STATE BANK OF INDIA vs JAYDEEP on 20 June 2019

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Presented on z 02/09/201.6

Registered on z 24/02/2018

Transferred on : L9/04/2018

Decided on:20/06/20L9

Duration : 26 (D\/ 03 (MY01 (Y)

IN THE DEBTS RECOVERY TRIBUNAL - III AT MUMBAI

DATED THIS 2OthDAY OF JUNE 2019

PRESENT : SHRI. T S ASOKRAJ

PRESIDING OFFICER

T O A No.517 of 2018

State Bank of India, a Bank established under the )

State Bank of India Act, 1955 having its corporate )

centre at State Bank of India, SAMRO West, 1't Floor, Corporate Cenfue, State Bank Bhavan, Nariman Madame Cama Road, Mumbai - 400 021 and Branch amongst others at Talasari Branch, Palghar and Stressed Assets Recovery Floor, Kerom Building, Next to SBI W

Branch, Plot No. A-112, Road No. 22

Estate, Thane - 400 604 through i-ts

,ia

Applicant

1. Mr. Jaydeep

Proprietor :

M/s. Jaydeep

Concern)

1) A/705,

Mumbai -

also at

ii)

ustrial Estate, Valiv,

Hospitaf

Mumbai - 40A 076

Defendant

Present

Shri. Sachin A Koli, Advocate, Counsel for Applicant Bank Defendant remained ex-parte This Original Application (OA) is filed by Applicant under Section L9 of the Recovery of Debts Due to Banks and Financial Institutions Act, 1993 ('RDDB Acf')

(since changed to "Recovery of Debts and Bankruptcy Act, 1993") against the )

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)

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)

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Order TOA 517 of 2018 (Ex-parte)(Final)

Defendant for the recovery of a sum aggregating to Rs. 91.,39,634/ 91 (Rupees Ninety One lacs Thirty Nine thousand Six hundred and Thirty Four and paise Ninety One only) in respect of the credit facilities mentioned in the OA alongwith cost, charges, pendente lite futarc interest as stated therein from the date of filing of this OA till its realisation.

Parties :

Applicant is a "Bank" within Sec. 2(d) of the RDDB Act.

Applicant provided credit facilities to the Defendant, Sole a Sole Proprietary Firm carrying on business under and s(le M/s. Jaydeep Enterprise ("the Firm") for the operation of Factual matrix

1.(a) As per OA, Applicant s

t of Rs. 20,00,000/ - ("CCL'),

Rupee Term Loan of Rs.

") and Rupee Term Loan of Rs.

11,60,000/ - ("RTL-Z")

and

2 are collectively referred to as

"the Credit

t for the operation of the Firm based on the documentation by the Defendant.

(b) As per OA,

by the Defendant was not satisfactory and there part of the Defendant in furnishing necessary ts & audited financial statement of the Firm and there the account. It is further averred in the OA that as also the operation of the Defendant was not satisfactory and there to pay instalments regularly by the Defendant. It is further averred was in the OA that the Defendant committed breaches of the terms and conditions subject to which the Credit Facilities were sanctioned. Consequently, thu Applicant decided to recall the outstanding amounts of the Credit Facilities and issued Recall Notice to the Defendant calling upon him to repay the entire outstanding amounts of the Credit facilities and, on the failure of the Defendant to repay, the OA has been filed.

the

J

Order TOA 517 of 2018 (Ex-pafiexFinal)

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 Defendant.

(b) Summons to the

Defendant was sent by Registered Post with Acknowledgement Due. while the postal covel addressed to First Address (opposite to IIT Powai) returned undelivered with postal endorsement "Unclaimed", the postal cover addressed to Second Address (East)) got delivered as per the download from Postal Site'

Affidavit.

(c) As the Defendant did not appear either in OI through did not file Written Statement, the Defendant w on14/11/2018 bY an Order of the Tribunal.

Proceedings :

3. As directed bY the

Deshpande, Manager,

enclosing various

by the Tribunal

Account

189'1., as

the

Service

through Mr. Padmakar

Branch, Claim Affidavit

(which have been taken on record

ts") and also filed Certified Statement of under Bankers Books of Evidence Act, marked as Exhibit "14", "15" , "L6" & "17")' Of Exhibits and gone through bY the Tribunal, the for the Tribunal to consider and dispose of the OA

to

Exhibit

Document

Facility

S.'No.'

1..

,r10r,

Letter of Arrangement (Office Copy)

,r11r,

Agreement of Loan

Hypothecation(Original)

cum

,r12r,

Revival Letter

(Original)

from Defendant

,r13r,

Recall Notice (Office CoPY)

2.

J.

Cash Credit Limit

(Rs. 20,00,000/-)

Rupee Term Loan-1

(Rs. 24,90,000/-)

Rupee Term Loan-2

(Rs. 11,60,000/-)

3s'*e,*,,

J

Order TOA 5 l7 of 2018 (Ex-parte)(Final)

Obseryation on Evidences provided& Claim made:

4. The Statement of Account filed by the Applicant, certified as per Bankers Books of Evidence Ac! 189L, tallied with claim in OA. Further, the case of the Applicant is based on various Documents (including the above referred Exhibits) filed alongwith Claim Affidavit, which is a sworn Statement, which has gone unchallenged as the Defendant remained ex-parte. L:r my view, there is no question of disbelieving the Exhibits and Claim t and other evidences let in by the Applicant and the Applicant has beyond reasonable doubt to the extent of sanctioning the Credit F

documentation and allowing drawl out of the Credit Facilities

5. The Applicant has claimed interest at the of % p.u. with monthly rests for CCL and at the rate of 1650% p.

for RTLs, both from

the date of filing of the OA till

regards to Sec. 19(20) of

the RDDB Act (which is

the contract between the

Civil Procedure Code, 1-908)

filing of the OA. Thus the

has

in awardingpendente lite and

future interest.

interest charged by banks for similar

facilities, I am of

interest of justice will be served if the rate interest is a of 72.00% p.a. on simple interest basis for all the facilities.

5.

discussions, the Original Application is being allowed and on the following terms.