CENTRAL BANK OF INDIA vs PUNJAJI MURLIDHAR BORASTE on 1 December 2021

1. (a) As per OA, Applicant provided Rupee Term Loan of Rs. 10 and Crop Loan of Rs. 6,33,000/- ("CL") ("RTL and e!" collectively called "Credit Facilities") to Defendant No. 1, documentation and security creation by him, and per 1 *$ tee of Defendant No. 2 and 3 as additional security.

(b) RTL was secured by a Simple Mortgage respect of his immoveable properties 563 in Village Sakore in Taluk iphae" Deed was registered with ..S.,R0;.- Mortgage with Defendant'.

ilitles for Ag Maharashtra Provision of )tecute,c1 by Defendant No. 1 in Gat'No)69 Part and Gat No. shik and the Mortgage secured by a Declaratory Declaration under Sec. 5 of cultural Credit by Bank Act, 1974 in respect of his a i'eA41441-, „e--• Niphad, District',Nu% aid.

(c) As per OA, spift ittr..4„ • 'a Gat No. 563 in Village Sakore, Taluk e same registered with SRO, Niphad. cant making repeated demands, Defendant No. 4*, 1 failed aarleiteCted" to pay the dues of the Applicant in respect of the Credit ctN. F decided to recall the entire outstanding amounts of s and issued Recall Notice to all the Defendants, calling upon them to epa fail4e '0 the Defendants to repay, the OA has been filed.

2. (a)Tribunal, after satisfying itself of the OA being within limitation and falling within its territorial jurisdiction as per RDDB Act, ordered issue of Summons to the Defendants.

(b) Summons to the Defendants were sent by Registered Post with Acknowledgement Due which got served on the Defendants and the entire outstanding amounts of the Credit Facilities. On the

3. As directed by the Tribunal, Applicant filed, through Mrs. Sioi. K Manager, Claim Affidavit enclosing various Documents as Ann Branch *ch have been taken on record by the Tribunal and marked as ' d also filed Certified Statement of Account tog er with thi e rtificate under Information Technology Act, 2000 and ,C ategNpnder Bankers Books of Evidence Act, 1891, as Annexures (whfch atr,miterked'atz,h, ibit "28"& "29").

Acknowledgement Due Cards received back. Applicant filed Service Affidavit enclosing the Acknowledgement Due Cards.

(c) As Defendants did not appear either in person or through advocate and file Written Statements, the Defendants were set ex-parte on 31/08/2018 by an Order of the Tribunal. Proceedings : /•• Applicant also filed Addit nal qa Ritesh Vilas Deore, Branch details of claim in respec(of- and Certificate dei-Ba4k* aken as Exh "32") through the error in the chart providing sides enclosing Account Statement s of Evidence Act, 1891, as Annexures (which are mar ibit ',.-133",'"gz "34"). Of the Exhibits and gone through by the Tribunal, the foll'enKih,gke-lotiOr.elevant for the Tribunal to consider and dispose of the OA S...klo':,„ ... .'-y y• * Facility Document Exhibit 1 . Rupee Term Loan (Rs. 10,18,000/-) Sanction Letter(Office Copy) "11" Loan-cum-Hypothecation Agreement (Original) "12" Personal Guarantee of Def 2&3 (Original) "13"

Simple Mortgage Deed by Def 1 i/r of his immoveable properties (Regd with SRO, Niphad)(Original) "16"

2. Crop Loan (Rs. 6,33,000/-) Sanction Letter(Office Copy) "18"

Loan-cum-Hypothecation Agreement (Original) "19"

Personal Guarantee of D (Original) ... , "20"

Declaratory Mortgage by Def 1\i/ f .,. his immoveable % proper ( d with SRO, N. ad rigina , . , " " /

3. Common for all Recall Nq ce.. fiN 63,p,y) „ "25" Observation on Evidences provided4 1 hdr%

4. The Statement of Account filed 13 :th pph ied as per Bankers Books % of Evidence Act, 1891 as fad by the eco ery made disclosed in the Claim Affidavit, tallied with claim , the case of the Applicant is based on various g *K•Aove referred Exhibits) filed alongwith Claim Affidavit, which arOtatement, which has gone unchallenged, as the Defenda0 Berri ed -parte. In my view, there is no question of disbeliev d Claim Affidavit and other evidences let in by the Aic~ apt, licant has proVed its case beyond reasonable doubt to ring the Credit Facilities, completing documentation and drawl out of the Credit Facilities.

