but they did not repay the outstanding amount, therefore, the applicant requested to accept the application and to issue Recovery Certificate accordingly.

6. The defendants were served notices to appear before this Tribunal but no one appeared on behalf of defendants and they were proceeded ex-parte on 20.12.2024.

7. In support of the TA, affidavit of Shri Sonu, Chief Manager, Punjab National Bank has been filed.

8. Heard arguments and perused record.

9. It was argued by learned proxy counsel that in view of the documentary evidence brought on record which had gone unrebutted, the applicant had proved its case. From the perusal of all the Annexures A1 to A13 to this OA, it is proved that the defendants approached applicant for availing of the loans facilities which were granted to them and for that they had executed all the relevant documents in favour of the bank. The defendants failed to pay back the loans as per terms and conditions of the agreement between the parties. Subsequently, accounts of the defendants were classified as NPA. From the documentary evidence brought on record, it is proved that applicant is entitled to recover a sum of Rs.31,70,149.62p (Rupees Thirty One Lacs Seventy Thousand One Hundred Forty Nine And Sixty Two Paise Only) along with interest from the defendants, jointly and severally, from the date of filing of the present Transfer Application till realization of the accounts.

10. In so far as pendent elite and future rate of interest is concerned, the applicant in relief clause has claimed interest @7.60%p.a. with monthly rests from 01.04.2022 till the realization.

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 loans 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 @07.60%p.a. in both the loan accounts from the date of filing of the TA 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.31,70,149.62p (Rupees Thirty One Lacs Seventy Thousand One Hundred Forty Nine And Sixty Two Paise Only) jointly and severally, with costs, current and future simple interest @07.60%p.a. in both the loan accounts from the date of filing of TA 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 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.

13. Issue Recovery Certificate accordingly.

14. Parties to appear before Learned Recovery Officer of this Tribunal on 15.02.2025.

15. Copy of this order be given dasti to the applicant and be sent to defendants through registered/speed post and this order be also uploaded on the official website of this Tribunal and record be consigned. Pronounced by me in the open Tribunal. Dated: 26.12.2024

(MRIDULESH KUMAR SINGH) Presiding Officer, DRT-III, Chandigarh