Debts Recovery Tribunals and Appellate Tribunals
BANK OF BARODA vs PADMA SHEKAR on 5 February 2024
IN THE DEBTS RECOVERY TRIBUNAL – III, CHENNAI
Dated this the 05th day of February, 2024
Present: Shri Ganapathi K.R.K.
Presiding Officer
MA No.174/23 in OASR No.10923/2022
(Edrt -Dy. No.1057/2022)
Bank of Baroda
(Erstwhile Vijaya Bank)
Rep. by its Chief Manager
No.25, 3rd Avenue
Indira Nagar, Chennai – 600 020
....Petitioner
-Vs-
1.
Mrs. Padma Shekar
W/o Veera Shekar
No.5, 3rd Main Road
Indira Nagar, Adyar
Chennai – 600 020
2.
Mr. Veera Shekar
S/o Muthuraman
No.5, 3rd Main Road
Indira Nagar, Adyar
Chennai – 600 020
3.
Mr. M. Vinayagharaj
S/o Muthuraman
No.1, Land Marvel Apartments
II Floor, 1st Street
Thiruvanmiyur, Chennai – 600 041
….Respondents
Counsel for Petitioner bank :
M/s R. Sreedhar
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O R D E R
1. This MA is filed by the Petitioner / Applicant Bank for condonation of delay of 277 days in re-presenting the Original Application after complying with the office objections.
2. It is the case of the petitioner / applicant bank that the objections were duly contemplated to be complied upon, however due to frequent transfers at the Branch level as well as due to administrative reasons, applicant bank could not comply with the same within the time granted by this Tribunal, which was neither willful nor wanton. Hence, there was delay in processing the returns and the OA was re-presented with a delay of 277 days and petitioner bank prayed for condonation of the same.
3. On perusal of records, it is seen that this is an OA filed for recovery of a total sum of Rs.2,56,37,906.57p due in respect of Mortgage Loan facility together with future interest at the rate of 11.90% p.a. with monthly rests from defendants. It is not explained anywhere in the petition as to how applicant bank will be entitled to claim interest at the contractual rate for the period of delay, which is owing to their inaction and not attributable to any action of the defendants. As the period of delay is on the high side, condonation of the same by levying formal amount in the form of costs payable either to the Library Fund or to any Charity organization as a measure of reprimand would not be justifiable when compared with the levy of interest burden on the defendants for the period of default on the part of the applicant bank for no fault of the borrower.
4. However, in the circumstances, this MA is allowed on the condition that the subject of levy of interest for the defaulted period (277 days), which is condoned at this stage of the OA proceedings, shall stand for consideration at the time of issuance of Recovery Certificate by the progress of the case and the conduct of the case on behalf of the applicant bank till the stage of issuance of the recovery certificate. Registry is directed to put up a note accordingly for consideration of claim of interest for this default period at the time of drawing of the Recovery Certificate in case for an order thereto by the Tribunal.
5. Registry is directed to number the OA, if otherwise found to be in order. (Dictated to PS, transcribed by her, corrected, corrected, signed and processed through E-drt on this the 05th day of February, 2024)
Sd/-
(GANAPATHI K.R.K) PRESIDING OFFICER