Citation Codes

Equivalent Citations

citation codes

Case Number

OA/209/2021

Judges

SH VIVEK SAXENA

Acts

SECTION 22 RECOVERY OF DEBTS DUE TO BANKS AND FINANCIAL INSTITUTIONS ACT 1993
Section 25 and 28 of the Recovery of Debts Due to Banks and Financial Institutions Act, 1993

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Smart Summary

Summary of Opinion — Debts Recovery Tribunal, Jaipur (O.A. No. 209 of 2021)

Factual and Procedural Background

This original application (O.A. No. 209 of 2021) was filed by Punjab & Sind Bank (Applicant) through its Senior Branch Manager by Power of Attorney (Annexure A/1) on 02.05.2021 for recovery of Rs. 21,22,802.85. The claim arose from a KCC loan facility originally sought by the Defendants on 06.01.2016 for Rs. 12.00 lakhs; the bank sanctioned the loan and the Defendants executed the loan documents and created mortgage security over agricultural land and hypothecated goods to secure the facility.

The debt claimed in the application included the principal sum and interest as stated in the pleadings (initially referenced at 12.25% p.a. with half-yearly rests in the application recitals) and sought realization by sale of the mortgaged agricultural land (Khasra Nos. 427, 428, 429, 432–438, 441–444, 695, 695/1077; Khata Nos. 135, 136, 137) measuring 5.47 hectares at Village Dhigariya Bheem, Tehsil Baswa, District Dausa, Rajasthan, together with hypothecated raw material, book debts, semi-finished and finished goods, goods in process and other movable/immovable assets of the Defendants, jointly and severally.

Procedurally, the Defendants were called and remained absent; they were set ex parte on 30.11.2021. The applicant bank filed an evidence affidavit and documents exhibited as Exhibit A/1 to A/32. The Ld. Counsel for the applicant was heard. The Tribunal delivered its order and recovery certificate on 19.02.2022 and directed issuance of a Recovery Certificate and appearance before the Recovery Officer on 30.05.2022.

Legal Issues Presented

Whether the applicant bank is entitled to the claim as prayed for?

Arguments of the Parties

The opinion does not contain a detailed account of the parties' legal arguments.

Table of Precedents Cited

No precedents were cited in the provided opinion.

Court's Reasoning and Analysis

The Tribunal's analysis as set out in the opinion proceeded along the following lines (limited to the text of the judgment):

The Defendants remained ex parte after being called and were not represented when the matter was heard.
The applicant bank filed an evidence affidavit and produced documentary evidence, marked as Exhibit A/1 to A/32, and relied on the recitals contained in those documents.
The Tribunal expressly found that the evidence affidavit together with the recitals in the exhibited documents "clinches the claim of the applicant bank against the Defendants." This factual and documentary record formed the basis of the Tribunal's finding of liability.
On that basis the Tribunal held the Defendants liable to pay the amount claimed in the O.A., awarded future interest and costs, and directed issuance of a Recovery Certificate for enforcement of the decree.
The Recovery Certificate repeats the operative relief and directs realization of the decretal amount by the Recovery Officer in the manner prescribed under Sections 25 and 28 of the Recovery of Debts Due to Banks and Financial Institutions Act, 1993 (as referenced in the certificate).

Holding and Implications

Holding: The Tribunal allowed O.A. No. 209 of 2021 and declared that the Defendants are liable to pay the applicant bank a sum of Rs. 21,22,802.85 with future interest at 10% per annum (simple) from the date of filing the original application until realization. The bank is entitled to recover the amount by sale of the mortgaged agricultural land and by proceeding against the hypothecated goods and other movable and immovable assets of the Defendants. The applicant bank was also awarded costs and expenses of the O.A.

Implications and immediate consequences (as set out in the opinion):

The Recovery Certificate was ordered to be issued forthwith and sent to the Recovery Officer, DRT, Jaipur.
Parties were directed to appear before the Recovery Officer on 30.05.2022 for further recovery proceedings.
The Recovery Officer is instructed to realize the amount in the manner and mode prescribed under Sections 25 and 28 of the Recovery of Debts Due to Banks and Financial Institutions Act, 1993, as noted in the Recovery Certificate.
The Tribunal specified that copies of the Judgment and Recovery Certificate be sent by registered post to the parties free and that the Registry verify the Recovery Certificate in accordance with Regulation 24(1) and (2) of the Debts Recovery Tribunal Jaipur Regulations, 2015 (the Registrar carried out that verification as recorded).
The memo of costs attached to the record quantifies costs awarded: Fee on the application Rs. 24,000; Process Fees (including publication) Rs. 177; Advocate Fees Rs. 1,250; Total Costs Rs. 25,427.
No broader declaratory or precedent-setting pronouncement is recorded in the opinion; the decision effects relief between the parties and authorizes statutory recovery steps under the RDDBFI Act.

