Bangalore District Court
Canara Bank vs Smt Salma (Major) on 11 April, 2023
KABC010059672020
IN THE COURT OF THE III ADDL.CITY CIVIL & SESSIONS JUDGE,
BENGALURU CITY (CCH No.25).
Dated: This the 10th day of April, 2023.
Present: Smt. SUNITHA S.G. B.Sc.,LL.B.,
VII Addl. City Civil & Sessions
Judge, Bengaluru.
(C/c. III Addl. City Civil and
Sessions Judge, Bengaluru)
O.S.NO. 1578/2020
Plaintiff Canara Bank,
Peenya 3rd Stage, Bengalore,
Represented by its duly constituted
GPA Holder & Attorney
Sri Suresh Dhaudti (Major)
S/o Late Sri P S Dhaudti
By Sri.Rohit R Achar, Advocate.
V/s
Defendant Smt Salma (Major)
Aged about 38 years
W/o Sri Chowdappa
# 288/D, 9th Cross, Honi Road
Near Ganesh Temple
Abbigere, Chikkabanavara
Bengalore-560090
Defendant - ExParte.
Date of Institution 28-02-2020
Nature of Suit Money Suit
Date of commencement of 19-01-2023
2
O.S.No.1578/2020
Evidence
Date of pronouncement of 11-04-2023
Judgment
Total Duration Years Months Days
03 02 17
JUDGMENT
The Plaintiff has filed this Suit to pass Judgment and Decree against the Defendant directing her to pay a sum of Rs.2,43,415/- together with Court Cost and current and future interest at the rate of 9.66% p.a compounded monthly plus 2% penal interest per annum from the date of this suit till the date of realization of the suit claim and Grant such other reliefs in the interest of justice and equity.
2) The brief facts of the case Plaintiff has states that, the defendant had approached the plaintiff Bank Vide his Application dated 13.10.2015 for sanction of LHV SRTO Loan under the Pradhan Mantri Mudra Yojana Scheme for the purpose of purchasing Atul Gem Cargo XL pick up three wheeler valued at Rs.2,09,300/-. Accordingly, he had offered the Hypothecation of the Atul Gem Cargo XL pick up three wheeler vehicle to be purchased as security to the proposed loan and sought for Rs.1,75,000/- as Loan. The competent Authority processed the application of the defendant and communicated the Sanction terms and conditions which was acknowledged by him agreeing to the terms and 3 O.S.No.1578/2020 conditions of the sanction stipulated by the plaintiff Bank. As per the sanction terms and conditions, the defendant was sanctioned as amount of Rs.1,75,000/- (Rupees One Lakh Five Thousand Only) and the defaults had executed deed of Hypothecation Re:
Vehicles on 17.10.2015 for the purposes of availing the loan. The loan being under schematic lending, it did not attract/warrant any guarantor/joint borrower. The documents being executed in the presence of the branch Officials, letter Evidencing execution of documents too was obtained in confirmation on 17.10.2015. As per the sanction terms and conditions, the defendant was required to remit the EMI's and the entire loan was to be repaid in 36 EMI's of Rs.5,760/- each and the last installment of Rs.5,,814/-. The first such EMI was to commence from December 2015 on-wards. Accordingly, the defendant had executed necessary standing instructions in favour of the Bank in the prescribed format. Further, the defendants had agreed to remit necessary charges, levies, commission, incidental charges etc; and had also agreed to pay interest at the rate of 10.55% p.a compounded with monthly rests on the outstanding liability on the loan account. The defendants had also agreed to pay penal rate of interest @ 2% p.a in case of default in repayment of the EMIs.4
O.S.No.1578/2020 Further submitted that, the defendant had also agreed for the terms and conditions including any changes that may be effected by the plaintiff Bank from time to time. Hence, the defendant is due and liable to pay the present and future rate of interest @ 9.66% p.a compounded along with 2% rate of interest p.a compounded with monthly rests on the liability due to the plaintiff Bank. The defendants has neither repaid the EMI's/installments inspite of the repeated demands and personal contacts made by the plaintiff bank from time to time for recovery of the dues not called on the plaintiff Bank. Hence, the plaintiff bank had issued legal notice too on 06.01.2020 through its Counsel demanding payment/clearance of the entire liability due to the plaintiff bank. The defendant is due and liable to pay the following dues to the plaintiff Bank.
