Bangalore District Court
( By Sri. Nps vs For Recovery Of A Sum Of Rs.5 on 29 June, 2022
KABC010034442021 TITLE SHEET FOR JUDGEMENTS IN SUITS
IN THE COU R T OF V ADDL.CITY CIVIL COURT AT
BENGALURU
( CCH.No.13)
Present: Smt. NERALE VEERABHADRAIAH BHAVANI, B.A., LL.B. (Hons)
V ADDL.CITY CIVIL & SESSIONS JUDGE,
BENGALURU
Dated this the 29th day of June, 2022
O.S.1065/2021
BETWEEN
State Bank Of India,
Retail Assets Central Processing Centre (RACPC),
Rep By Its Chief Manager,
Parasurama Valmiki,
S/o Late Linganna,
Aged about 44 years,
No.97, Railway Parallel Road,
Kumara Park West,
Bengaluru Plaintiff
( By Sri. NPS., Adv. )
AND
Mr. Mahesh.B
S/o Balakrishnan.R,
Aged about 44 years,
No.117, A-6, BDA Flats,
Neelasandra Post,
Viveknagar Post,
Bengaluru-47. Defendant
( Exparte )
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O.S. No.1065/2021
Date of institution of the Suit : 09/02/2021
Nature of the Suit : Money Suit
Date of commencement of
: 07/04/2022
recording of evidence
Date on which the Judgment
: 29/06/2022
was pronounced
Year Months Days
Total Duration :
01 04 20
[ NERALE VEERABHADRAIAH BHAVANI ]
V ADDL.CITY CIVIL & SESSIONS
JUDGE, BENGALURU
-: J U D G E M E N T :-
This is a suit filed by the plaintiff bank against the
defendant for recovery of a sum of Rs.5,47,351/- along
with current/ future interest and costs of the suit.
2. Brief facts are as under;
That the defendant approached plaintiff bank and
availed term loan of Rs.5,75,000/- on 18/03/2013 for the
purpose of purchase of Swift LDI- Maruti Suzuki Car,
pursuant to which the plaintiff bank sanctioned the said
term loan on condition that the same has to be repaid in
84 equated monthly installments of Rs.9,680/- each with
interest at the rate of 10.45% and defendant agreeing to
the terms and conditions thereby executed letter of
arrangement and agreement of loan cum hypothecation
on 13/03/2013, thereafter the defendant became defaulter
in repayment of EMIs as per the terms and conditions of
3
O.S. No.1065/2021
the documents. Accordingly, plaintiff bank got issued
legal notice dated 27/01/2021, calling upon the defendant
to pay outstanding amount, but did not turn up. As such,
the defendant, is liable to pay total sum of Rs.5,47,351/-
including interest till date to the plaintiff bank. On these
grounds the plaintiff bank has filed above numbered suit
for recovery of money.
3. Records reveal that despite service of suit
summons the defendant remained exparte, accordingly
case was posted for plaintiff's evidence.
4. In order to prove its case, the Manager
Retail, RACPC of the plaintiff's bank examined herself as
PW.1 and got marked the documents at Ex.P1 to P.7(a).
5. Heard and perused the material on record.
6. Points that arise for my consideration are;
1. Whether the Plaintiff bank is entitled for the
relief as sought for ?
2. What Order or decree ?
7. My findings on the above points are as under :
Point No.1 Partly in the affirmative.
Point No.2 As per final orders for the
following,
-: R E A S O N S :-
8. Point No.1:- In order to prove its
case, the plaintiff bank examined Manager, NPA as
P.W. 1 and reiterated the entire plaint averments by
4
O.S. No.1065/2021
filing an affidavit in lieu of examination-in-chief and
got marked 7 documents at Ex. P1 is the loan
application dated 26-02-2013, Ex. P2 is the letter of
terms and conditions dated 18-03-2013, Ex. P3 is the
loan cum hypothecation agreement deed dated 13-
03-2013, Ex. P4 is the office copy of Legal Notice
dated 27-01-2021, Ex. P5 & P5(a) are the postal
cover and notice therein, Ex. P6 is the statement of
Loan account and Ex. P7 & P7(a) are Samyuktha
Karnataka daily newspaper and relevant portion.
