Debts Recovery Tribunals and Appellate Tribunals
STATE BANK OF INDIA vs NILESH AGARWAL AND ORS on 12 June 2020
DEBTS RECOVERY TRIBUNAL, SILIGURI
<table border="1"><tr><td>Case No.<br/>TOA/685/17</td><td><b>Order Sheet (continuation)</b><br/><b>State Bank of India</b><br/><b>Vs</b><br/><b>Sh. Nilesh Kr. Agarwal & Ors</b></td><td></td></tr><tr><td>Date of the order.<br/><br/>12.06.2019</td><td><b>Order with signature</b><br/><br/><b><u>Consent Decree</u></b><br/><br/>Present :-<br/><br/>Mr. P. K. Sikdar, Ld. Advocate for the Applicant bank<br/><br/>Mr. Ajit Kr. Mishra, Ld. Advocate for defendant<br/><br/>Heard the Ld. counsel for both the parties on 15.11.18 and the matter is kept in reserved. Today the decree is pronounced.<br/><br/>Instant OA was filed in DRT-II Kolkata on 27/01/2017 by applicant bank for recovery of suit value of Rs. 5,11,34,166.91 ( Rupees Five Crore Eleven Lakhs Thirty Four Thousand one Hundred and Sixty Six and paise Ninety One) Only out of which a sum of Rs. 4,54,98,103.59 (Rupees Four Crore Fifty Four Thousand Ninety eight Thousand One Hundred Three and paise Fifty Nine) Only in Cash Credit Loan Account and Rs. 56,36,063.32 (Rupees Fifty Six Lakhs Thirty Six Thousand sixty Three and paise Thirty Two) Only in Standby Line of Credit Account with interest calculated up to 10/01/2017 at present at the rate of 12.30% per annum in Cash Credit Loan Account and 13.80% in Standby Line of Credit Account with monthly rest.<br/><br/>Meanwhile, during the pendency of the matter in this Tribunal both the applicant bank and the defendants have jointly filed the instant IA/482/18 under Order XXIII Rule 1 read with Section 151 of code of Civil procedure and have prayed for passing of consent decree on terms of out of court settlement made between the parties.<br/><br/>The undersigned has gone through the instant petition and the following points are brought on record.<br/><br/>That during the pendency of the instant matter the applicant Bank made an offer to settle the loan account under a new OTS ( One Time Settlement Scheme) namely " SBI Scheme for one time settlement of NPAs & AUCAs (SBI OTS 2018)" as the loan accounts qualifies for the said scheme. Accordingly the authority of the applicant bank issued a letter on 09/08/2018 to the Defendants intimating them regarding the said scheme and requested them to</td><td>Office action with date and dated signature of parties when necessary.</td></tr></table>
contact with the State bank of India, Stressed Assets Recovery Branch, Siliguri to avail the said scheme in terms of the guide line of the said scheme and file proper application along with application money of Rs. 18,26,617/- ( Rupees Eighteen Lakhs Twenty six thousand six hundred seventeen) Only.
That accordingly the Defendants contacted with the concerned officer of the Applicant bank and submitted the application dated 28/09/2018 expressing his intention to avail the said scheme as the defendants are eligible for the said scheme along with the aforesaid application money.
That the terms of settlement of compromise under SBI OTS 2018 between the parties are herein below:
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1. i) That after thorough discussion between the Authority of the applicant bank and Defendants, the terms and conditions for payment of the OTS amount has been written and Defendants have agreed to pay the said OTS amount of Rs. 3,65,32,348/- ( Rupees Three Crore sixty five lakh Thirty Two Thousand Three Hundred and Forty Eight) only in the following manner.
2. ii) That it is mutually agreed that the Application for OTS submitted by the Defendants will be processed only on deposit of minimum 5 % amounting to Rs. 18,26,617/- ( Rupees Eighteen Lakhs Twenty six Thousand Six Hundred and Seventeen) Only of the ledger outstanding.
3. iii) That it is also mutually agreed between the parties the Defendants shall have to deposit 20% amounting to Rs. 73,06,470/- ( Rupees Seventy Three Lakhs Six Thousand Four Hundred and Seventy) only of the aforesaid OTS amount within 15/11/2018 from the date of sanction i.e. on and from 15/10/2018, failing which the OTS sanction will be rendered infructuous. The said amount will include the amount deposited by the defendants along with the application.
4. iv) That as per guidelines of the above scheme, the parties above named also agreed that the Defendants shall have the liberty to deposit the balance amount of OTS within six months from the date of sanction of OTS dated 15/10/2018 (the validity period) together with interest @ one year MCLR on reducing balance basis effective from the date of sanction dated 15/10/2018, failing which OTS sanction will be rendered infructuous.
5. v) That it is further agreed between the parties that no interest will be charged if the entire OTS amount is paid within 4 (four) months from the date of sanction of the OTS dated 15/10/2018.
- vi) That it is also agreed by the Applicant Bank that the Defendants will be eligible for an Additional incentive of 15% discount on the OTS amount if the Defendants make payment the entire aforesaid OTS amount within one month from the date of sanction dated 15/10/2018, The Defendants will be eligible for an Additional Incentive of 12% discount on the OTS amount if the Defendants make payment entire aforesaid OTS amount within two months from the date of sanction dated 15/10/2018 and the Defendants will also be eligible for and Additional Incentive of 10% discount on the OTS amount if the Defendants make the payment of entire aforesaid OTS amount within three month from the date of sanction dated 15/10/2018.
- vii) That bank will withdraw all the legal proceedings against the defendants including but not limited to the proceedings under Securitization Act, DRT Act or any other legal proceedings which the Bank may be contemplating to take against the defendants for recovery of its dues after completion of payment of the entire aforesaid OTS amount by the defendant. The defendants shall also withdraw all the legal proceedings and/or any other legal proceeding in respect of the above mentioned Loan account facilities against the Applicant Bank.
- viii) That the parties shall bear their expenses from their own in connection with the above OA if the Defendants complied with the aforesaid terms of the OTS.
- ix) That the Applicant bank shall not proceed any further in the above OA against the defendants if the defendants deposited the entire OTS amount within the time as above. Upon receipt of the entire OTS amount, besides issuing 'No. Dues Certificate' and releasing the title documents of all the properties (as mentioned in the Schedule of the OA), to the Defendants.
- x) The Applicant Bank will release the personal guarantee of all the guarantors upon receipt of OTS amount with respect of this account.
- xi) That the Applicant Bank shall not proceed any further in the above OA against the defendants deposited the entire OTS amount within the time framed as specified above.
In terms of clauses mentioned from clauses (i) to (xi) hereinabove, the consent decree on the petition is allowed and instant matter is disposed in terms of consent clause signed by both the parties.
Both the applicant and defendants have settled, the above OA, without any coercion, fraud or undue influence from anybody else.
If the settlement amount is paid by the defendants as per terms and conditions stated hereinabove, applicant bank will intimate the same to this Tribunal and the OA shall be disposed accordingly. If defendants fail to honour the consent decree, applicant bank shall be at liberty to proceed with the OA in accordance to law on the original claim of the said OA.
A free copy of today's order; be served to both the parties.
(D. S. Mahra)
DRT-Siliguri
Presiding Officer Debts Recovery Tribunal Siliguri