Allowed

Bank of India v. Sh. Rajesh Kumar Jain and Another

DRT28 Oct 2025OA/119/2025

Case brief

AI extract

What is this about?

The Debts Recovery Tribunal allowed an application for recovery of dues. The court granted the requested Relief Certificate, ordered payment of principal with uniform simple interest, and authorized recovery from mortgaged or personal assets.

What did the court decide?

Order of Recovery against defendants; Principal recovery of Rs. 78,26,913.00; Simple interest at 8% p.a.; Enforcement via sale of mortgaged or personal assets; Issue of Recovery Certificate.

Bank of India versus Sh. Rajesh Kumar Jain and Another — Banking and Recovery | DRT (2025)

¶1

DEBTS RECOVERY TRIBUNAL-III, CHANDIGARH

¶2

ORIGINAL APPLICATION NO.119/2025

¶3

PRESIDED OVER BY MRIDULESH KUMAR SINGH

¶4

DATE OF INSTITUTION: 24.01.2025

¶5

DATE OF DECISION: 28.10.2025

¶6

Bank of India, a body corporate constituted under the Banking Companies (Acquisition and Transfer of Undertakings) Act 1970 with its Head Office at Bank of India Star House, C-5, "G"-Block, Bandra Kurla Complex, Bandra (East), Mumbai and having branches all over India and one of its Branch Office situated at Raekot, District Ludhiana Punjab through its authority letter holder Sh. Vipul Goyal.

¶7

……..Applicant

¶8

Versus

¶9

Sh. Rajesh Kumar Jain S/o Sh. Bajrang Dass Jain R/o House No.2634-A, Mohalla Raike, Near Bhagwan Mahavir School, Raikot, District Ludhiana, Punjab-141109.

¶10

Smt. Sunita Jain, W/o Sh. Rajesh Jain, R/o House No.2634-A, Mohalla Raike, Near Bhagwan Mahavir School, