STATE BANK OF INDIA vs S Chandran on 3 January 2024

**O R D E R**

1. This Original Application is filed by the Applicant Bank, under Section 19 of the RDDB & FI Act, 1993, a. to direct the Defendant personally to pay to the Applicant Bank a sum of Rs.20,47,834.00 towards Term Loan with future interest at the rate of 14.25% per annum compounded with Half 

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Yearly rests from the date of Application, till the date of its realization, failing which

b. to direct to bring the, hypothecated goods which are mentioned in "A" - Schedule property and mortgaged properties which are mentioned in "B" - Schedule Properties and the sale proceeds appropriated for recovery of Rs.20,47,834.00 towards Term Loan with future interest at the rate of 14.25% per annum compounded with Half Yearly rests from the date of Application, till the date of its realization with Costs of this OA.

**BRIEF FACTS**

2. The Averments made by the Applicant Bank in the Application are stated as follows:

2.1. The Defendant is doing Agriculture and approached the Applicant Bank for availing Term Loan for his agriculture viz., purchase of Tractor, Trailer and other implements etc., and the Applicant Bank has also sanctioned the said Term Loan for a sum of Rs.7,81,000/- for the same purpose.

2.2. The Defendants had accepted the terms and conditions of the said loan, signed a Letter of Arrangement on 15.02.2006 agreed to repay the loan amount with interest at the rate of 11.75% p.a. with half yearly rest and at such rates & rests as fixed by the Applicant Bank then & there and agreed to repay the loan amount in 8 yearly installment of Rs.86,700/- each and the 9^th installment of Rs.87,400/- with interest and charges etc., 2.3. On 15.02.2006 the Defendant executed a Hypothecation Agreement & Letter of Supplemental Hypothecation in favour of the Applicant Bank by hypothecating the Tractor, Trailer & other implements which are fully described in the "A" - Schedule and also 3TA 1608/2019

deposited his title deeds relating to the immovable properties mentioned in "B" - Schedule. On 21.02.2006 the Defendant had executed a Registered Memorandum of Deposit of Title Deeds in favour of the Applicant Bank.

2.4. The Defendant had admitting and acknowledging his liabilities and executed Revival Letters dated 11.12.2007, 10.01.2010 & 28.12.2012 in favour of the Applicant Bank. On repeated demands, the Defendant not repaid the loan as agreed and committed default in repaying the loan amount with interest. As such, the Applicant Bank issued a Demand Notices dated 12.07.2011 & 26.12.2011 respectively. After receiving the said Notices, the Defendant did not taken any sincere efforts to discharge the loan. Therefore, the Applicant Bank filed this OA against the Defendant for recovery of the OA amount with interest & Costs, and this Hon'ble Tribunal may be allowed the OA with Costs.

3. The Defendant was called absent set ex-parte on 27.07.2017.

4. The Applicant Bank, in order to prove its claim, has filed Proof Affidavit executed by Ms.N.Anjali Devi, Branch Manager of the Applicant Bank and marked the documents as Exts.A-1 to A-23 in support of its claim in the OA. A cumulative analysis of both the Proof Affidavit and documents marked by the Applicant Bank would prove the claim of the Applicant Bank in the OA.

5. The Ld. Counsel for the Applicant Bank had submitted his arguments and had reiterated the Statements in the OA and submitted that Final Order may passed in terms of the Proof Affidavit.

6. Therefore, in view of the observations made supra, the OA stands allowed and the Applicant Bank is entitled to recover, 4TA 1608/2019

a. from the Defendant personally a sum of Rs.20,47,834.00 towards Term Loan with interest at the rate of 12% (Agricultural Loan) per annum compounded with Half Yearly rests from the date of Application, to till the date of its realization, failing which,

b. the Applicant Bank is directed to bring the hypothecated goods which are mentioned in "A" - Schedule property and mortgaged properties which are mentioned in "B" - Schedule Properties and the sale proceeds appropriated for recovery of Rs.20,47,834.00 towards Term Loan with interest at the rate of 12% (Agricultural Loan) per annum compounded with Half Yearly rests from the date of Application, till the date of its realization with Costs of this OA.

