Allowed

Hdfc Bank Limited v. Late Sh. Tarlochan Singh through His Legal Heirs and Others

DRT18 Dec 2025OA/1027/2024

Case brief

AI extract

What is this about?

HDFC Bank Limited filed an application under the RDB Act to recover a dues from legal heirs and guarantors of a deceased borrower. The tribunal allowed the application ex-parte, ordering recovery of the principal amount along with modified interest.

What did the court decide?

Recovery of Rs. 28,42,044.00 jointly and severally with simple interest @8.00% p.a. and entitlement to enforce claim through sale of mortgaged or personal assets.

Hdfc Bank Limited versus Late Sh. Tarlochan Singh through His… — Banking and Recovery | DRT (2025)

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DEBTS RECOVERY TRIBUNAL-III, CHANDIGARH

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ORIGINAL APPLICATION NO.1027/2024

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PRESIDED OVER BY MRIDULESH KUMAR SINGH

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DATE OF INSTITUTION: 07.08.2024

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DATE OF DECISION: 18.12.2025

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HDFC Bank Limited, a banking company, carrying on the banking business under the Banking Regulation Act, 1949, incorporated under the Companies Act, 1956 and having its registered Office at HDFC Bank House, Senapati Bapat Marg, Lower Parel, Mumbai-400013, whereas its branch as “Fatehabad, District Tarn Taran Punjab” through Dinesh Kumar, Deputy Manager (Agri. Legal), H.D.F.C. Bank Ltd., Regional office, Mohali, District Mohali, Punjab being Authorized Officer/Power of Attorney holder of applicant.

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……..Applicant

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Versus

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Sh. Tarlochan Singh S/o Sh. Bahal Singh, since deceased through his Legal Heirs/legal representatives detailed as under:

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A. Smt. Dalbir Kaur W/o Sh. Tarlochan Singh, R/o Village Gagrewal, Tehsil Khadur Sahib, District Tarn Taran, Punjab143201.

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B. Sh. Harsimran Singh S/o Sh. Tarlochan Singh, R/o Village Gagrewal, Tehsil Khadur Sahib, District Tarn Taran, Punjab143201.

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C. Ms. Manjinder Kaur D/o Sh. Tarlochan Singh, R/o Village Gagrewal, Tehsil Khadur Sahib, District Tarn Taran, Punjab143201.

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Smt. Dalbir Kaur W/o Sh. Tarlochan Singh, R/o Village Gagrewal, Tehsil Khadur Sahib, District Tarn Taran, Punjab-143201.

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Sh. Jatinderbir Singh S/o Sh. Pargat Singh R/o Village Chamba Khurd, Tehsil Khadur Sahib, District Tarn Taran, Punjab-143201.

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….……Defendants

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Advocates:

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Argued by Sh. Saurabh Bhardwaj, Advocate for the applicant Defendants already ex parte

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OA NO. 1027/2024 HDFC BANK LIMITED VS. TARLOCHAN SINGH THROUGH HIS LEGAL HEIRS AND OTHERS

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FINAL ORDER

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Present Original Application was instituted by the applicant under Section 19 of the Recovery of Debts and Bankruptcy Act, 1993, against the defendants for recovery of Rs. 28,42,044.00 (Rupees Twenty Eight Lacs Forty Two Thousand and Forty Four only). The Original Application has been filed through Sh. Dinesh Kumar , Deputy Manager (Agri. Legal) of the applicant, who is competent to institute the Original Application vide Power of Attorney dated 17.01.2024, which is Annexure A1 to this OA.

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The brief facts of the OA are that the defendant no. 1(since deceased) and defendant No.2 approached the applicant for the grant of KCC Limit of Rs. 28.00 Lacs vide Loan Application Form dated 08.11.2021 which is Annexure A2 to this OA. Defendant no.3 stood as guarantor.

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The applicant sanctioned the KCC Limit of Rs. 24.50 Lacs vide Sanction Letter dated 23.11.2021 which is Annexure A3 to this OA and the terms and conditions were duly accepted by the defendants. 4. Defendant no. 1(since deceased) mortgaged his immovable properties i.e. Land measuring 80K-00M situated at Village Gagrewal & Chak Gagrewal, Tehsil Khadur Sahib, District Tarn Taran, Punjab vide declaration u/s 4(1) dated 13.12.2021, which is Annexure A5 to this OA.

