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Bangalore District Court

Bank Of Baroda (Earlier Dena Bank) vs Sri.Shantha Kumar on 13 April, 2023

KABC020149892020




IN THE COURT OF XIII ADDL. SMALL CAUSES AND

        ACMM AND ADDL. MACT., BENGALURU,

                           (SCCH-15)
        PRESENT: Smt. KUMARI SUJATHA.
                                        B.Com., LL.B.,
                       XIII Addl. Small Causes Judge,
                       ACMM,Court of Small Causes &
                       Member, MACT­15, Bengaluru.

                       Small Cause No.876/2020

             Dated : This the 13th day of April, 2023


Plaintiff:              Bank of Baroda (Earlier Dena Bank)
                        A Body Corporate constituted by
                        and under the banking Companies
                        (Acquisition and Transfer of
                         Undertakings) Act, 1970,
                        having Head Office situated at
                        Baroda Bhavan,
                        R C Dutt Road, Alkapuri,
                        Vadodara, Gujarat State and
                        interalia branch office at
                        Peenya Branch, Bangalore
                        Represented by its Chief Manager & PA
                           Holder
                        Mr.Sanjay Wali, S/o Shivaputra Wali,
                        Aged about 38 years.

                           (By Sri. Nagaraja Damodara., Advocate)

                        V/s
 SCCH 15                            2                       SC 876/2020

    Defendants        1. Sri.Shantha Kumar,
                      Since Dead by his Legal Heir

                      1(a). Smt.Pushpa,
                      Aged: Major
                      W/o. Late Shantha Kumar
                      R/at # 60/1, 11th Cross, Bhovi Palya,
                      M.L. Puram,
                      Bangalore­560 086.

                              (Ex­parte)

Date of Institution of suit                : 08.10.2020

Nature of suit                             : Recovery of money

Date of Recording of evidence              : 10.04.2023

Date of Judgment                           : 13­04­2023

Total duration                     : Year/s Month/s Day/s
                                      02      06     05


                                       (Smt. Kumari Sujatha.)
                                   XIII Addl. Small Causes Judge
                                  & ACMM, Court of Small causes,
                                   Member, MACT-15, Bengaluru.


                              : JUDGMENT :

This is a Suit filed by the Plaintiff bank against the Defendants for recovery of Rs.1,49,229.95/­ with interest at the rate of 9.95% per annum from 22.09.2020 till its realization.

SCCH 15 3 SC 876/2020

2. The factual matrix of plaint in nutshell is as under:­ The Central Government of India vide its Extraordinary Gazette Notification dated 02.01.2019 formed and promulgated the Scheme called "the Amalgamation of Vijaya Bank and Dena Bank with Bank of Baroda Scheme, 2019." Hence, present Suit is instituted in the name of Bank of Baroda.

The Defendant has availed vehicle loan facility of Rs.1,25,000/­ by executing necessary documents on 22.06.2012 under loan account No.073354023987. The borrower agreed to repay the loan amount within 57 months, monthly installments of Rs.2,200/­ each along with interest @ 12.50% p.a. with monthly rests (starts after moratorium of 03 months). But, subsequently, the Defendant No.1 has failed to repay the said loan amount and became chronic defaulter. On repeated requests and demand made by the Plaintiff bank, the Defendant did not repay the dues. Therefore, the Plaintiff bank has constrained to file the Suit for recovery of SCCH 15 4 SC 876/2020 amount with interest from the date of suit till the date of realisation.

3. In pursuance of service of suit summons, the Defendant did not appear before the Court. Hence, he was placed exparte. Thereafter, on the death of Defendant, his LR i.e., his wife was brought on record as Defendant No.1(a). Accordingly, amendment was carried out and Amended Plaint was furnished.

4. Heard arguments. Perused the materials available on record.

5. Now the Point arises for the determination of this Court are as under :

1) Whether the Plaintiff bank proves that the Defendant has borrowed vehicle loan of Rs.1,25,000/­ from it and agreed to repay the same with interest at the rate of 12.50% p.a. with monthly rests?
SCCH 15 5 SC 876/2020
2) Whether the Plaintiff bank further proves that the Defendant has failed to repay the amount as agreed?
3) Whether the Plaintiff bank proves that it is entitled for an amount of Rs.1,49,229.95/­ with interest at the rate of 9.95% per annum from the Defendant?
4) Whether the Plaintiff bank is entitled for the relief as sought for?
5) What Order or Decree?

6. In order to substantiate the case of the Plaintiff bank, its Chief Manager by name Jyothi Saraswathi got examined herself as P.W.1 and got marked 7 documents as per Ex.P.1 to Ex.P.7 and closed her side evidence. Since the Defendants were placed exparte, there was no Defendants side evidence.

7. Having heard the arguments of the Learned Counsel for the Plaintiff and upon perusal of depositions and documents exhibited and materials available on record, my SCCH 15 6 SC 876/2020 findings to the above Points are as under :

Point No. 1 : In the Affirmative, Point No. 2 : In the Affirmative, Point No. 3 : In the Affirmative, Point No. 4 : In the Affirmative, Point No. 5 : As per the final order for the following, REASONS

8. Point No.1 to 4: ­ All these points are taken together for common discussion as they are inter linked with each other and to avoid the repetition of facts.

