STATE BANK OF INDIA vs K M JEYARAMAN on 18 March 2024

O R D E R

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

a. to direct the Defendants personally, jointly & severally to pay to the Applicant Bank a sum of Rs.12,89,649/- under ATL together with future interest at the rate of 15.95% per annum monthly rest from the date of Application, till the date of its realization ; failing which

b. to direct the Applicant Bank to bring the hypothecated and mortgaged properties which are mentioned in Schedule – “A” & Schedule – “B” Properties for sale and the sale proceeds appropriated for recovery of a sum of Rs.12,89,649/- under ATL together with future interest at the rate of 15.95% per annum monthly rest 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. On 07.03.2008, the Defendants applied for Agricultural Credit Loan for a sum of Rs.7,07,000/- for the purpose of Tractor, Rotarator, Trailer and Accessories. The same was sanctioned by the Applicant Bank to the Defendants on the same day. On 07.03.2008 itself, the Defendants availed the loan and executed necessary documents in favour of the Applicant Bank.

2.2. The Defendants hypothecated the Schedule – “A” Property in favour of the Applicant Bank and created an Equitable Mortgage over their properties by Deposit of Title Deeds on 03.03.2006 itself and executed Memorandum of Deposit of Titled Deed 09.03.2006 by Defendants. The Defendants executed Revival Letters on 27.02.2009 & 23.02.2012.

2.3. The Defendants had availed the entire sanctioned limit under the said facilities and the Defendants have not chosen to repay the loan dues, as agreed. Despite repeated Demands and Reminders made by the Applicant Bank, the Defendants not paid the loan dues. Thereafter, the Applicant Bank sent Demand made through Recall Notice on 17.09.2011. 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 30.08.2017 & 17.05.2018 respectively.

4. The Applicant Bank, in order to prove its claim, has filed Proof Affidavit executed by one Shri.A.Dhanapal, Senior Manager of the Applicant Bank and marked the documents as Exts.A-1 to A-27 in support of its claim and reiterated the statements made in the Original Application. However, the interest claimed by the Applicant Bank found varies in the OA filed by the Applicant Bank and in the Proof

Affidavit, the interest claimed is being @ 14.25% per annum with monthly rests and therefore, the said interest rate is taken in to consideration. Accordingly, a cumulative analysis of both the Proof Affidavit and documents marked by the Applicant Bank would prove on the basis of the claim in the Proof Affidavit filed by the Applicant Bank.

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 Rs.12,89,649/- under ATL together with future interest at the rate of 14.25% per annum monthly rest from the date of Application, till the date of its realization; failing which,

b. the Applicant Bank is directed to bring the hypothecated and mortgaged properties which are mentioned in Schedule – “A” & “B” for sale and the sale proceeds appropriated for recovery of a sum of Rs.12,89,649/- under ATL together with future interest at the rate of 14.25% per annum monthly rest 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 that the Defendants personally, jointly & severally to pay to the Applicant Bank a sum of Rs.12,89,649/- under ATL together with future interest at the rate of 14.25% per annum monthly rest from the date of Application, till the date of its realization.

b. On failure to pay, the Applicant Bank is directed to bring the hypothecated and mortgaged properties which are mentioned in Schedule – “A” & B” for sale and the sale proceeds appropriated for recovery of a sum of Rs.12,89,649/- under ATL together with future interest at the rate of 14.25% per annum monthly rest 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 18th day of March, 2024.

Sd/- [M.P. BALASUBRAMANIAN] PRESIDING OFFICER

SCHEDULE [Description of the Immovable Properties] “A” Schedule [Hypothecation]

Tractor & Trailer bearing Registration Number TN-36-X-0437.

“B” Schedule [Equitable Mortgage]

Gopichettipalayam Registration Distrit, Punjai Puliampatti Sub Registration District, Sathiyamangalam Taluk, Ukkaram Village : - N.S.F.No.867/15 P. Hec. 0.18.5 P.Ac.0.46 entire. N.S.F. No.867/7 P.Hec 0.24.5 P.Ac.0.61 in this centre P.Ac.0.25 within the following boundaries.

To the North of Vadivel Land to the South of S.F.No.868 to the East of 1st Title Holder’s P.Ac.60 land, to the West of S.F.No.867. N.S.F.No.867/13 P.Hec.0.05.0 P.Ac.0.12 well vari share in this common ¼ share in this common ¾ in P.Ac.0.12 ¼ with a well in this common ¼ share in this common ¾ share fitted with 5 H.P. electric motor in this common ¼ share in this common ¾ share, S.C.No.369 mamool cart track pathway right and all other rights thereon.

Total extent of the property of Item No.1 P.Ac.0.73 ¼ belongs to 1st title holder. Item No.2 Same Village (Ukkaram) N.S.F.No.874/3 P.Hec.0.01.5 N.S.F.No.874/7P Hect.0.03.0 total P.Hec.0.04.5 or P.Ac.0.11 cent within the following boundaries. To the North of Chinna kutti Gounder land to the south of title holders land to the East of title holders land, to the west of Chinna Ranga Pannadi land. With mamool cart track pathway rights and all other rights thereon.

