Final Order 2

Order Details: Ex-parte Judgement
Pdf Text: CS No.100455 / 2020
Canara Bank – Anil
Judgment (Exh.21) 1 of 5
MHCC010115482019 Suit Filed on : 11.11.2019
Evidence over : 05.04.2024
Arguments Heard : 05.04.2024
Decided on : 05.04.2024
Duration : 04 Y, 04 M, 25 Days
City Civil & Sessions Court, Mazgaon, Greater Mumbai
Court Room No. 31 – Commercial Court,
(Additional District Judge : Vijay S. Hingne, LL. M.)
Commercial Suit No. 100455 / 2020 Exhibit No. 21
Plaintiff : Canara Bank (Syndicate Bank)
Head Office : Bengluru, Karnataka State.
Branch Office : Colaba Branch, Mumbai 400 005.
Through Branch Manager – Nanasaheb Kadam.
VERSUS
Defendant : Anil Shivaji Jadhav
Prop. : M/s. Shree Siddhivinayak Travels
278, Ground Floor, Darya Nagar,
Near Amar Swastik Mandal, Lal Nigam Road,
Colaba, Mumbai 400 005.
Appearances
Plaintiff
: Adv. Shri S. R. Kadam
Defendant
: Ex-parte
Suit for Recovery of . 4,82,165.54/-
₹
************************************************************************
J U D G M E N T
(Delivered on this 5th Day of April, 2024)
Suit is preferred for recovery of . 4,82,165.54
₹
/- with
interest @ 11.50 % per annum.
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CS No.100455 / 2020
Canara Bank – Anil
Judgment (Exh.21) 2 of 5
Case of Plaintiff :
2) Canara Bank, Mumbai, Maharashtra, (hereinafter,
plaintiff) is banking institution.
On 10.03.2015, defendant Anil Shivaji Jadhav
(hereinafter,
defendant) applied for loan for purchase of
Mahindra XYLO Car for his travel business.
On 31.03.2015, plaintiff sanctioned MSME Loan of
.7,40,000/- with interest	₹ @ 11.50%, which was directly credited
in the account of vendor i.e. M/s. NBS International Ltd.
Accordingly, defendant purchased Car bearing
Registration No. MH-01-BT-4595 (hereinafter,
Car).
Defendant agreed to repay loan by Equated Monthly
Installment of . 12,963.53/-.	₹
However, defendant paid last installment on 29.04.2017.
Thereafter, he defaulted. Therefore, said loan account was treated
as NPA on 31.05.2017. As on 20.11.2017, there was outstanding
balance of .6,67,377.74/-. Hence, plaintiff seized the Car and	₹
sold it in auction for .3,05,000/-. Said amount was adjusted	₹
against outstanding of car loan account, which thereafter became
. 4,19,312.41/-	₹
3) Plaintiff issued Legal Notice on 13.02.2019, asking
defendant to pay outstanding .4,19,312.41/-. It was served on	₹
defendant on 13.02.2019, but defendant failed to pay the amount.
Hence, plaintiff filed present Commercial Suit No. 100455 / 2020
for recovery of . 4,82,165.54/- with interest @ 11.50 % per	₹
annum compounded with quarterly rests.
Defendant :
4) Despite service of summons, defendant failed to appear
in the Suit. Hence, vide Order Dt. 10.10.2023, the Suit was
ordered to proceed ex-parte.
Evidence of Plaintiff :
5) Plaintiff adduced oral and documentary evidence as :
PW1, Exh.3 : Evidence of Branch Manager of plaintiff -
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CS No.100455 / 2020
Canara Bank – Anil
Judgment (Exh.21) 3 of 5
Shivanand Patil
Exh.5 : Application for credit facilities, Dt. 10.03.2015
Exh.6 : Sanction Letter, Dt. 31.03.2015.
Exh.7 : Receipt of NBS International, Dt. 31.03.2015.
Exh.8 : Receipt of NBS International, Dt. 26.03.2015.
Exh.9 : Receipt of NBS International, Dt. 25.03.2015.
Exh.10 : Receipt of NBS International, Dt. 31.03.2015.
Exh.11 : Copy of Demand Draft & Letter, Dt. 25.02.2015.
Exh.12 : Confirmation of delivery of Machinery / Vehicles.