It is the case of the Plaintiff bank that, the Defendant No.1 availed vehicle Loan facility of Rs.1,25,000/­, by executing necessary documents on 22.06.2012 under loan A/c No.073354023987. The Defendant No.1 had agreed to repay the said amount with interest @ 12.50% p.a. and repayable in 57 EMIs of Rs.2,200/­ each and executed necessary documents in favour of the Plaintiff bank. But, subsequently, the Defendant No.1 has failed to repay the said SCCH 15 7 SC 876/2020 loan amount with interest and became chronic defaulter.

9. In order to substantiate the case of the Plaintiff bank, it has examined its Chief Manager by name D.Jyothi Saraswathi as P.W.1 and she got marked 7 documents as per Ex.P­1 to Ex.P­7.

10. P.W.1 has filed her chief affidavit in lieu of her chief examination and re­iterated the Plaint averments in her chief­ affidavit. Ex.P.1 is the Loan Application. Ex.P.2 is the Loan Sanction Letter. Ex.P.3 is the D.P.Note. Ex.P.4 is the Hypothication agreement. Ex­P5 is the Letter of General lien. Ex­P6 is the 'B' Register extract. Ex­P7 is the Statement of Account with Certificate.

11. Upon going through Ex.P1 i.e., Loan application, it shows that the Defendant had approached the Plaintiff bank for Vehicle Loan facility to the extent of Rs.1,25,000/­. Ex.P.2 i.e., Sanction letter, it shows that the Plaintiff bank has sanctioned Loan to the Defendant for a sum of Rs.1,25,000/­ and it also shows the agreed rate of interest shows at 12.50% p.a. and the terms of repayment of said loan at 57 EMIs for SCCH 15 8 SC 876/2020 Rs.2,200/­ per month. Ex.P.3 is the On Demand Promissory note executed by the Defendant Shantha Kumar. Ex.P.4 is the Hypothication agreement executed by the Defendant in favour of the Plaintiff bank by hypothicating the vehicle. Ex­ P5 is the General Lien. Ex­P6 is the B Register extract in respect of vehicle bearing Reg.No.KA­02­AC­5821 which stands in the name of deceased Defendant Shantha Kumar and Ex­P7 is the Statement of accounts with Certificate.

12. In order to rebut the evidence of PW.1, neither the Defendant appeared before the Court nor subjected PW.1 for cross­examination. The documentary evidence produced by the Plaintiff bank shows about the sanction of Loan for vehicle purchase and also Bank statement extract shows failure of the Defendant to repay the said amount.

13. It is pertinent to note here that, Ex.P­7 is the Statement of Account which carries presumption under Sec. 4 of the Banker's Book Evidence Act, 1891.

Sec. 4 of Banker's Book Evidence Act, 1891 reads as thus :

Mode of Proof of Entries under Banker's Book SCCH 15 9 SC 876/2020 " Subject to the provisions of this Act, the Certified copy of any entry in a Banker's Book shall in all legal proceedings be received as prima facie evidence of the existence of such entry, and shall be admitted as evidence of the matters, transactions and accounts therein recorded in every case where, and to the same extent as, the original entry itself is now by law admissible , but not further or otherwise".
In view of the presumption available under Section 4 of the Banker's Book Evidence Act, 1891, the entries in books of accounts produced by the bank carries presumption and testimony of P.W.1 corroborates with it and it is sufficient to prove loan transaction.
14. Therefore, the Plaintiff Bank has proved its case by adducing both oral as well as documentary evidence.

Accordingly, I answer Point No.1 to 4 in the "Affirmative."

15. Point No.5 : As per my detailed discussion as stated supra and in view of my answer to the Point No.1 to 4 "In the Affirmative", I proceed to pass the following:­ SCCH 15 10 SC 876/2020 ORDER The suit of the Plaintiff is hereby decreed with cost.

The Defendant No.1(a) is hereby directed to pay Rs.1,49,229.95/­ along with interest @ 9.95% p.a. from the date of suit till the date of realization.

Failing which, the Plaintiff is at liberty to recover the same through due process of law.

Draw decree accordingly.

(Dictated to the stenographer directly on computer, typed by her, corrected, signed and pronounced by me in the open Court on this the 13th day of April, 2023) (Smt. Kumari Sujatha.) XIII Addl. Small Causes Judge & ACMM, Court of Small causes, Member, MACT-15, Bengaluru.

SCCH 15 11 SC 876/2020

ANNEXURE

1. Witnesses examined for the Plaintiff:

P.W.1 : D. Jyothi Saraswathi

2. Documents marked for the Plaintiff:

     Ex.P.1     :   Loan application
     Ex.P.2         Loan sanction letter
     Ex.P.3     :   DP note
     Ex.P.4     :   Hypothication agreement
     Ex.P.5     :   Letter of general lien
     Ex.P.6     :   B Register extract
     Ex.P.7     :   Statement of account extract with
                    certificate

3. Witnesses examined for the Defendant: Nil

4. Documents marked for the Defendants: NIL (Smt. Kumari Sujatha.) XIII Addl. Small Causes Judge & ACMM, Court of Small causes, Member, MACT-15, Bengaluru.