Failure to Pay Pro-rata amount against each loan towards Federal Bank due to Negligence: DRAT Directs to pay Amount with interest

The DRAT has directed a defaulter to pay the pro-rata amount with interest to Federal Bank. The tribunal noted that the failure to pay the amount against each loan was due to "negligence." The tribunal's decision came after the defaulter failed to provide a valid reason for the non-payment, ruling that the bank had a legitimate claim. This ruling reinforces the legal obligation of borrowers to repay their dues and highlights the legal consequences of defaulting on loans. It provides a significant boost to the banking sector's efforts in debt recovery, ensuring that financial discipline is maintained.