BANK OF MAHARASHTRA vs AZIZ ABDUL KADIR on 2 May 2019

1. Ntr. Aziz Abdul Kadir Shaikh, Prop. : Aas Colrstruction, Resiclin94! 101, Green AP Nallasopara (\\ ), Conc Waza N{ohal1a, (\'Vest), l;r1 : Vasai, )

- 10130!t) ... Deferldant No 1 licant Defcr.lant No. 2 Defendart No 3 ) ) T Guarantols

2. Mr. Mufeed ) ) ) ) ) ) ) ) 1, 3, N4I Rafique Sh;rikh, House -1978, lkaramrrdcltu Chau'l No 2, lkaramtdciin Barrg, Taki Parla Roatl No' Ru.rd. N,rll.r*'p.rr.r r\\o\lr Dr-r Il1'rn' 3, Gass ,t01 304 Uqls,icpr

l. \1r.. \.,,,.r'r., A \h,rrl lr It rl. (rfcp'r \lr.rrrm"rr,.\'r"r \lulr'rll'r' \ Nallasopara i\V), I al : \''asai, Dist : Ihatle - 101 30-1) De{endant No.4 kesented on : 0V08/2016 Registered on : 24/0?2018 Transferred on : 19/04/2018 Decided on : 02/05/2019 Duation : 08(D)/02(M/01(Y) IN THE DEBTS RECOVERY TRIBUNAL - III AT MLMBAI DATED THIS 2"dDAY OF MAY 2019 PRESENT : SHRI. T S ASOKRAJ PRESIDING OIFICER :;.. T o A No' 515 of 2018 Bank of Maharashtra, ) ,, I\ \'rr,rD.,rdtp Lrtrdcr lhn B.rnl urg ( ''nrf'rni" ) ' i.,,;iitorrn,t lr,rn'l'rul I rr'lcrlJkirrg') \'l' lolU ) .'",1i,"t",n il. llPrLl Orli'P'rl l^l \l'rrr):'rl' l5tll' ) -ni,,"ri r,'g.,,. trrn. - ll l, J5 r,r.l , rr^. f Br,rrr, h ufir' ' ) ot lfl.r"rt,*u. S-trti, Nirmal Charvk, Nirmal' ) laluk Vasai, Dist. ]'hane through Branch \Idnagcr ) Hnmicl Shaikh, I't lloor,

? ordcr loA 515 ol20l3 (E\-par1e)(liifaL) Plcsent Shii. Sachin A Koti, -Advoc.itc, Counsel for APPlicanl Bank Defendants rcmained cx-Parte This original APpli'arion (oA) i5 lilect b]' ApPlicant undcl scctiol 19 of the Recovcry oI Debts Due to Baiks an.l Financial lnstiluhons Act' 1993 ("RDI)B Act") (since .hanged to "Rccoven' of Debis ancl BatlkruPtc) Act, 1993") agains{ the Defer-Idants for the recover,v ()f a sum aggregating to Rs. 17,E7,656/25 (ltuPces Sevcnteen lacs Lighq sevcn tllousand Six hundred an'l liJtv Six enty Five only) in respcct oI the credit facilitv m{-ntioncd in the OA ges, pe)tiente litc fLtnra \11tercst as stated thcrein {rorn the datc of Iiling its realisatloll. @ Pa ies ApPlicant is a Bank within Sec. 2(d) of the and cr oI crcdit facilitY to Defendant No. 1, who is the sole P tar] lirln callving on thc firm") a11d availccl crcdit tyle Aas busircss unllcr the name and s faciliq' lor thc opeution of thc Dcfendant No. 2 to '1 which Defendant No.2 and 3 Provicled personal guarantee and Defendant No. ,1 provicled mortgage s-"curirl* of hcl as security Ior thc credit fa.ilit-v as detailed be1or.

1. (a) pplicant provicled Cash Clcdit Facility o{ Rs. 15,00,000/- ("CCF") \o. 1 Ior mectilg thc oPerations of thc Firm bascd on lhc clocumentation and sccurih cleation by Delcntlant No' 1 Defendant No 2 arld 3 provicled personal guitrantee for the CC!. Defenllant No '1 nortgagcd her immoveable Propcrtv bv u'av of Sirnple N4orlSagc Deeci to secule thc CCF

(b) As pcr OA, the DeFendant No. l.ommiited various defaults in co PlYing h'ith the ternN and L:onditions of the CCF and, h spite oF scveral reminders' {ailed to toD t

2. (a)Tribuna! alter satisfying itself of the Or\ being withil limitation ancl fallhg within its teflitorial iurisdiction as per RDDB Act, orclered issue Dc{endants.