Total extent of the property of Item No.2 P.Ac.0.11 cents belongs to the title holders. Item No.3 Same Village N.S.F.No.874/1 P.Hec.0.02.5 N.S.F.No.874/2 P.Hec.0.01.5 N.S.F.No.874/4, P.Hec.0.02.0 total P.Hec.0.06.0 or P.Ac.0.15 cent in this common P.Ac.0.09 cent. With mamool cart track pathway right and all other rights thereon. Total extent of the property if item No.3, P.Ac.0.09 cent belongs to the title holders. Item No.4 Same Village N.S.F.No.867/4 P.Hec 0.11.0 or P.Ac.0.27 cent With mamool cart track pathway right and all other rights thereon. Total extent of the property of Item No.4 P.Ac.0.27 cent belonging to the title holders. Item No.5 Same Village Old S.F.No.528, N.S.F.No.866/3 P.Hec.0.16.0 in this center P.Ac.0.30 cent within the following boundaries. To the north of Irulapannadi land. To the south of Vadivel land, to the east of vendors land, to the east of Thangamani land. With mamool cart track pathway right and all other rights thereon. Total extent of the property if item No.5 P.Ac.0.30 belongs to 2nd & 3rd title holders. Item No.6 Same Village Old S.F.No.527 P.Ac.4.91 in this common ¼ share P.Ac.1.22.3/4

Old S.F.No.528 P.Ac.4.61 in this common ¼ share P.Ac.1.15 ¼ N.S.F.Nos.866/6, 8, 9, 867/5, 6, 10, 13. With mamool cart track pathway right and all other rights thereon. Total extent of the property of Item No.6 P.Ac.2.38 belongs to 2nd & 3rd title holders. Total extent of the properties of Item 1 to 6 P.Ac.3.88 ¼. Sd/- [M.P. BALASUBRAMANIAN] PRESIDING OFFICER

PROOF AFFIDAVIT OF THE APPLICANT BANK

1. Shri.A.Dhanapal, Senior Manager. LIST OF DOCUMENTS MARKED BY THE APPLICANT BANK

Sl. No. Date Description of Document Exhibits

03.03.2006 Application for Agricultural Credit Loan executed by the Defendants in favour of the Applicant Bank. A.1

03.03.2006 Sanction Letter of the Applicant Bank executed by the Defendants. A.2

03.03.2006 Hypothecation Agreement executed by the Defendants in favour of the Applicant Bank. A.3

27.02.2009 Revival Letter executed by the 1st, 3rd, & 4th Defendants in favour of the Applicant Bank. A.4

23.02.2012 Revival Letter executed by the 1st Defendant in favour of the Applicant Bank. A.5

05.06.2006 Xerox Copy of Certificate of Registration in respect to Tractor – Trailor in Registration No.TN-36-X-0437. A.6

09.03.2006 Memorandum relating to Deposit of Title Deeds executed by the Defendants in favour of Applicant Bank. A.7

04.03.2006 Confirmation Letter in respect of Equitable A.8

Mortgage executed by the Defendants in favour of Applicant Bank.

05.07.1974 Xerox Copy of Partition Deed executed between Nachimuthu Pannadi, Muniyappa Pannadi and Rangasamy Pannadi. A.9

22.06.1981 Registered Will executed by Palaniappan in favour of P. Thangamani. A.10

14.06.1989 Sale Deed executed by Ammasai Pannadi aA. Thangaraj in favour of Jayaraman & Thangamani. A.11

30.03.1990 Sale Deed executed by Ayyavu, Karupannadi and Palanisamy in favour of Thangamani. A.12

18.09.1991 Sale Deed executed by Karuppasamy & Ponraj in favour of Jayaraman and Thangamani. A.13

15.07.1998 Sale Deed executed by Ammasai Pannadi, Thangarasu for himself and Guardian of Minor Kathiresan, Chandrasekaran & Jothimani. A.14

23.08.1999 Sale Deed executed by Thangarasu, Chandrasekaran, Kathiresan & Jothimani in favour of Veluchchamy & Shanmugasundaram. A.15

13.01.2006 General Power Deed executed by J. Velusamy & J.Shanmugasundaram in favour of Jayaraman. A.16

19.01.2006 Certified Copy of Death Certificate in respect of Palaniappan. A.17

19.01.2006 Certified Copy of Death Certificate in respect of Thangamani. A.18

02.02.2006 True Copy of Legal Heir Certificate in respect of Tmt. Thangamani. A.19

01.02.2006 Patta in respect of Patta Nos.2987 of SF Nos.892/1, 2, 3, 4 & 5, of 065 Ukkaram Village, Sathyamanagalam. A.20

21.02.2006 Patta in respect of Patta Nos.2574, 2025 & 1000 of SF Nos.867/13, 866/9 & 866/6, 8 and of

Ukkaram Village, Sathyamanagalam. A.21

01.02.2006 A Register for 30.06.2001 in respect of New S.F.No.892/5 of

Ukkaram Village, A.22

Sathyamangalam.

30.01.2006 A Register for 30.06.2001 in respect of New S.F.No.867/13, 866/9 & 866/6 & 8, 867/6 of 065 Ukkaram Village, Sathyamangalam (3 in Nos.). A.23

30.01.2006 Kist Receipts for the Fasli 1414 for the Patta Nos.551, 1362, 2028, 219 & 1536 in favour of Jayaraman. A.24

07.02.2006 Certified Copy of Encumbrance Certificate between 01.01.1975 and 01.02.2006 issued by Sub Registrar, Punjai Puliampatti. A.25

17.09.2011 Office Copy of Recall Notice issued by the Applicant Bank to the Defendants. A.26

-- Statement of Accounts. A.27

Sd/-

[M.P. BALASUBRAMANIAN] PRESIDING OFFICER