A) Amount due as per the certified extract of the loan 2,41,179.00 Account of the defendant on 17.01.2020 B) Differential/unapplied interest till date of this suit 2,236.00 Total 2,43,415.00 The defendant is thus due and payable an amount of Rs.2,43,415/- (Rupees Two Lakhs Forty Three Thousand Four Hundred Fifteen Only) to the plaintiff Bank. The plaintiff reserves its right to file a separate suit in respect of any other liability due under the said facility due and payable by the defendant which may be existing or which may 5 O.S.No.1578/2020 become and payable after filing of this suit. The cause of action for the suit has arisen at Bengaluru City on 13.10.2015 and 17.10.2015 when the defendant had approached the plaintiff Bank and availed of the loan and on 02.01.2016, 21.03.2016 and such other dates when the loan installments were remitted, when the loan account was fully overdrawn and when the defendant committed defaults in remitting the monthly installments. On 06.01.2020 when the legal notice was served on the defendants and other subsequent dates within the jurisdiction of this court.
3) Inspite of paper publication Defendant has remained absent. Hence the defendant was placed Ex-Parte.
4) The plaintiff-Bank examined its Manager as P.W.1 and got produced and marked 9 documents as Exs.P1 to Exs.P9 and closed its side evidence. As the Defendant was placed Ex-Parte, the Cross-Examination of PW.1 was taken as nil.
5) The Points that arise for consideration are as follows:
1. Whether the Plaintiff has proves that the Defendant is liable to pay Rs.2,43,415/-
with interest at the rate of 9.66% per annum compounded monthly plus 2% penal interest p.a with current and future interest as prayed ?
2. What Order or Decree?
6O.S.No.1578/2020
6) Heard Learned Advocate for Plaintiff.
7) The answers to the above Points are:
Point No.1 - Partly in the Affirmative; Point No.2 - As per Final Order, for the following:
REASONS
8) POINT NO.1: The Petitioner, in order to prove his case, stepped into the witness box and got examined as PW1 and he filed his Affidavit in lieu of oral evidence, wherein he reiterated the petition averments and in order to corroborate his testimony, got produced 9 documents as per Ex.P1 to Ex.P9.
Ex.P1, Authorization letter, Ex.P2, Loan application Form, Ex.P3, Sanction letter, Ex.P4, Deed of Hypothication, Ex.P5, Letter evidencing execution of documents, ExP6, Legal notice with postal receipts and acknowledgment, Ex.P7,Bank statement with certificate under bankers book evidence Act Ex.P8, Letter of Revival dated 15.07.2018, Ex.P.9, Paper publication.
9) Upon consideration of the facts and documents Ex.P2- Loan application Form, Ex.P3- Sanction letter, Ex.P4-Deed of Hypothication, Ex.P5- Letter evidencing execution of documents and Ex.P8- Letter of Revival dated 15.07.2018 evidences the loan given by the Plaintiff bank to the Defendant. Ex.P7- 7 O.S.No.1578/2020 Bank statement with certificate under bankers book evidence Act and ExP6-Legal notice with postal receipts and acknowledgment evidences the default by the Defendant. Suit is filed within time of 3 years in view of EXP8. The oral and documentary evidence of Plaintiff are fully corroborating with each other and have remained unchallenged & there is nothing to disbelieve the same. By taking facts & circumstances of the case concluded that Plaintiff is entitled for a sum of Rs.2,43,415/- together future interest at the rate of 9.66% p.a from the date of the suit till its realization in the interest of justice. Accordingly, Point No.1 is answered Partly in the Affirmative.
10) Point No. 2 : For the aforesaid reasons, this Court proceeds to pass the following:
ORDER The Suit of the Plaintiff is hereby partly decreed.
Defendant is directed to pay, to the plaintiff-Bank sum of Rs.2,43,415/- together with future interest at the rate of 9.66% p.a from the date of this suit till its realization.
No order as to cost.
(Dictated to the Stenographer, transcription computerized, then corrected and pronounced by me in Open Court on this the 11th day of April, 2023) (SUNITHA S.G.) III Addl. City Civil & Sessions Judge, Bengaluru 8 O.S.No.1578/2020 ANNEXURE List of witnesses examined for the plaintiff:
P.W.1 - Canara Bank List of documents exhibited for the plaintiff:
Ex.P1 -Authorization letter. Ex.P2 - Loan application From. Exs.P3- Sanction letter.
Ex.P4 - Deed of Hypothication. Ex.P5 - Letter evidencing execution of documents. Ex.P6- Legal notice with postal receipts and acknowledgment.
Ex.P7- Bank statement along with certificate under Bankers Books Evidence Act. Ex.P8- Letter of Revival dated 15.07.2018. Ex.P9 - Paper publication List of witnesses examined and documents exhibited for the Defendants:
- Nil --
(SUNITHA S.G) III Addl. City Civil & Sessions Judge, Bengaluru.
9 O.S.No.1578/2020