Allowed

State Bank of India v. Digambar Manikrao Deshmukh

DRT12 Sept 2025OA/10/2022

Case brief

AI extract

What is this about?

Debts Recovery Tribunal allowed the bank's application for recovery of Rs. 50,59,939/- plus future interest on agricultural loans from guarantee-defendant respondents who failed to appear. The court fixed future interest at 9% p.a. and enforced the mortgaged property.

What did the court decide?

Defendants to pay Rs. 50,59,939/- plus future interest at 9% p.a. from filing date; mortgaged properties to be sold for recovery; Recovery Certificate to be issued.

State Bank of India versus Digambar Manikrao… — Contract and Commercial Disputes | DRT (2025)

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Presented on: 06.11.2020 Registered on: 07.01.2022 Decided on: 12.09.2025 Duration: Y M D 03 08 05

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IN THE DEBTS RECOVERY TRIBUNAL AT AURANGABAD (Before Shri Dr. J. R. Chauhan Presiding Officer) ORIGINAL APPLICATION No.10/2022

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TOTAL CLAIM AMOUNT – Rs. 50,59,939/-

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STATE BANK OF INDIA

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A body corporate constituted under the State

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Bank of India Act, 1955, having its local Head

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Office at Bandra Kurla Complex, Mumbai and

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one of its branch at APMC New Mondha, Nanded, District Nanded through one of its officer i.e. Manager, Shri. Ashok Kumar Gupta, Age: 51 Years, Occupation: Service as Chief

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… Applicant

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Manager, State Bank of India Branch at APMC

(OA No.10-2022)

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[Ambadas]

Nanded, District Nanded, and having

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Authority to file the application which includes the authority to sign and verify the

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application.

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Versus

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Digambar Manikrao Deshmukh,

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… Defendants

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Age: 52 Years, Occu.: Agril & Business,

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R/o: Pimpalgaon (Mahadev),

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Taluka Ardhapur, District Nanded,

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Pin-Code: 431704.

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Sadashiv Manikrao Deshmukh,

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Age: 52 Years, Occu: Agril & Business,

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R/o: Pimpalgaon (Mahadev),

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Taluka Ardhapur, District Nanded,

Pin-Code: 431704.

(OA No.10-2022)

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[Ambadas]

3. Ujwalla Digambar Deshmukh,

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Age: Major, Occu: Agril,

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R/o: Pimpalgaon (Mahadev),

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Taluka Ardhapur, District Nanded,

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Pin-Code: 431704.

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APPEARANCES For the Applicant Mr. Arun Rakh - Advocate For Defendants Ex-parte

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J U D G M E N T Delivered on (12.09.2025)

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The Applicant Bank has filed the present application for recovery of the sum of Rs. 50,59,939/- (Rs. Fifty Lacs, Fifty Nine Thousand, Nine Hundred and Thirty Nine Only) together with interest @12.15% p.a. with monthly rests upon Agricultural Term Loan facilities from 25.12.2019 till the full realization of the entire dues and costs from the Defendants.

(OA No.10-2022)

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[Ambadas]

Brief facts of the application are as under:

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That the Defendants approached the Applicant Bank and requested for the sanction of Agricultural Term Loan Facilities. Upon considering the Defendant’s representation, request, and financial needs, the Applicant Bank sanctioned the Agricultural finance i.e. Agricultural Term Loan of Rs. 05,00,000/- (for purchase of Drip irrigation and for agricultural purpose to its borrower) on 28.08.2010 and Kisan Credit Card Loan Facilities of Rs. 3,00,000/- (for agricultural purpose) on 18.06.2012 & Agricultural Term Loan Facilities of Rs. 20,00,000/- (for Polymer House) on 24.07.2013 & Kisan Credit Card Loan Facilities of Rs. 03,00,000/- (for Agricultural purpose) on 19.09.2015 on certain terms & conditions. The defendant Nos. 2 & 3 are the guarantors for the defendant No.1 and they also executed guarantee deed and registered mortgage deed in favour of the applicant bank.

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The agreed rate of interest for the Agricultural Term Loan Facilities was @12.15% p.a. and for Kisan Credit Card Loan Facilities @10% p.a. with yearly rests.

(OA No.10-2022)

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[Ambadas]

In order to secure the aforesaid Agricultural Term Loan facilities, the Defendants executed loan documents in favour of the applicant bank namely sanction letter, demand promissory note, request letter, hypothecation agreement, letter of undertaking, equitable mortgage etc.