(b) Surnmons to the Defcnddnts lvere sent bv Rc Ackno$,ledgcmen f D1rc. Poslal co\.ers to Defcndant No l and 2 to and No. 4, I No. 3 .ouftl not be -,\cknou4r-dgenent Due Cards reccivcd regard neither the Postal Cover leturne,:l ecl Ackno\,lcLlgerncnl Duc Carcl rcceived. But do rload flom file Applicant indicated dcliverl oI the Postal cover clclivered ancl returned ALldrcss". On thc applic.r service through Applicant. A endorsement "lncomPle[e Tdbunal allowed substituted tion de $.hich l\'as carrieLl out bY lhe t vit. Wdtten Sta in person or through advocate and fjlP ts u,ele sct ex parle on 19/02/2019 b "t' an Order o1 the Tdbunal, Appli(ant filed, through Nlr. A11rit Birbu Dhando:e, (\,hich have been taken on record by the Tribtrnal and malked as "F'xhiLrits") ancl also Iilcd Certificd Stdtemcnt oI i\ccount logether lvith thc Certificates unller Banlcrs Books of Evidcncc A.t, 1891, as Annexurcs (thich arc markcrl as Exhibit "2-1"). OI the Docunents fi1c.l as Exhibits.ltld gonc thlough bv the 'Iribunal, thc Iollowing are found reler'ant for thc TribLrnal to consider and dispose of the OA on mcrjt orderTo.^ -\15 ol l0l E (E\-p rte)(Final) pa)'the ducs in respcct of thc Iacility. Cionsequentll', APPlicart issued Rc'all Notiae to thc Defenclants, calJing uporr thcm to rcpay ihc entirc outstandtrg ,rrount oF thc CCI ancl on the Iailurc oF thc Defendants to rePa-v, the OA has been filcd. G) As Defendants

3. Branch Manager, Claim Affidavit en.losirg various Documents as Annexules ordcr To,\ 51,i ol20l8 (t\-pa(c)(|lnal) Exhibit Document Facility " 16" Request Leltel o{ Def 1 (OIIice Cop\) "17" Demand Promissoly Note (O ghal) " t9" Comp. Deed of H]'Pothccation (Original) " 20" Pcrsonal Cuarantee of L)eI 2 &3 (O ginal) "21 Sin11, lc N{ortgage Deed b1 Recall Notice coPy) Cash Credit Facilit.v (Rs. 15,00,000/) l obs!ryq4q! on Evidences p-fqyld9-d&

4. The Statement of Account filcd of Evidcnce Act, t891, tallicd Appltant is based on Exhibits) fited alongfl.ith has gone Exhibits and the Applican as pL,r'Bankels Books A. lurther, the case of the (includ ing the above referrecl hi.h is a s\\'on1 Statemcnt, $'hi.h there is no question of Llisbelicving thc oth€rr evillcnces lct jn bl the ApPlicarlt ancl case beyond reasonirblc doubt to the Fxient oI leting Docu cntdtion arld alloq'ing r:lrarvl out of the has clainccl intcrest at the r'atc of 13.50?a p a. lvith quarierl-v rests t date of filing oI the C)A lilt its realis a iio1t. t Iavin g rega rlls to Sec ' I 9(20) S. No. her rmmoveable Propert) (Regd $'ith SRO, Vasai) (Original) "23" N of the RDIIB Act ($'hich is analogous to Se.. 3f of Cif il Proceclure Code' 1908) the contra.t bctween the APplicant ancl Dc{cndants co1llcs to an end on the filing ot thc OA. Thus the Tribunai has discretion in a$'ar(li1lg pclldente lite ancl future irltcrest. Consiclering the raie of ink'rcst charged bv banks frrr

6. similar facilit-y, I am of the oPit-ton that iltcrest of justi.e rvill be scned iI the rate intercst is awardccl at thc mte of 10 00% p.a. on sinple mtelest basis' Tr1 thc light oI above discussions, thc OriSinal Application is betrg allo$'cd and ordcr passed orr the (ollowing tcrms.