Presiding Officer: Vivek Saxena. Order and Recovery Certificate dated 19.02.2022.

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PUNJAB AND SIND BANK v. SHRI SHIV LAL MEENA .

"ORIGINAL APPLICATION" No. 209 OF 2021

BEFORE THE DEBTS RECOVERY TRIBUNAL, JAIPUR

PRESENT- SHRI VIVEK SAXENA

PRESIDING OFFICER

O.A. NO. 209 OF 2021

DATE OF DELIVERY OF ORDER 19.02.2022

PUNJAB & SIND BANK, Head Office- at 21, Rajendra Palace, New Delhi.

Branch Office-at-Mandawar, Near Ram Nivas and Company, Main Road, Dausa (Raj.)

…..Applicant Bank……

VERSUS

1. SHRI SHIV LAL MEENA, S/o. Shri Gutaya Ram Meena, R/o. Dhigariya Bheem, Tehsil Baswa, District-Dausa, Rajasthan.

2. MAKKAN LAL MEENA, S/o. Shri Kanhaiya Lal Meena, R/o. Dhigariya Bheem, Tehsil Baswa, District-Dausa, Rajasthan.

……Defendants….

Counsel for the Applicant Bank - Shri S.K. Soni Defendants- Ex-parte

JUDGMENT 1) The Applicant Bank originally filed this O.A. on 02.05.2021, against the Defendants for the recovery of a sum of

Rs.21,22,802.85/- (Twenty One Lacs Twenty Two Thousand Eight Hundred Two and Paisa Eighty Five Only) on KCC loan facility @ 12.25% p.a. with half yearly rests from the Defendants with date of filing this original application till the date of realization and in default by sale of mortgaged property i.e.- Agriculture land bearing Khasra No. 427, 428, 429, 432 to 438,

SKJ

2 OA No. 209 OF 2021 441 to 444, 695, 695/1077, Khata No. 135, 136, 137 measuring

5.47 Hect. situated at Village-Dhigaria Bheem, Patwar Mandal Dhigariya Bheem,Tehsil Baswa, District-Dausa, Rajasthan & hypothecated raw material, book debts, semi-finished goods, finished goods and goods in process etc and as well as Personal movable and immovable properties/assets of Defendants, jointly and severally. The applicant bank is entitled to proceed against the same towards recovery of its debt. The applicant bank is entitled to the costs and expenses of the original application.

The brief facts of the case are-

That the present original application was filed by the Senior Branch Manager of the applicant bank vide Power of Attorney, Annexure A/1.

That the Defendants approached the applicant bank on 06.01.2016 for grant of KCC Loan Facilities of Rs. 12.00 lacs, after usual verification the applicant bank granted and sanctioned KCC Loan Facilities of Rs. 12.00 to defendants and the defendants executed required loaning documents in favour of applicant bank. That after execution of required documents, the defendants availed loan facilities and in order to further secure the above facility, the defendants created mortgage their Agriculture Land in favour of applicant bank. (the detailed description of property is given in para no. 3-A of OA.).

That since the defendants have failed to adhere to the financial discipline and in breach of contract failed to repay the loan and also failed to regularize their accounts on the demands made orally.

That the applicant bank prayed to issue a recovery certificate for the aforesaid amount from the Defendants

SKJ

3 OA No. 209 OF 2021 and also entitled to realize outstanding amount by the

sale of above mortgaged property and hypothecated

goods etc and as well as Personal movable and immovable properties/assets of Defendants, jointly and severally. The applicant bank is entitled to proceed against the same towards recovery of its debt.

2. The Defendants is called absent and set ex-parte on 30.11.2021.

3. The applicant bank filed its evidence affidavit along with list of documents, annexing therewith Exhibit A/1 to A/32.

4. Heard the Ld. Counsel for the applicant bank.

5. The point that arise for consideration is:

Whether the applicant bank is entitled to the claim as prayed for?

