STATE BANK OF INDIA vs K DINESH on 9 November 2023

FINAL ORDER

1. The present TA have been filed by the Applicant Bank \

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under Section 19 of the Recovery of Debts and Bankruptcy Act, 1993, seeking recovery of money of Rs.2Lt58,44O/- (Rupees twenty-one lakhs fifty-eight thousand four hundred forty only) together with costs, interest, etc.

2. The case of the Applicant Bank is that, the Defendants have approached the Applicant Bank for Term Loan. Accordingly, the Applicant Bank has considered the request of the Defendants and sanctioned the Term Loan of Rs.12,00,000/- under Loan Account No.64132532075 on L6,72.2O73, in terms of the loan aqreements. In order to secure the loan, the Defendants have executed documents viz., Agreement of Loan, Memorandum of deposit for creation of mortgage etc.,

3. Further, the Applicant Bank Submitted that, the Defendants have agreed to repay the Term Loan of Rs. 72,OO,OOO/- in 7 equated yearly installments of Rs.|,7L,429/- and the Defendants have agreed to pay the interest at the rate of 5.75olo above the base rate of interest at 10.25olo per annum.

4. Further, the Defendants have agreed to repay the above loan with variable rate of interest, as applicable from time to time as per the directions of the Head Office/Central Office of the Applicant Bank and penal interest in case of default and keep the accounts regular by paying installments as and when due to the satisfaction of the Applicant Bank, as detailed in the TA by the Applicant Bank.

5. The Defendants after utilising the said loans has failed and neglected to make the repayment of the loans due as agreed and Defendants have not serviced the interest thereon as per the terms and condition agreed by them. Thereafter, the Appticant Bank has issued demand notice on 72.03.2020. In spite of repeated remainders and demands, the Defendants have failed to pay the outstanding dues and hence the recovery process is initiated to recover the dues.

6. In the light of these factors, it is contended by the Applicant Bank that Defendants are liable to pay a total sum ot Rs.2L,5a,44O / - (Rupees twenty-one lakhs fifty-eight thousand four hundred forty only).

7. After filing this TA, Summons were sent and served to the Defendants through RPAD. When the Defendants were called out, they remained absent and hence, they were placed Ex parte. \

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8. To prove the case of the Applicant Bank, The Chief Manager, Sri Krishan Kant Rastogi, has flled his affidavit by way of evidence the same was considered as evidence of AW.1 and marked at Ex.A1 and list of document came to be marked at Ex.A2 and 0B documents came to be marked at Ex.A3 to A10.

9. No evidence on behalf of the Defendants. was case. None appeared at the time of hearing when the matter posted for arguments and perused the records of the Following points arise for my consideration:

1) Whether Plaintiff/Applicant Bank proves its case as contended in the plaint/a pplication ?

2) What Order?

12. For the following reasons, I answer the above- referred points in the following manner:

REASONS

13. The Chief Manager of the Applicant Bank came to be examined as AW. 1. His affidavit by way of evidence

11. t reiterated the facts pleaded in the plaint and his affidavit is also corroborated by the above-referred Ex.A3 to A10 which clearly establish the case of the Applicant Bank to allow the present TA. Added to this, the Defendants have remained absent, hence it is to be construed that Defendants have admitted the entire case pleaded by the Applicant Bank in the present TA. 74, Therefore, for these reasons, present TA is to be allowed with costs as sought by the Applicant Bank.

ORDER

Present TA stands allowed as prayed for with interest and costs. In the event of failure of the Defendants to pay the said TA amount, the Applicant Bank is at liberty to sell the Schedule-"A" and "B" properties as mentioned in the main application in accordance with law as sought by the Applicant Bank in the TA. In spite of sale of the Schedule]A" and "8" properties, if the TA amount is not fully realised, then the Applicant Bank !

is at liberty to proceed against the persons and other properties of the Defendants in accordance with law. Applicant Bank shall file latest Memo of Calculation of TA amount together with interest, costs etc., to be paid by Defendants duly taking into account the amount/s, if any, paid by the Defendants and/or amount realized by sale of assets, etc., during the intervening period after filing the TA, to enable.the office to prepare Recovery Certificate for the amount to be paid by the Defendants to the Applicant Bank. Office is directed to issue Recovery Certificate as sought by the Applicant Bank in the TA and do the needful as required under the law forthwith, The Office is directed to issue, as far as possible, free copy of this order to the parties concerned. (Dictated to the Stenographer, after its transcription and necessary corrections, signed and pronounced by me in the Open Court on this the 9rh day of November, 2023) lE. (Imtiaz Ali)

DRT-I, Bengaluru

TA No.03/2021 ANNEXURES Witness Examined for the Aoplicant Bank: AW-1 . Sri Krishan Kant Rastogi The Chief Manager of the Applicant Bank List of Documents Exhibited for the ADDIicant Bank: Ex.A-l : Affidavit of AW-1 Ex.A-2 : List of Documents Ex.A-3 to A-10 : 0B documents witness Examined for the Defendants:

- Nil - List of Documents Exhibited for the Defendants: Nit - \t \ q-r'9V (rmtlai Ali) Presiding Officer DRT-I, Bengaluru R