7. In the result, a. it is hereby directed that the Defendant personally, to pay to the Applicant Bank a sum of Rs.20,47,834.00 towards Term Loan with interest at the rate of 12% (Agricultural Loan) per annum compounded with Half Yearly rests from the date of Application, to till the date of its realization.

b. On failure, the Applicant Bank is hereby directed to bring the the hypothecated goods which are mentioned in "A" - Schedule property and mortgaged properties which are mentioned in "B" - Schedule Properties and the sale proceeds appropriated for recovery of Rs.20,47,834.00 towards Term Loan with interest at the rate of 12% (Agricultural Loan) per annum compounded with Half Yearly rests from the date of Application, till the date of its realization with Costs of this OA.

8. All the pending IAs. if any, stand closed and disposed of by this Tribunal.

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1. 9. The Registry is directed to prepare DRC in terms of this Final Order. The Applicant Bank shall file memo of costs within 15 days from the date of this Order.

2. 10. The Registry is directed to communicate the copy of this Order to both parties as provided in Rule 16 of the Debts Recovery Tribunal (Procedure) Rules, 1993 as amended in 2016.

*(Dictated to Steno, directly typed on the Computer corrected and pronounced by me in the open Tribunal, this the 03^rd day of January, 2024)*

[M.P. BALASUBRAMANIAN] **PRESIDING OFFICER**

6TA 1608/2019**SCHEDULE OF PROPERTIES****'A' SCHEDULE HYPOTHECATED GOODS****Item No.1 :**

Tractor bearing Chassis No.313241, Engine No.S325A33690 and bearing Registration No.TN-36-J-6730 and Trailer bearing Chassis No.SV1005/06/06 & Trailer bearing Registration No.TN-36-J-8379 and other implements, used to ply all over Tamil Nadu and parked at 'B' schedule mortgage property and at, Puliamarathuthottam, Ennamangalam Village, Bhavani Taluk, Erode District and all the pipe line, fittings etc erected in that properties **'B' SCHEDULE MORTGAGE PROPERTIES****Item No.1**

a) Erode District, Erode Registration District, Anthiyur Sub-Registration District, Bhavani Taluk, Ennamangalam Village, land measuring P.Hec.1.21.5 (P.Ac.3.00 Acres) in the RSF.No.591/1 within the following boundaries.

On the North	: Murugan Land
On the East	: Murugan, Devaraj, Komarasamy land
On the South	: Pallam
On the West	: Rajendran Land

Fitted with 5 HP motor pump set with SC No.4 (Old SF No.109B, 108A1)

**Item No.2**

a) Erode District, Erode Registration District, Anthiyur Sub-Registration District, Bhavani Taluk, Ennamangalam Village, land measuring P.Hec.0.13.0 (P.Ac.0.32) entire extent in the RSF.No.595/2A within the following boundaries.

On the North	: Rajendran Land
On the East	: Rajendran land


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On the South : Kodikal On the West : Komarasamy Land

**Item No.3**

a) Erode District, Erode Registration District, Anthiyur Sub-Registration District, Bhavani Taluk, Ennamangalam Village, land measuring P.Hec.0.87.5 (P.Ac.2.16) in the RSF.No.595/2B total P.Ac.2.48 within the following boundaries.

On the North : Land belonging to Rajendran On the East : Land belonging to Rajendran On the South : Kodikkal On the West : Land belonging to Komarasamy and way in RSF No.595/1B1

Total Area – 5.48 Ac.

**[M.P. BALASUBRAMANIAN] PRESIDING OFFICER**

**PROOF AFFIDAVIT OF THE APPLICANT BANK**

1. Ms.N.Anjali Devi, Branch Manager

**LIST OF DOCUMENTS MARKED BY THE APPLICANT BANK**

<table border="1"> <thead> <tr> <th>Sl. No.</th> <th>Date</th> <th>Description of Document</th> <th>Exhibits</th> </tr> </thead> <tbody> <tr> <td>1.</td> <td>15.02.2006</td> <td>Original – Arrangement Letter signed by the Defendant in favour of the Applicant Bank.</td> <td>A.1</td> </tr> <tr> <td>2</td> <td>15.02.2006</td> <td>Original – Hypothecation Agreement executed by the Defendant in favour of the Applicant Bank.</td> <td>A.2</td> </tr> <tr> <td>3</td> <td>15.02.2006</td> <td>Original – Supplemental Hypothecation Letter executed by the Defendant in favour of the Applicant Bank.</td> <td>A.3</td> </tr> <tr> <td>4</td> <td>--</td> <td>Xerox Copies of Registration Certificate for Tractor &amp; Trailer.</td> <td>A.4</td> </tr> <tr> <td>5</td> <td>21.02.2006</td> <td>Original – Registered Memorandum of Deposit</td> <td>A.5</td> </tr> </tbody> </table>