6. As stated supra, the Defendants remained ex-parte. The applicant bank filed the evidence affidavit coupled with the recitals in the documents, viz Exhibit A/1 to A/32 marked on behalf of the applicant bank, clinches the claim of the applicant bank against the Defendants. Hence, I hold that the Defendants are liable to pay to the applicant bank the claim made in O.A. with future interest and costs.

7. In the result, this O.A. No. 209 OF 2021 is allowed declaring that:-

a) The Defendants are liable to pay to the applicant bank a sum of Rs.21,22,802.85/- (Twenty One Lacs Twenty Two Thousand Eight Hundred Two and Paisa Eighty Five Only) with future interest @ 10% p.a. (Simple) from the date of filing the original application till the date of realization.

b) The applicant bank is entitled to recover the above amount by the sale of mortgaged property i.e.-

SKJ

4 OA No. 209 OF 2021 Agriculture land bearing Khasra No. 427, 428, 429, 432 to 438, 441 to 444, 695, 695/1077, Khata No. 135, 136, 137 measuring 5.47 Hect. situated at Village-Dhigaria Bheem, Patwar Mandal Dhigariya Bheem,Tehsil

Baswa, District-Dausa, Rajasthan & hypothecated raw

material, book debts, semi-finished goods, finished

goods and goods in process etc and as well as Personal movable and immovable properties/assets of Defendants, jointly and severally. The applicant bank is entitled to proceed against the same towards recovery of its debt.

c) The applicant bank is entitled to the costs and expenses of the O.A.

8. The recovery certificate be issued forthwith and be sent to the Recovery Officer, DRT, Jaipur.

9. Parties are directed to appear before the Recovery Officer, DRT, Jaipur on 30.05.2022.

10. Prepare Recovery Certificate accordingly.

11. A copy of the Judgment and Recovery Certificate be given or sent by registered post to each of the parties free. A copy of the Recovery Certificate be sent to the Recovery Officer of this Tribunal for necessary action as per the law.

(Vivek Saxena)

Presiding Officer, Debts Recovery Tribunal, Jaipur Order pronounced in the open court today i.e. 19.02.2022.

(Vivek Saxena)

Presiding Officer, Debts Recovery Tribunal, Jaipur Place-Jaipur

Dated-19.02.2022 SKJ

5 OA No. 209 OF 2021 BEFORE THE DEBTS RECOVERY TRIBUNAL, JAIPUR PRESENT- SHRI VIVEK SAXENA

PRESIDING OFFICER

O.A. NO. 209 OF 2021

DATE OF DELIVERY OF ORDER 19.02.2022

RECOVERY CERTIFICATE

(UNDER SUB Section 22 of the Recovery of Debts due to Banks and Financial Institutions Act, 1993 (Act 51 of 1993)

PUNJAB & SIND BANK, Head Office- at 21, Rajendra Palace, New Delhi.

Branch Office-at-Mandawar, Near Ram Nivas and Company, Main Road, Dausa (Raj.)

…..Applicant Bank……

VERSUS

1. SHRI SHIV LAL MEENA, S/o. Shri Gutaya Ram Meena, R/o. Dhigariya Bheem, Tehsil Baswa, District-Dausa, Rajasthan.

2. MAKKAN LAL MEENA, S/o. Shri Kanhaiya Lal Meena, R/o. Dhigariya Bheem, Tehsil Baswa, District-Dausa, Rajasthan.

……Defendants….

Recovery Certificate for Rs. 21,22,802.85/-

In terms of final order dated 19.02.2022 passed by this Tribunal in the above mentioned case, it is ordered that the-

b) The applicant bank is entitled to recover the above amount by the sale of mortgaged property i.e.-

SKJ

6 OA No. 209 OF 2021 Agriculture land bearing Khasra No. 427, 428, 429, 432 to 438, 441 to 444, 695, 695/1077, Khata No. 135, 136, 137 measuring 5.47 Hect. situated at Village-Dhigaria Bheem, Patwar Mandal Dhigariya Bheem,Tehsil

Baswa, District-Dausa, Rajasthan & hypothecated raw

material, book debts, semi-finished goods, finished

c) The applicant bank is entitled to the costs and expenses of the O.A.

ii. Parties are directed to appear before the Recovery Officer, DRT, Jaipur on 30.05.2022.

The Recovery Officer shall realize the amount as per this Certificate in the manner and mode prescribed under Section 25 and 28 of the Recovery of Debts Due to Banks and Financial Institutions Act, 1993 (as amended from time to time) from the above named Certificate Debtor.

