Allowed

Bank of India v. Sambhaji Patil

DRT13 Aug 2025OA/1059/2022

Case brief

AI extract

What is this about?

The Debts Recovery Tribunal allowed the Bank of India's application for recovery of Rs. 3.44 crore principal plus interest. The court reduced the claimed future interest rate to 9% simple interest and granted permission to sell mortgaged properties to recover dues.

What did the court decide?

Payment of Rs. 3.44 crore with 9% simple interest; permission to sell mortgaged property; issue of Recovery Certificate.

Bank of India versus Sambhaji Patil — Contract and Commercial Disputes | DRT (2025)

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Presented on .. 16.11.2019 Registered on .. 07.12.2022 Decided on .. 13.08.2025 Duration .. Y—M—D 05--08--27

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IN THE DEBTS RECOVERY TRIBUNAL AT PUNE (Before Shri Dilip G. Murumkar, Presiding Officer) ORIGINAL APPLICATION No. 1059/2022.

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Bank of India,

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A Banking company incorporated under the Banking Companies (Acquisition & Transfer of Undertakings) Act, 1970, having its head office at Bandra-Kurla Complex, Bandra, Mumbai – 400051 and branch at Post Shirgaon, Taluka Devgad, District Sindhudurg 416 812.

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… Applicant

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Versus

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1 Mr. Sambhaji Nivrutti Patil, Age 56 years, R/at : Post Mharul, Taluka Karveer, District Kolhapur 416 001.

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2 Mr. Sanjay Vishnu More, Age 54 years, R/at : H. No. 101, K. Building, Vishwakarma Complex, Devkar Panand Vasahat, Kolhapur 416 012.

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3 Mr. Krishna Balu Pawar, Age 92 years,

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Sanap ( OA No. 1059/2022 ) 1 of 6

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R/at : Satarde, Taluka Panhala, District Kolhapur 416 205.

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4 Mrs. Sunita Sarjerao Bhat, Age 51 years, R/at : H. No. 205, At Post Koge, Tal. Karveer, District Kolhapur 416 010. … Defendants

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:- Appearances

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For Applicant Adv Puranesh Muley i/b Adv Pawankumar Pathak For Defendants Ex parte.

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Total Claim Amount – Rs.3,44,59,772/-

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JUDGMENT

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(Delivered on 13^th August, 2025)

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The Applicant Bank has filed the present application for recovery of the sum of Rs.3,44,59,772/- together with future interest @11.30% per annum from the date of Application till realization of the entire dues from the defendants.

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Brief facts of the application are as under :-

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Defendant No.1 is an agriculturist and doing agricultural activities. As per the loan application dated 14.01.2010 of defendant No.1, the applicant Bank sanctioned the following loan facilities on 30.03.2010 to defendant No.1 for Mango plantation, minor irrigation and digging of well, constructing compound wall and labour quarters.

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	Name of facility	Amount Rs.
1	Term Loan I	1,20,20,000/-
2	Term Loan II	13,20,000/-
3	Term Loan III	13,90,000/-

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Defendant Nos.2 to 4 stood guarantors for the repayment of loan availed by defendant No.1.

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In order to secure the aforesaid loan facilities, the defendants have executed necessary loan and security documents in favour of the applicant Bank. Defendant No.1 has also offered his agricultural land as security and deposited all the title deeds in respect of all that piece and parcel of agricultural lands situated at village Ombal, Taluka Devgad, District Sindhudurg bearing S. No. 471, 485, 493, 508, 517, 518, 520, 521, 523, 530, 537, 550, 561, 724, 760, 764, 518, 537, 515 total area 16.93 Hectare (42.32 acre), in favour of the applicant Bank. The defendants have also executed Acknowledgment of Debt on 16.02.3013, 15.01.2016, 17.01.2017 and 10.09.2018 and thereby confirmed the balance outstanding in loan accounts.

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The applicant Bank contended that the defendants committed defaults in payment of installments and failed to regularize the accounts. Hence, on 30.04.2019, the applicant Bank has classified the account of the defendants as Non Performing Asset in accordance with guidelines of

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Reserve Bank of India. Therefore, on 31.08.2019, the applicant Bank issued legal Notice to the defendants. Despite service of Notice, the defendants failed and neglected to pay the outstanding dues of the applicant Bank. Hence, this application is filed.

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The defendants failed to appear despite service of summons. Hence, the application proceeded ex-parte against the defendants as per Order dated 05.05.2025 passed below Application (Exhibit-1).

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The applicant Bank has filed Claim Affidavit of evidence (Exhibit-6) of Shri Mukund Shripad Khandekar, Senior Manager and Power of Attorney Holder of the applicant Bank, and has produced on record the original loan transaction documents at Sr. Nos. AW1-1 to AW1-32 along with list (Exhibit 7), 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 evidence of the applicant Bank. Therefore, the applicant Bank is entitled for reliefs as claimed.

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The applicant Bank has claimed relief in respect of hypothecated assets. However, there is no detailed

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Sanap ( OA No. 1059/2022 ) 4 of 6

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description with respect to the hypothecated assets, therefore, the relief in terms of hypothecated assets cannot be granted.

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The applicant Bank has claimed future interest @11.30% per annum. However, considering the facts of the case, I am of the opinion that if future interest is granted @9% per annum (simple), it would be just and reasonable rate of interest.

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Hence, I pass the following order.

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O R D E R

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A} Original Application No. 1059/2022 is allowed with costs.

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B} Defendant Nos.1 to 4 either jointly or severally shall pay to the applicant Bank the sum of Rs.3,44,59,772/- (Rupees Three Crore Forty Four Lakhs Fifty Nine Thousand Seven Hundred Seventy Two only) along with future interest @9% per annum from the date of filing of the Original Application i.e. 16.11.2019 till full payment/realization of the amount mentioned in this operative order.

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C} The aforesaid adjudicated amount is secured by the mortgage in respect of all that piece and parcel of the constructed premises and land situated at village Ombal, Post Shirgaon, Taluka Devgad, District Sindhudurg bearing S. No. 258 and having Gat Nos.537, 518, 515, 537, 517, 520, 521, 485, 530, more particularly described in the

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Schedule of the Original Application.

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D} The applicant Bank is entitled to sell the mortgaged property to recover its dues.

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E} Issue Recovery Certificate.

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F} The Registrar is directed to send the copy of Judgment and Recovery Certificate to the applicant and defendants.

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Sd/( Dilip G. Murumkar ) Place : Pune Presiding Officer Date : 13.08.2025 Debts Recovery Tribunal, Pune.

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Bank of India v. Sambhaji Patil

Case brief

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Bank of India v. Sambhaji Patil

Case brief

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