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The applicant bank contended that to secure the Agricultural Term Loan facilities, the Defendants by way of guarantee deed and deed of declaration mortgaged the immovable properties which are mentioned as under :-

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(i) All the pieces and parcel of Agricultural Land from Gut No. 229, admeasuring 1 H 91 R, situated at Village Dabhad, Taluka

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Ardhapur, District Nanded and bounded as under:

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East :- Nanded Hingoli Road, West :- Land of Baburao Tanaji, South :- Canal. North :-

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(ii) All the pieces and parcel of Agricultural Land from Gut No. 35, admeasuring 0 H 94 R, situated at Village Dabhad, Taluka

(OA No.10-2022)

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[Ambadas]

Ardhapur, District Nanded and bounded as under:

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East :- Agricultural Land belong to Gurudwara, West :- Land of Sadhu Mahadu, South :- Land of Parvatibai Manikrao, North :- Land of Vijaya Sadashiv.

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The applicant Bank further contended that the Defendants failed to keep their promises and commitments agreed by them with regard to due repayment of the loan amount. The Defendants failed to operate the loan account properly and failed to pay the agreed rate of interest as per terms and conditions of the sanction letter. Thereafter the applicant bank repeatedly made demand of loan amount and called upon the Defendants to pay with the agreed rate of interest thereon, but the Defendants failed and neglected to pay the same. The loan accounts of the Defendants became irregular and classified as NPA on 30.09.2017, 31.05.2018, 31.07.2017, 30.06.2019 & 18.09.2018. Therefore on 20.01.2020, the applicant Bank issued legal notice to the Defendants through their Advocate. Despite service of Notice, the Defendants failed and neglected to repay the outstanding dues of

(OA No.10-2022)

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[Ambadas]

the applicant Bank. Hence, this application is filed.

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The Defendants failed to appear despite service, hence the Defendants are proceeded ex-parte vide Order dated 30.08.2023.

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The applicant Bank has filed Claim Affidavit of evidence at Exh.4 of Mr. Ashok Kumar Gupta, Chief Manager of the applicant bank and has produced on record the original loan transaction documents as per Evidence Affidavit for Marking Exhibit at Exh.10 as AW-1 to AW-28 and annexure A-I to A-V in list of documents Exh.5 which corroborates the case of the applicant Bank.

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I have heard arguments of the learned Advocate for the applicant Bank.

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Since the Defendants failed to appear and contest the application, I find no reason to disbelieve the unrebutted evidence of the applicant Bank. Therefore, the applicant Bank is entitled for the reliefs as claimed.

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The Applicant Bank has claimed future interest at @12.15% per annum with monthly rests on outstanding amount from

(OA No.10-2022)

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[Ambadas]

25.12.2019 till the full realization of the entire dues and costs from the Defendants. However, considering the facts of the case, I am of the opinion that awarding future interest at @9% per annum (simple), it would be just and reasonable.

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Hence, I pass the following order.

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ORDER

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(A) Original Application No.10/2022 is allowed with costs.

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(B) The Defendants shall pay jointly and severally to the Applicant Bank a sum of Rs. 50,59,939/- (Rs. Fifty Lakhs, Fifty Nine Thousand, Nine Hundred and Thirty Nine only), along with future interest at @9% per annum (simple) from the date of filing of the Original Application, i.e., 06.11.2020, till full payment/ realization of the said amount.

(OA No.10-2022)

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[Ambadas]

Bank vide registered mortgage deed Exh. AW-12 in list of document Exh.5. The mortgaged property is described as follows:

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All the pieces and parcel of Agricultural Land from Gut No. 229, admeasuring 1 H 91 R, situated at Village

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Dabhad, Taluka Ardhapur, District Nanded and

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bounded as under:

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East :- Nanded Hingoli Road, West :- Land of Baburao Tanaji, South :- Canal.

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All the pieces and parcel of Agricultural Land from Gut No. 35, admeasuring 0 H 94 R, situated at Village

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Dabhad, Taluka Ardhapur, District Nanded

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and bounded as under:

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East :- Agricultural Land belong to Gurudwara, West :- Land of Sadhu Mahadu, South :- Land of Parvatibai Manikrao, North :- Land of Vijaya Sadashiv.

(OA No.10-2022)

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[Ambadas]

(D) The applicant Bank is entitled to sell the mortgaged immovable properties and hypothecated articles/goods etc., to recover its dues.

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(E) Issue Recovery Certificate accordingly.

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(F) The Registrar is directed to send the copy of the Judgment and Recovery Certificate to the applicant and Defendants.

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(G) File be consigned to the record room.

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Sd/-

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(Dr. J. R. Chauhan) Place : Aurangabad Presiding Officer Date : 12.09.2025 Debts Recovery Tribunal, Aurangabad

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(OA No.10-2022)

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[Ambadas]

State Bank of India v. Digambar Manikrao Deshmukh

Case brief

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State Bank of India v. Digambar Manikrao Deshmukh

Case brief

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