This Certificate has been issued under my signatures and seal of the Tribunal on this 19.02.2022.

(Vivek Saxena)

Presiding Officer, Debts Recovery Tribunal, Jaipur Place-Jaipur

Dated-19.02.2022 SKJ

7 OA No. 209 OF 2021 FORM NO. 10

[See Regulation-24(1)]

DEBTS RECOVERY TRIBUNAL

First Floor, Sudharma-II, Opp.Kisan Bhawan, Lal Kothi Shopping Centre, Tonk Road, JAIPUR- 302015

SCHEDULED TO RECOVERY CERTIFICATE

MEMO OF COST

O.A No. 209 OF 2021

PUNJAB & SIND BANK, Head Office- at 21, Rajendra Palace, New Delhi.

Branch Office-at-Mandawar, Near Ram Nivas and Company, Main Road, Dausa (Raj.)

…..Applicant Bank……

VERSUS

1. SHRI SHIV LAL MEENA, S/o. Shri Gutaya Ram Meena, R/o. Dhigariya Bheem, Tehsil Baswa, District-Dausa, Rajasthan.

2. MAKKAN LAL MEENA, S/o. Shri Kanhaiya Lal Meena, R/o. Dhigariya Bheem, Tehsil Baswa, District-Dausa, Rajasthan.

……Defendants….

S. No.	Item of Costs	Amount in Rupees
1.	Fee on the application	24,000
2.	Process Fees (inc. Publication)	177
3.	Advocate Fees	1,250
4.	Commissioner/Receivers/Valuation/Security Fee	NIL
5.	Miscellaneous Charges	NIL
	Total Costs	25,427

(Vivek Saxena)

Presiding Officer, Debts Recovery Tribunal, Jaipur Place-Jaipur

Dated-19.02.2022 SKJ

8 OA No. 209 OF 2021 19.02.2022

Counsel:

Sh. S.K. SONI, Counsel for the Applicant Bank. Defendants are Ex-parte.

Judgment dictated separately and pronounced in the open court. As per order the O.A. is allowed. Recovery Certificate be prepared accordingly and the Registry is directed to verify the Recovery Certificate as per Regulation 24(1) and (2) of Debts Recovery Tribunal Jaipur Regulation 2015 and after verification place the same before the Tribunal.

(Vivek Saxena)

Presiding Officer, Debts Recovery Tribunal, Jaipur

SKJ

9 OA No. 209 OF 2021 19.02.2022

Counsel:

Sh. S.K. SONI, Counsel for the Applicant Bank Defendants are Ex-parte.

The Tribunal vide order dated 19.02.2022, directed the Registrar to verify the Recovery Certificate as per Regulation 24(1) and (2) of Debts Recovery Tribunal Jaipur Regulation 2015. The Registrar vide order dated 19.02.2022 verified the Recovery Certificate as per Regulation 24(1) and (2) of Debts Recovery Tribunal Jaipur Regulation 2015. Recovery Certificate is prepared accordingly. Copy of the Judgment and Recovery Certificate be given free to the concerned parties as well as be sent to the Recovery Officer for further proceedings. File be put up before the Registrar for compliance. After compliance file be consigned to record.

(Vivek Saxena)

Presiding Officer, Debts Recovery Tribunal, Jaipur

SKJ

10 OA No. 209 OF 2021 DEBTS RECOVERY TRIBUNAL, JAIPUR

ORIGINAL APPLICATION NO. 209 OF 2021

The Recovery Certificate prepared in compliance of order dated 19.02.2022 passed by Hon'ble Presiding Officer, DRT, Jaipur in Original Application No. 209 OF 2021 Title- Punjab & Sind Bank Vs. SHRI SHIV LAL MEENA & Ors has been checked and may be verified.

Section Officer

Assistant Registrar

On the basis of the report of Section Officer the Recovery Certificate is verified. The Recovery Certificate is placed below for the signature of Hon'ble Presiding Officer please.

Assistant Registrar

Hon'ble Presiding Officer

SKJ

PUNJAB AND SIND BANK v. SHRI SHIV LAL MEENA .

Summary of Opinion — Debts Recovery Tribunal, Jaipur (O.A. No. 209 of 2021)

Factual and Procedural Background

Legal Issues Presented

Arguments of the Parties

Table of Precedents Cited

Court's Reasoning and Analysis

Holding and Implications

PUNJAB AND SIND BANK v. SHRI SHIV LAL MEENA .

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