5. The Applicant has claimed interest at the rate of 13.50% p.a. with yearly rests for both RTL and CL, both commencing from the date of filing of the OA till its realisation. Having regards to Sec. 19(20) of the RDDB Act (which is analogous to Sec. 34 of Civil Procedure Code, 1908) the contract between the Applicant and Defendants comes to an end on the filing of the OA. Thus the Tribunal has discretion in awarding pendente lite and future interest. Considering the rate of ght laC tur‘&Nin es‘t, a For Rs. 8,14,602/- (Rupees Two only) alongwith simple interest basis) fr the date of realisati for RTL"); For Rs. 1 terms set out below;

(xxi) There shall be a Decree in favour of the„Applic hundre 8.00 p *-ium (48 simple interest basis) from the date of filing of the e date 6'tfi 'ttf, eek of Rupee Term Loan ("Decreed Amount usand Six hundred and to of 8.00% per annum (on g of the Original Application till Twelve lacs Ninety Eight thousand One only) alongwith future interest at the rate of

1. A li4ttion till the date of realisation in respect of Crop Loan ount for CL"); (a)

(b) interest charged by banks for similar facility, I am of the opinion that interest of justice will be served if the rate interest is awarded at the rate of 8.00% p.a. on simple interest basis for both RTL and CL.

6. In the light of above discussions, the Original Application is being allowed and Order passed on the following terms.

ORDER

(i) This Original Application is allowed with costs and decree on the Dekk-ri t No. 1, the Borrower, and Defendant No. 2 and 3, the Guarantors, are ordered to pay, jointly and severally, to the Applicant, within a period of 30 days, the Decreed Amount for RTL and, in the event of the said Defendants failing to pay and discharge the dues as directed or in the event of shortfall, the assets forming security for the Rupee Term Loan (covered by Exh "12" being the moveable assets charged & Exh "16" being the immoveable properties mortgaged) be attached / taken possession of and be sold to the extent of realising the dues / shortfall, as the case may be, and in the event of further shortfall, the said Defendants be proceeded against personally by way of personal decree and business assets / personal assets / estates of Defendant No. 1 and personal assets / estates of Defendant No. 2 and 3 be attached and sold for realising the dues / shortfall, as the case may be;

(iv) Defendant No. 1, the Borrower, and Defendant No. 2 and 3, dievantors, are ordered to pay, jointly and severally, to the Applicant, 4 ertykl of 30 days, the Decreed Amount for CL and, in the event of the\sai is failing to pay and discharge the dues as directed r in the all, the assets forming security for the Crop Loan coved by E''19" being the moveable assets charged & Exh immoveable properties mortgaged) be attached / taken po essipT1 ana.,be' old to the extent of realising the dues / shortfall, a in the event of further shortfall, the said Defendrrkts ceed inst personally by way of personal decree and busine sets al assets / estates of Defendant No. 1 and personal assets' / s*NI De ndant No. 2 and 3 be attached and sold for realisin trie,Aieg14h gait* the case may be; SPA

(v) Defendant l lb. 1 ttO aC s ted to declare, on oath, to the Recovery Officer, Debts Re NreV TOWN*" III, Mumbai, both moveable and immoveable assets s„ d'S4lso fendant No. 1 is directed to declare, on oath, both moveable able assets of the business(es) carried on by him for the purpose of d sale as directed under Clause (iii) and / or Clause (iv) above;

(vi) Defendant No. 1 to 3 are injuncted from dealing with the assets described in Exh "12" & "19" and Exh "16"& "24" as also assets declared on oath as per Clause (v) above in any manner whatsoever till the complete recovery of Decreed Amounts under Clause (ii) above;

(vii) Copies of final order be sent to all concerned free of cost and to records. sokraj, sid g Officer, ry Tribunal - III, Mumbai. Dated : 1st December 2021

(vii) Recovery Certificates be issued forthwith as per above decrees and sent to the Recovery Officer, Debts Recovery Tribunal - III, Mumbai;

(viii) Parties are directed to appear before the Recovery Officer, Debts Recovery Tribunal - III, Mumbai;