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Documents executed:- Agreement for Overdraft/Cash Credit cum Guarantee cum Hypothecation dated 23.11.2021, which is Annexure A4 to this OA; Legal notice dated 10.07.2024 with postal receipts, which is Annexure A6 to this OA; Account statement with certificate which is Annexure A7 to this OA.

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The loan account became irregular and was classified as NPA and after adjusting debit and credit entries in loan account there was a debit of Rs. 28,42,044.00, which is recoverable and the defendants were served recall notices but they did not repay the outstanding amount, therefore, the applicant requested to accept the application and to issue Recovery Certificate accordingly.

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OA NO. 1027/2024 HDFC BANK LIMITED VS. TARLOCHAN SINGH THROUGH HIS LEGAL HEIRS AND OTHERS

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The defendants were served notices to appear before this Tribunal but no one appeared on behalf of defendants and defendant nos. 2 & 3 were proceeded ex-parte on 10.06.2025 and LRs of deceased defendant no. 1 were proceeded ex-parte on 08.08.2025. 7. In support of the OA, affidavit of Sh. Dinesh Kumar, Deputy Manager (Agri. Legal) , HDFC Bank Ltd h as been filed. 8. Heard ex-parte and perused record.

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It was argued by learned counsel that in view of the documentary evidence brought on record which had gone unrebutted, the applicant had proved its case. From the perusal of all the Annexures A1 to A7 to this OA, it is proved that the defendant no.1(since deceased) and defendant no.2 approached applicant for availing of the loan facility which was granted to them and for that they had executed all the relevant documents in favour of the applicant. Defendant no.3 stood as guarantor. They failed to pay back the loan as per terms and conditions of the agreement between the parties. Subsequently, account the defendants was classified as NPA. From the documentary evidence brought on record, it is proved that applicant is entitled to recover a sum of Rs. 28,42,044.00 (Rupees Twenty Eight Lacs Forty Two Thousand and Forty Four only) along with interest from the defendants, jointly and severally, from the date of filing of the present Original Application till realization of the account. 10. In so far as pendent elite and future rate of interest is concerned, the applicant in relief clause has claimed interest @10.00%p.a. with 2% penal interest and half yearly rests from 12.07.2024 till the realization.

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The Tribunal is of the considered opinion that sometimes in appropriate cases the prerogative of mercy is the brightest jewel in the crown of the Judge. Keeping in view the facts and circumstances of the instant case including nature of the mortgaged property/hypothecated assets, undertaking of the defendants, quantum of loan and prevalent market rates of interest which have gone drastically downhill in yester years, while exercising the discretion vested in this Tribunal, this Tribunal deems it just and appropriate to grant uniform simple interest

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OA NO. 1027/2024 HDFC BANK LIMITED VS. TARLOCHAN SINGH THROUGH HIS LEGAL HEIRS AND OTHERS

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@8.00%p.a. in the loan account from the date of filing of the OA till realization of the amount ordered vide this final order. It is ordered accordingly.

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In the result, the application is allowed declaring that the defendants are liable to pay to the applicant a total sum of Rs. 28,42,044.00 (Rupees Twenty Eight Lacs Forty Two Thousand and Forty Four only) jointly and severally, with costs, current and future simple interest @8.00%p.a. in the loan account from the date of filing of OA till the date of realization of the amount. Accordingly, the applicant shall be entitled to recover aforesaid amount from the sale of hypothecated/mortgaged properties of the defendants in execution proceedings if not sold earlier under the provisions of the SARFAESI Act, 2002. If the dues of the applicant still remain unsatisfied, it shall be entitled to recover the same by attachment and sale of personal assets of the defendants. The applicant is at liberty to enforce the claim through due process of law. 12. Any other application pending stands disposed of. 13. Issue Recovery Certificate accordingly. 14. Parties to appear before Learned Recovery Officer of this Tribunal on 06.01.2026. 15. Copy of this order be given dasti to the applicant and be sent to defendants through registered/speed post and this order be also uploaded on the official website of this Tribunal and record be consigned. Pronounced by me in the open Tribunal . Dated: 18.12.2025 (MRIDULESH KUMAR SINGH) Presiding Officer, DRT-III, Chandigarh

Hdfc Bank Limited v. Late Sh. Tarlochan Singh through His Legal Heirs and Others

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Hdfc Bank Limited v. Late Sh. Tarlochan Singh through His Legal Heirs and Others

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