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<table border="1"> <tr> <td></td> <td></td> <td>of Title Deeds executed by the Defendant in favour of the Applicant Bank.</td> <td></td> </tr> <tr> <td>6</td> <td>11.12.2007</td> <td>Original – Revival Letter executed by the Defendant in favour of the Applicant Bank.</td> <td>A.6</td> </tr> <tr> <td>7</td> <td>10.01.2010</td> <td>Original – Revival Letter executed by the Defendant in favour of the Applicant Bank.</td> <td>A.7</td> </tr> <tr> <td>8</td> <td>28.12.2012</td> <td>Original – Revival Letter executed by the Defendant in favour of the Applicant Bank.</td> <td>A.8</td> </tr> <tr> <td>9</td> <td>12.07.2011</td> <td>Office Copy of Demand Notice issued by the Applicant Bank to the Defendant.</td> <td>A.9</td> </tr> <tr> <td>10</td> <td>26.12.2011</td> <td>Office Copy of Demand Notice issued by the Applicant Bank to the Defendant.</td> <td>A.10</td> </tr> <tr> <td>11</td> <td>--</td> <td>Statement of Accounts maintained by the Applicant Bank towards Term Loan.</td> <td>A.11</td> </tr> <tr> <td>12</td> <td>22.03.2004</td> <td>Original – Registered Partition Deed entered between Sennimalai and his sons viz., Chandran &amp; Others. (Doc.No.630/2004).</td> <td>A.12</td> </tr> <tr> <td>13</td> <td>05.03.1982</td> <td>Xerox Copy of Sale Deed executed by V.A. Kannan &amp; Others in favour of Sennimalai (Doc.No.341/1982).</td> <td>A.13</td> </tr> <tr> <td>14</td> <td>30.01.1982</td> <td>Xerox Copy of Sale Deed executed by Kannan &amp; Others in favour of Sennimalai (Doc.No.92/1982).</td> <td>A.14</td> </tr> <tr> <td>15</td> <td>27.03.1959</td> <td>Certified Copy of Registered Partition Deed entered between Kaliappa Gownder and Nachimuthu Gounder (Doc.No.508/1959).</td> <td>A.15</td> </tr> <tr> <td>16</td> <td>15.07.1957</td> <td>Original – Sale Deed executed by Pongkina Gounder in favour of Kaliappa Gounder (Doc.No.1312/1957).</td> <td>A.16</td> </tr> <tr> <td>17</td> <td>13.09.2001</td> <td>Notarized copy of Sale Deed for pathway executed by K. Lakshmi Ammal &amp; Others in favour of K. Sennimalai (Doc.No.1724/2001).</td> <td>A.17</td> </tr> <tr> <td>18</td> <td>28.11.2005</td> <td>Original – 'A' Register issued by Head Quarters Deputy Thasildar, Bhavani standing in the name of S. Chandran.</td> <td>A.18</td> </tr> <tr> <td>19</td> <td>30.11.2005</td> <td>Original – Certificate issued by VAO, Ennamangalam Village.</td> <td>A.19</td> </tr> <tr> <td>20</td> <td>28.08.2001</td> <td>Original – Kist Receipt for Fasli 1410 in favour of Chennimalai Gounder.</td> <td>A.20</td> </tr> </table>

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<table border="1"><tr><td>21</td><td>30.11.2005</td><td>True Copy of Adangal Extract for Fasli 1413 issued by VAO, Ennamangalam Village, Bhavani Taluk.</td><td>A.21</td></tr><tr><td>22</td><td>01.12.2005</td><td>True Xerox Copy of Field Map for Survey No.591, given by VAO, Ennamangalam Village, Bhavani Taluk.</td><td>A.22</td></tr><tr><td>23</td><td>01.12.2005</td><td>True Xerox Copy of Field Map and Topo Sketch for S.Nos. 591 &amp; 595.</td><td>A.23</td></tr></table>

**[M.P. BALASUBRAMANIAN]** **PRESIDING OFFICER**