ORDER

Otucr IOA 515 of20l8 {E\-pane)(Final) dre

(i) This Orign-Ial Application is allowed with costs and decrce terms set out belo'!\ i

(ii) There shalt be a I)ecrec in favour oI the Scvenleen lacs Eighty Seven Five onlr') alongnith future intcresl basis) from the date oI realisation in respect of Rs. 17,87,4,56/25 (RuPees ec1 iJt.y Six paise Tr\'enry % pel annurn (on sinple AppJication till thc date of Amount for CCF");

(iii) Defendant No oPeration of rvhich 1, as sole proprietor, borrowed), Dclendar-It No. 2 and 3, Defendant No. ![, the Nlortgagor, are ordered to pa_y/ \,, to the -{pplican! witl,in a period oI 30 days, thc and, in the evcnt ol thc said Dcfc'ndant No. -1, the

o. 2 to,1 lailing lo pay arcl discharge thc dues as directcd or sholtfall, th-" ass.ts forming securiq' ior the Cash Credit Facilitv Exh "19" bcing tl,e rnovcable asscts chargcrt & Exh "21" being the inmovcable propert] mortliagcd bv the Dcfenrlant No.'1) be attachcd / taken possessrorl of and be sold to the extent of realising the clucs / shortfall, as the casc mav be, and in the event of fur'ther shorlfall the said Defel-Idant No' 1, th_" !_irm, Delendant No. 2 to ![ be procecdcd agninst persorral],v b]' rvav of pcrsolal dccrec and busiress assets / other asscts o[ thc lirm aDd Personal asscts / Conshuctjon ("thc li1m") (for the D to bc issued on estates o{ DeFendant No. 1 to ,1 be attached .1nd sold for realising the dues / shortlall, as the case may bc;

(iv) Based on the Original Documents placed before this Tribural, suppol1cd bv thc pleadings, it is Declared that thcre is a v.rlid, subsisting and enfol:eable hvpothccation / charge on the moveable assets o[ the Defendant -\o. 1, thc Borroner, as per Erh "19" in Iavour ol thc, Applicant validllr I the Cash Credit Facilitv,

(v) Bascd on the Original Documents placed bclore this Tribunal. su by the pleadings, it i6 Declaled that there is a v and erlforceable joint per Exh "20" in a1td seva,ral pcrsonal guarantec of D favour of the Applicant validly

(vi) Based on the Orjginal TflbLmal, supported bv the plea.lings, it is Declarc,ci subsisting aDd enforccable mortgirFe or,,er the described ir-r Exh "2t1" in favour of Credit facilit); [o declarc, on oati1, to the Recovt'ry OfIicer, Debts Rec 1II, Nlumbai, botil oleable nll jnrmovcablc asscts t No. 1 is clirected to clcclare, on oath, both mor.eablc oI Aas Constluction ("the Fnrn") of rvhich Defend.r[t ploplietor/ for thc purpose of attachrnent and sale as directed

(iii) above;

(viii) Defendait No. 1 to 4 and Aas Clorrstru.iion ("the lirm") (oI $,hich Defendant No. I is thc sole proprictor) are iniuncted fronr clealing rvith thc tlss-"ts described in Ixh "19" and llxh "21" as also assets declarcd on o.rth as per Clause (\,ii) above in any manner u,hatsocvct till the complete recoven ol Decreed Amount undcr Clause (ii) abovc; N and 3 as O.dcr'loA 515 ofz0lE (l.r pa,le)([]fal)

(vii) Defendant No. 1 to the Applicant validlv Credit Iacilit_yj also

(ix) Recovcry CertiJicate be issued forthwith irs per above clccrc'e ;rr-rd sent to the RecoverY officcr, Debts Ilecovery l'ribunal - III, Nlumbai;

(x) Partics are dirccted to aPpear beforc the Rccovely Officcr, Dcbts Rccovery Tribunal - III, Mumbai;

(xi) Copies of final ordel be sent to all concerned free of cost and consil+led to iecords d, Officer, bts Rec Tribunal IIT, N{umbai. (I'ronounced in oPen Court) Datecl i 2"'r Nlay 2019 $, order ToA 515 ol20l8 (E\-pa,re)(Finxl) A \lf*6fq \\ t,a