CANARA BANK vs K K Palanisamy on 4 January 2024

O R D E R

1. This Original Application is filed by the Applicant Bank, under Section 19 (1) of the RDDB & FI Act, 1993,

a. to direct the Defendant personally to pay to the Applicant Bank a sum of Rs.20,36,007/- towards ALLHV together with interest at the rate of 14.20% + 2% PI penal interest per annum payable at 2 TA 1447/2019

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

b. to direct to bring the, mortgaged property which are mentioned hereunder and the sale proceeds appropriated for recovery of Rs.20,36,007/- towards ALLHV together with interest at the rate of 14.20% + 2% PI penal interest per annum payable at monthly 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 applied for Agricultural Term Loan for a sum of Rs.6,00,000/- for the purpose of developing his agricultural activities on 19.05.2005 to the Applicant Bank. On 19.05.2005, the same was sanctioned by the Applicant Bank to the Defendant. In consideration of the said loan sanction, the Defendant executed necessary documents in favour of the Applicant Bank. The Defendant created an Equitable Mortgage by Deposit of Title Deeds on 10.05.2005 and registered with SRO, Sathymangalam as Doc.No.2464/2005 dated 08.08.2005.

2.2. The Defendant executed the Acknowledgement of Debt and Security for the said Term Loan on 22.08.2007, 22.03.2010, 04.12.2012 & 12.06.2015. Though the Defendant had availed the entire sanctioned limit amounts under the said facilities and the Defendant had not chosen to repay the drawn amounts, as agreed, despite the repeated demands and reminders made by the Applicant Bank. The Defendant had not paid the amount. Therefore, the Applicant Bank filed this OA against the Defendant for recovery of the 3 TA 1447/2019

OA amount with interest & Costs, and this Hon’ble Tribunal may be allowed the OA with Costs.

3. The Defendant was called absent and set ex-parte on 27.12.2016.

4. The Applicant Bank, in order to prove its claim, has filed Proof Affidavit executed by Mr.K.Sathis Kumar, Senior Manager of the Applicant Bank and marked the documents as Exts.A-1 to A-8 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 having submitted that the Proof Affidavit having filed in the case and hence, the order may be passed in terms of the Proof Affidavit filed by the bank.

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

a. from the Defendant personally a sum of Rs.20,36,007/- towards ALLHV together with interest at the rate of 12% (Agricultural Loan) per annum payable at half yearly rests from the date of Application, till the date of its realization, failing which

b. the Applicant Bank is directed to bring the mortgaged Property for sale, and the sale proceeds appropriated for recovery of Rs.20,36,007/- towards ALLHV together with interest at the rate of 12% (Agricultural Loan) per annum payable at half yearly rests from the date of Application, till the date of its realization with Costs of this OA.

7. In the result,

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a. it is hereby directed that the Defendant personally, a sum of Rs.20,36,007/- towards ALLHV together with interest at the rate of 12% (Agricultural Loan) per annum payable at half yearly rests from the date of Application, till the date of its realization.

b. On failure, the Applicant Bank is hereby directed to bring the mortgaged Property for sale, and the sale proceeds appropriated for recovery of Rs.20,36,007/- towards ALLHV together with interest at the rate of 12% (Agricultural Loan) per annum payable at 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.

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.

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 04th day of January, 2024.

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SCHEDULE OF PROPERTIES

Erode District, Sathyamangalam Sub RD, Sathyamangalam Taluk, Indiampalayam, New SF No.88/2A 0.04.5 Hec New SF No.88/2B 1.87.5 Hec New SF No.88/2C 0.80.0 Hec. Total 2.72.0 Hec. Old S.F.No.152 in this specific 1.43.0 Hec. (3.53 Acres) Bounded within the following boundaries : North : Pallavari South : Ramaboyan Land West : K.K. Palanisami Land East : Karuppana Gounder, Chinna Malla Naicker land With common half share in a well New SF.No.88/2A, common half share in 5 HP electric motor and pumpset fitted in that well, common half share in electric share connection No.78, common half share in an agricultural tiled house in New SF.No.88/2B, mamool cart track, pathway etc.,.

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PROOF AFFIDAVIT OF THE APPLICANT BANK

1. Shri. K. Sathis Kumar, Senior Manager LIST OF DOCUMENTS MARKED BY THE APPLICANT BANK Sl. No. Date Description of Document Exhibits

1. 19.05.2005 Original - Application for Agricultural Credit – Short Term/Term Loan given by Defendant to the Applicant Bank. A.1

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19.05.2005 Original – Memorandum of Agreement for Agricultural Loans executed by the Defendant in favour of the Applicant Bank. A.2

08.08.2005 Original – Memorandum of Deposit of Title Deeds executed by the Defendant in favour of the Applicant Bank. A.3

22.08.2007 Original – Acknowledgement of Debt and Security executed by the Defendant in favour of the Applicant Bank. A.4

22.03.2010 Original – Acknowledgement of Debt and Security executed by the Defendant in favour of the Applicant Bank. A.5

04.12.2012 Original – Acknowledgement of Debt and Security executed by the Defendant in favour of the Applicant Bank. A.6

12.06.2015 Original – Acknowledgement of Debt and Security executed by the Defendant in favour of the Applicant Bank. A.7

-- Statement of Accounts. A.8

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