9. On perusal of the oral and the documentary
evidence it is clear that, the plaintiff bank has sanctioned
term loan of Rs.5,75,000/- based on application filed by
the defendant and intimated the same and in turn the
defendant has executed agreement of loan cum
hypothecation agreement dated 13/03/2013 and the
same is evident from Ex.P.1 to P.3. After availing the
loan, the defendant became defaulter in repayment of
outstanding amount and thereby breached terms and
conditions of the agreement, accordingly the plaintiff bank
got issued legal notice as per Ex.P.4, but the said notice
returned unserved as left, therefore plaintiff bank has filed
the above numbered suit for recovery of outstanding loan
amount with interest based on Ex.P.6 statement of
account. Inspite of the publication, the defendant
remained absent and same is evident from Ex.P.7(a).
Thus the evidence of P.W. 1 remains unchallenged and
substantiates the claim for Rs.5,47,351/-.
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O.S. No.1065/2021
10. In so far as interest at the rate of current and
future interest @ 8.05% p.a. compounded at monthly
rests under the term loan facility is concerned, the loan
agreement provides for the interest in equated monthly
installments of Rs.9,680/- each commencing from the
month of 01/04/2013 till the entire loan with interest is
fully repaid. This equated monthly installments also
includes interest component and interest on the amount
of the loan will be applied at the rate of 10.45% p.a with
monthly rests calculated on a highest monthly balance.
There is no contractual obligation to pay the current and
future interest at 8.05% p.a. compounded at monthly
rests. In such circumstances, it is just and necessary to
fix the rate of interest at the rate of 12% p.a. on the
outstanding balance of the principal amount of
Rs.3,31,756/-. Accordingly, I answer Point No.1 partly
in the affirmative.
11.Point No.2 :- For the foregoing reasons, I
proceed to pass the following;
ORDER
The suit of the plaintiff bank is partly decreed with cost.
The defendant is hereby directed to pay the claim amount of Rs.5,47,351/- along with the interest at 12% p.a. on Rs.3,31,756/- from the date of the suit till realization within three months from the date of decree.
Draw decree accordingly.
[ Dictated to the Stenographer, transcribed by her, corrected by me and then pronounced in the Open Court on 29th day of June 2022].
[ NERALE VEERABHADRAIAH BHAVANI ] V ADDL.CITY CIVIL & SESSIONS JUDGE BENGALURU.
6O.S. No.1065/2021 ANNEXURE List of witnesses examined on behalf of Plaintiff PW.1 Smt. C.S. Kasturi List of witnesses examined on behalf of Defendant
- Nil -
List of documents marked on behalf of Plaintiff Ex. P1 Loan application dated 26-02-2013 Ex. P2 Letter of terms and conditions dated 18-03-2013 Ex. P3 Loan cum hypothication agreement deed dated 13-03-2013 Ex. P4 Office copy of Legal Notice dated 27-01-2021 Ex. P5 & Postal cover and notice therein Ex. P5(a) Ex. P6 Statement of Loan account Ex. P7 & Samyuktha Karnataka daily newspaper and relevant portion. Ex. P7(a) List of documents marked on behalf of Defendant
- Nil -
[ NERALE VEERABHADRAIAH BHAVANI ] V ADDL.CITY CIVIL & SESSIONS JUDGE, BENGALURU 7 O.S. No.1065/2021 Operative portion of the judgment pronounced in open court vide separate judgment:-
ORDER The suit of the plaintiff bank is partly decreed with cost.
The defendant is hereby directed to pay the claim amount of Rs.5,47,351/- along with the interest at 12% p.a. on Rs.3,31,756/- from the date of the suit till realization within three months from the date of decree.
Draw decree accordingly.
[ NERALE VEERABHADRAIAH BHAVANI ] V ADDL.CITY CIVIL & SESSIONS JUDGE BENGALURU 8 O.S. No.1065/2021