Debts Recovery Tribunals and Appellate Tribunals
UCO BANK vs M/s.G.G.Enterprises & 2 Others on 23 July 2019
BEFORE THE DEBTS RECOVERY TRIBUNAL –I ATCHENNAI
Dated this 23rd Day of July, 2019
Present: SHRI N.V.BADARINATH
PRESIDING OFFICER
OA 324/2018
UCO Bank,
Mount Road Branch,
PLA, Rathna Towers,
212, Mount Road,
Chennai 600 006.
…Applicant Bank
Vs.
1. M/s G.G. Enterprises,
Rep. by its Proprietrix
Mrs. G. Govardhani
Plot Nos.36, 37 & 57, Subramani Nagar,
Manali New Town, Vichoor,
Ponneri, Chennai 600 103.
2. Mrs. G. Govardhani
Wife of Mr.K. Gunasekar,
No.110/138, Sanjeevirayan Koil Street,
Old Washermenpet, Chennai 21.
3. K. Gunasekar,
No.110/138, Sanjeevirayan Koil Street,
Old Washermenpet, Chennai 21.
…Defendants
Counsel for the Applicant Bank
: M/s A.V.Radhakrishnan and Co.
Defendants remained exparte.
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ORDER
1. This application is filed by the applicant bank under Section 19(1) of Recovery of Debts due and Bankruptcy Act, 1993 (formerly Recovery of Debts Due to Banks and Financial Institutions Act, 1993) against the defendants jointly and severally for recovery of a total sum of Rs.1,21,56,014.50p consisting of a sum of Rs.88,26,789.80p due under Cash Credit Facility and a sum of Rs.33,29,224.70p due under
Term Loan Facility together with further interest at 13.20% per annum with monthly rests from the date of filing of the application till the date of realization in full, for sale of the schedule mentioned properties along with costs of this application.
2. Defendants remained exparte.
3. Heard the Ld. Counsel for the applicant, perused the OA averments and the record placed before the Tribunal. The point that arises for consideration is Whether the applicant bank is entitled for the amount claimed in the application from the defendants ? If so, at what rate of interest?
4. Point Whether the applicant bank is entitled for the amount claimed in the application from the defendant s? If so, at what rate of interest? 4.1 Toprove its claim, the applicant bank filed proof affidavit through its Branch Manager along with 12 documents, which are marked as Ex.A1 to A12. The proof affidavit of the applicant bank remain unchallenged and unrebutted. Therefore, on careful consideration of proof affidavit along with Exhibits filed on behalf of the applicant bank, besides the material placed before the Tribunal, the Tribunal is satisfied that the applicant bank has successfully proved the OA claim against the defendants. Point is answered accordingly. 4.2 A perusal of the record reveals that the applicant bank filed a Memo in SR 2948/2018 dated 8.5.2018 stating therein that the mortgaged property (Schedule ‘A’) was sold in SARFAESI auction and an amount of Rs.62,46,000/- has been realized, therefore the OA claim is restricted to Rs.74,09,728.60p as on 8.5.2018 with interest at 13.20% per annum with monthly rests. The Memo is taken on record.
5. For the reasons stated as above, it is held that the applicant bank is entitled for a Recovery Certificate against the defendants jointly and severally for recovery of a total sum of Rs.1,21,56,014.50p consisting of a sum of Rs.88,26,789.80p due under Cash Credit Facility and a sum of Rs.33,29,224.70p due under Term Loan Facility LESS a sum of Rs.62,46,000/- realized through sale of application ‘A’ schedule property together with pendent lite and future interest at 9% p.a. from the date of filing of the application till the date of realization in full for sale of the schedule ‘B’ mentioned property along with costs of this application.
6. In the result, application is allowed as under:
(a) The applicant bank is entitled to recover a total sum of Rs. 1,21,56,014.50p 50p consisting of a sum of Rs.88,26,789.80p due under Cash Credit Facility and a sum of Rs.33,29,224.70p due under Term Loan Facility LESS a sum of Rs.62,46,000/- realized through sale of application ‘A’ schedule property together with pendent lite and future interest at 9% per annum (simple) from the date of filing of the application till the date of realization in full, from the defendants jointly and severally.
(b) It is further ordered that in case of default of payment by the defendants, the applicant bank is entitled to sell the scheduled ‘B’ mentioned property and adjust the sale proceeds towards the amount due.
(c) If the sale proceeds are not found sufficient to cover the amount due and payable to the applicant bank, the defendants are personally liable for all such amounts due.
(d) It is further ordered that any amount remitted or realized, if any, during the course of the proceedings, shall be given due credit to the loan account of the defendants.
(e) The applicant bank is entitled for costs of this application.
7. The applicant bank is directed to file costs memo within two weeks of the receipt of this order.
8. Issue recovery certificate in favour of the applicant bank in terms of this final order.
9. Communicate a copy of the order to the parties concerned in terms of Rule 16 read with Rule 2(c) of DRT (Procedure) Rules, 1993. (Dictated to PA (SN) transcribed by him, corrected, signed and pronounced by me in the Open Court, this 23rd day of July, 2019) Sd/- (N.V.BADARINATH) PRESIDING OFFICER DRT-I, CHENNAI