Allowed

State Bank of India v. Sh Thana Singh

DRT23 Jan 2025OA/1188/2022

Case brief

AI extract

What is this about?

The Debts Recovery Tribunal allowed the bank's application to recover Rs.23,70,994.47 plus interest from the legal heirs of a deceased borrower. The court found evidence of non-repayment mandated the sale of mortgaged property, directing the recovery officer to distribute proceeds to the parties.

What did the court decide?

Recovery of Rs.23,70,994.47 with interest; direction to sale mortgaged property; issuance of Recovery Certificate; distribution of proceeds by Recovery Officer.

State Bank of India versus Sh Thana Singh — Contract and Commercial Disputes | DRT (2025)

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IN THE DEBTS RECOVERY TRIBUNAL-I, CHANDIGARH

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BEFORE: A S NARANG, PRESIDING OFFICER

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OA No: 1188 of 2022 Date of Institution: 02.06.2022 Date of Decision: 23.01.2025

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SBI, having its Branch Office at Gandhi Chowk, Abohar, District Fazilka, Punjab.

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……..Applicant

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Vs.

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Shri Thana Singh son of Shri Wariam Singh (borrower/mortgagor) since deceased by following legal heirs:-

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i. Smt. Harjinder Kaur; widow

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ii. Shri Maninder Singh; son

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iii. Ms.Mandeep Kaur; daughter

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All residents of House No. 133, Village Killianwali, Tehsil Abohar, District Fazilka, Punjab.

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……….Defendants

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Advocates:

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Ms.Sonal proxy for Sh.Pankaj Beri, Counsel for the applicant bank. Defendants ex parte .

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OA for the Recovery of Rs.23,70,994.47p with interest @ 11.45% per annum with half yearly rests from the date of filing.

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ORDER

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SBI (Bank) has filed this application under Section 19 of the Recovery of Debts and Bankruptcy Act, 1993 (RDB Act) for the recovery of Rs.23,70,994.347p with interest against Shri Thana Singh, through his LRs (defendants).

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Bank’s case is that on 07.07.2015, it had granted KCC Limit of Rs.10.50 lacs and KGC Limit of Rs.2.50 lacs to Shri Thana Singh (since deceased) (now represented through his LRs), for agricultural purpose. To secure the loan, Thana Singh (since deceased) had mortgaged his

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property (fully detailed in para No.3A of the application). The loan was chargeable to interest @ 11.45% per annum with half yearly rests. Defendants did not make the payment as per the repayment schedule. On 30.04.2022, a sum of Rs.23,70,994.47p was due from the defendants. Despite repeated requests, defendants did not make the repayment. Hence, this application.

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On 06.07.2022, summonses were sent to the defendants by registered post, which were duly served. However, defendants did not put in appearance. Vide order dated 14.02.2023, they were proceeded ex parte .

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In order to prove its case, the Bank has placed on record the affidavit of Mr. Manoj Kumar Singh, Chief Manager along with the loan and security documents and marked them as Exhibit A-1 to A-14.

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I have perused the evidence on the record. I am of the considered view that the Bank has proved its case that it had advanced the loan to the defendants and on 30.04.2022 a sum of Rs.23,70,994.47p was due.

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Accordingly, the application of the bank for the recovery of Rs.23,70,994.47p (Rupees Twenty Three Lacs Seventy Thousand Nine Hundred Ninety Four and Forty Seven Paisa Only) with interest @ 11.45% per annum with half yearly resets from the date of filing, till the date of payment is hereby allowed with costs. Bank can recover its dues by the sale of mortgaged property fully detailed in para No.3A of the application. The LRs of Thana Singh would be liable to the extent of property inherited by them from Shri Thana Singh (deceased).

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Pending IAs, if any, stand disposed of.

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Recovery Certificate be issued accordingly.

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Parties are directed to appear before Recovery Officer on 24.02.2025, who is directed to distribute the sale proceeds of the mortgage property and standing crops as per the provisions of Section 19(20-AB) of the Act . 10. A Copy of this order along with Recovery Certificate be sent to the Recovery Officer as well as the parties.

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Pronounced in the open court. (A S Narang) Presiding Officer DRT-1, Chandigarh Manoj Dated: 23.01.2025

State Bank of India v. Sh Thana Singh

Case brief

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State Bank of India v. Sh Thana Singh

Case brief

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