Exh.13 : Hypothecation Agreement,
Exh.14 : Statutory Notice Dt. 13.02.2019.
Exh.15 : Statement of Account.
Exh.16 : Particulars of claim.
Exh.17 : Statement of Truth.
Exh.18 : Copy of Power of Attorney.
Exh.19 : Non-starter report, Dt.22.03.2019.
Exh.20 : Evidence closure pursis filed by plaintiff.
Points for determination :
6) Heard Adv. Shri S. R. Kadam for plaintiff. Perused
Record. Points for determination, findings and reasons are as
follows :
Points
Findings
1. Is plaintiff entitled for recovery
as prayed?................................ Partly in Affirmative
2. What Order?............................ As Final Order.
R E A S O N S
Reasons as to Point No. 1 & No. 2 :
7) Plaintiff examined its Branch Manager Shivanand Patil
(PW1, Exh.3). He deposed in accordance with Plaint and claimed
that, defendant executed documents at Exh.5 to Exh. 13, availed
the loan facility and then deliberately avoided repayment.
8) Despite service of Summons, defendant did not
appeared in the Suit to state that, Suit is false or that he has made
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CS No.100455 / 2020
Canara Bank – Anil
Judgment (Exh.21) 4 of 5
repayment or that for some legal reasons, he is not liable to pay.
9) Documents filed by bank are in original. There is
nothing suspicious in those unchallenged documents. Hence, they
can be relied upon. They prove transaction as alleged by plaintiff.
Thereby, plaintiff is entitled for recovery with interest.
Limitation :
10) As per plaintiff, loan was sanctioned on
31.03.2015.
Therefore, three years limitation for plaintiff to prefer
recovery Suit will conclude on,
30.03.2018.
However, Suit is filed on
11.11.2019.
Hence, aspect of limitation is taken for consideration.
11) Plaintiff stated that, it has seized the Car and sold it in
auction on
20.11.2017 for .	₹ 3,05,000/- and said amount was
adjusted in the loan account of defendant.
Said pleading is left unchallenged by defendant. Hence,
said pleading is relied upon.
Hence, period of limitation, for plaintiff, to file recovery
Suit, will commence from
20.11.2017 and will conclude on
19.11.2020.
Suit is filed on
11.11.2019.
Hence, Suit is filed within limitation.
12) Further, as per plaintiff, defendant paid last installment
on
29.04.2017 and thereafter defaulted the installment.
Said pleading of plaintiff is also not challenged by
defendant. Hence, it is relied upon.
Therefore, three years limitation will commence from
29.04.2017 and will conclude on
28.04.2020.
Suit is filed on
11.11.2019.
Hence, on this ground also, the Suit is within limitation.
Interest:
13) Plaintiff has claimed interest @ 11.50 % per annum.
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CS No.100455 / 2020
Canara Bank – Anil
Judgment (Exh.21) 5 of 5
Perusal shows that, in letter of Sanction Dt. 31.03.2015
at Exh. 6, parties have agreed rate of interest @ 11.50 % p. a. If
parties have agreed on particular rate of interest, then such rate of
interest can be awarded.
However, in the interest of justice, the rate of interest is
reduced to 9 %.
14) In view of unchallenged oral and documentary evidence
of the plaintiff, the Suit is entitled for Decree. Hence, the Points
are so answered and the Suit is partly allowed, as follows :
ORDER
1. Commercial Suit No. 100455 / 2020, Canara Bank Vs
Anil Shivaji Jadhav, is partly decreed, with
proportionate cost.
2. Defendant, within three months from date of this Order,
shall pay, . 4,19,312
₹
/- ( . Four Lakhs Nineteen
₹
Thousand Three Hundred and Twelve Only) to the
plaintiff, with interest @ 9 % per annum, from the date
of filing of the Suit, till its realization.
3. Court fee, if any, be refunded to the plaintiff as per rule.
4. Decree be drawn up accordingly.
5. Judgment pronounced in Open Court.
6. Parties be informed about their right to challenge this
Judgment and period of limitation for same.
7. After compliance and period of Appeal, Shirestedar and
AS to consign Record of the Suit, to Record Room.
Mumbai
Dated : 05.04.2023 (Vijay S. Hingne)
Additional District Judge,
Court Room No.31 - Commercial Court,
City Civil & Sessions Court,
Mazgaon, Greater Mumbai
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