The Debt Recovery Tribunal allowed an application for a Recovery Certificate against a borrower who failed to appear. The court reduced the interest rate from the agreed rate to 6% simple interest due to the agricultural nature of the loans.
Issuance of Recovery Certificate for Rs. 39,91,307/- plus interest at 6% p.a. (simple) from filing date till realization.
This page shows the compact analysis of this judgement. The full analysis — procedural history, issue-by-issue holdings with ratio and obiter, advocates, and paragraph-level evidence for every claim — is being added to the record in batches and will appear here when this judgement has been through it.
IN THE DEBTS RECOVERY TRIBUNAL II, BENGALURU
Dated this 31th Day of December, 2025
Present: Sri. T. RAJESH Presiding Officer OA.No.1130/2023
BETWEEN:
Canara Bank Holalur Branch Maltesh Nilaya “Honnali Road, Holalur, Shimoga District, Karnataka- 577216 …APPLICANT
AND:
Smt. Vrundamma W/o. A Basavarajappa Madikechiluru, Shimoga Taluk, Shimoga District Karnataka- 577201
...DEFENDANT
Counsel on record/appeared for:
Applicant : VS Associates Defendants : Exparte
FINAL ORDER
Rs.39,91,307/- (Rupees thirty nine lakh ninety one thousand
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three hundred and seven only) with further interest thereon from the date of filing the Application till realization from the Defendant.
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OA claim as against the defendant?
Both these issues are gone into and decided together.
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remains unrebutted as defendant remained exparte. The evidence tendered by the applicant remains uncontroverted and undisputed. The evidences put forth by the applicant were found admissible and are sufficient to prove availment of credit facilities as stated in the OA, creation of mortgage as claimed by the applicant bank and the defaults committed in the accounts. The liability of the defendants and the claim as the amount due is also proved by the above documents. The claim of the applicant is well within the limitation.
Tribunal find both these issues in favour of applicant and hence
this Tribunal is of the view that OA is to be allowed.
are availed by defendant for agricultural purpose and also that OA claim is arrived at by calculating interest at the agreed rate,
this Tribunal, in view of the OA can be allowed with a reduced interest @6% p.a.(Simple).
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i) The applicant is allowed to recovery an aggregate
sum of Rs.39,91,307/- (Rupees thirty nine lakh ninety one thousand three hundred and seven only) with further interest @6% p.a. (Simple),
from the date of filing OA till the realization, from the defendant personally after giving credit to all the amount recovered and received during the pendency of the OA and allowed the same to be recovered by proceedings against the schedule property. Properties schedule to the OA be the schedule to the recovery certificate.
(ii) If the sale proceeds are not sufficient, the defendant personally and his other assets are liable to be proceeded against for the balance amount.
iii) The applicant bank is allowed cost of the proceedings
which applicant to file cost memo within 7 days from the date of receipt of the order.
iv) The Recovery Certificate to be drawn in terms of this
order and transferred to Recovery for execution.
v) Interim application pending, if any, stands disposed of
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in terms of this final order.
14. Communicate a copy of the order to the parties concerned
in terms of Section 19(21)(i) of the RDB Act, read with Rule 16
of DRT (Procedure) Rules, 1993.
[Dictated to the Stenographer (JV), transcribed by him, corrected and signed and pronounced by me in the Open Court, this the 31th day of December, 2025].
Sd/ (T. RAJESH)
PRESIDING OFFICER
ANNEXURES
WITNESSES EXAMINED FOR THE APPLICANT BANK:
AW-1: Gairuboni Nagavamshee, Manager, of Applicant Bank.
Exhibits on the part of the Applicant:
| Exhibit Nos. |
Date | Particulars of Documents |
|---|---|---|
| A1 | 29.06.2012 07.01.2015 |
Application & Sanction letter |
| A2 | 14.01.2016 14.01.2016 |
Application and sanction letter |
| A3 | 08.03.2016 09.03.2016 |
Application and sanction letter |
| A4 | 29.06.2012 | Agreement and deed for kisan OD executed by defendant in favor of the applicant bank. |
| A5 | 07.01.2015 | Letter of renewal executed by defendant in favor of the applicant bank |
| A6 | 15.01.2015 | Supplementary agreement executed by defendant in favor of the applicant bank |
| A7 | 14.01.2016 | Agreement and deed of hypothecation for KCC executed by defendant in favor of the applicant bank |
| A8 | 09.03.2016 | Memorandum of agreement for agricultural loans executed by defendant in favor of the applicant bank |
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| A9 | 06.01.2015 07.11.2017 09.10.2020 11.10.2018 07.10.2021 07.02.2019 28.01.2022 |
Revival letter | |
|---|---|---|---|
| A10 | 06.01.2015 | Mortgage deed | |
| A11 | 12.04.2023 25.04.2023 |
Recall notice | |
| A12 | True extract of pertaining to the 0561897000402 |
statement of accounts defendant’s loan account |
|
| A13 | True extract of pertaining to the 0561840013637 |
statement of accounts defendant’s loan account |
|
| A14 | True extract of pertaining to the 0561883012046 |
statement of accounts defendant’s loan account |
Witness Examined for the Defendant: -Nil - List of Documents Exhibited for the Defendant: -Nil -
Sd/ (T. RAJESH) PRESIDING OFFICER
2 issues framed by the court
Whether the applicant succeeded in proving the claim as against the defendant?
What order are to be passed in the present Original Application?
1 provisions across 1 enactments
Canara Bank Holalur Branch
T. RAJESH
As recorded by the court registry
Judgements on the same questions, provisions and authorities, from every court
