CANARA BANK vs R Chinnasamy on 18 January 2024

**ORDER**

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

a. to direct the Defendants personally, jointly, severally and out of their assets to pay to the Applicant Bank a sum of Rs.12,79,543/- together with future interest at the rate of 13.95% per annum 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 Defendants applied AFM I for a sum of Rs.2,98,000/- for the purpose of purchasing a New Tractor and the same was sanctioned by the Applicant Bank on 21.07.2004. For the said Sanction and Availment, the Defendants executed the necessary loan documents in favour of the Applicant Bank on 21.07.2004.

2.2. The Defendants applied AFM II for a sum of Rs.58,000/- for the purpose of purchasing new Trailer Accessories and new set of Tyres and the same was sanctioned by the Applicant Bank on 28.07.2004. For the same, the Defendants executed necessary loan documents in favour of the Applicant Bank on 28.07.2004.

2.3. Thereafter, on 10.07.2006, 25.05.2007, 02.01.2010, 06.08.2012, 10.07.2006, 30.11.2008 & 30.09.2011, the Defendants executed the Acknowledgement of Debt and Security for the said Loan.

2.4. The Defendants agreed to repay the AFM I in 8 yearly installment of Rs.37,250/- with 13.95% interest and to repay the another AFM II within 8 yearly installments of Rs.7,250/- with 13.20% interest failing 3TA 851/2019

which the Defendants agreed to repay the amount with interest along with 2% penal interest.

2.5. As per the Accounts of the Applicant Bank maintained in the names of 1^st to 3^rd Defendants as on 04.12.2013 for a sum of Rs.10,71,378/- AFM I and for a sum of Rs.2,08,165/- AFM II, totally a sum of Rs.12,79,543/- has become due and the Defendants are liable to pay the said amounts with future interest till repayment. Therefore, the Applicant Bank filed this OA against the Defendants and this Hon'ble Tribunal may be allowed the OA with Costs.

3. The Defendants were called absent and set ex-parte on 11.05.2015.

4. The Applicant Bank, in order to prove its claim, has filed Proof Affidavit executed by Mr.Karthi.B, Chief Manager of the Applicant Bank and marked the documents as Exts.A-1 to A-15 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. Therefore, in view of the observations made supra, the OA stands allowed and the Applicant Bank is entitled to recover,

a. from the Defendants personally, jointly & severally, for a sum of a sum of Rs.12,79,543/- together with future interest at the rate of 12% per annum (Agricultural Loan), from the date of Application, till the date of its realization with Costs of this OA.

6. In the result, a. it is hereby directed the Defendants personally, jointly & severally, to pay to the Applicant Bank for a sum of Rs.12,79,543/- together with future interest at the rate of 12% per annum 4TA 851/2019

(Agricultural Loan), from the date of Application, till the date of its realization with Costs of this OA.

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

8. 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.

9. 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 18^th day of January, 2024.*

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

5TA 851/2019

PROOF AFFIDAVIT OF THE APPLICANT BANK

1. 1. Sri. Karthi. B, Chief 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>21.07.2004</td> <td>Original – Loan Application for Agricultural Credit – Short Term/Tem Loan executed by Defendants 1 to 3 in favour of Applicant Bank.</td> <td>A.1</td> </tr> <tr> <td>2</td> <td>21.07.2004</td> <td>Original – Appraisal Report – Purchase of Tractor/Power Tiller/Farm Machinery of Applicant Bank.</td> <td>A.2</td> </tr> <tr> <td>3</td> <td>21.07.2004</td> <td>Original – Memorandum of Agreement for Agricultural Loans executed by Defendants 1 to 3 &amp; 4^th Defendant in favour of Applicant Bank.</td> <td>A.3</td> </tr> <tr> <td>4</td> <td>28.07.2004</td> <td>Original – Loan Application for Agricultural Credit – Short Term/Tem Loan executed by Defendants 1 to 3 in favour of Applicant Bank.</td> <td>A.4</td> </tr> <tr> <td>5</td> <td>28.07.2004</td> <td>Original – Appraisal Report – Purchase of Tractor/Power Tiller/Farm Machinery of Applicant Bank.</td> <td>A.5</td> </tr> <tr> <td>6</td> <td>28.07.2004</td> <td>Original – Memorandum of Agreement for Agricultural Loans executed by Defendants 1 to 3 &amp; 4^th Defendant in favour of Applicant Bank.</td> <td>A.6</td> </tr> <tr> <td>7</td> <td>10.07.2006</td> <td>Original – Acknowledgement of Debt and Security executed by 3^rd Defendant in favour of Applicant Bank.</td> <td>A.7</td> </tr> <tr> <td>8</td> <td>25.05.2007</td> <td>Original – Acknowledgement of Debt and Security executed by 1^st to 3^rd &amp; 4^th Defendants in favour of Applicant Bank.</td> <td>A.8</td> </tr> <tr> <td>9</td> <td>02.01.2010</td> <td>Original – Acknowledgement of Debt and Security executed by 1^st to 3^rd &amp; 4^th Defendants in favour of Applicant Bank.</td> <td>A.9</td> </tr> <tr> <td>10</td> <td>06.08.2012</td> <td>Original – Acknowledgement of Debt and Security executed by 1^st to 3^rd &amp; 4^th Defendants in favour of Applicant Bank.</td> <td>A.10</td> </tr> <tr> <td>11</td> <td>10.07.2006</td> <td>Original – Acknowledgement of Debt and Security executed by 1^st to 3^rd &amp; 4^th Defendants in favour of Applicant Bank.</td> <td>A.11</td> </tr> <tr> <td>12</td> <td>10.11.2008</td> <td>Original – Acknowledgement of Debt and Security executed by 1^st to 3^rd &amp; 4^th Defendants</td> <td>A.12</td> </tr> </tbody> </table>

6TA 851/2019

<table border="1"><tr><td></td><td></td><td>in favour of Applicant Bank.</td><td></td></tr><tr><td>13</td><td>30.09.2011</td><td>Original – Acknowledgement of Debt and Security executed by 1^st to 3^rd &amp; 4^th Defendants in favour of Applicant Bank.</td><td>A.13</td></tr><tr><td>14</td><td>02.01.2007</td><td>Office Copy of Legal Notice issued by the Lawyer of the Applicant Bank addressed to the Defendants.</td><td>A.14</td></tr><tr><td>15</td><td>--</td><td>Statement of Accounts.</td><td>A.15</td></tr></table>

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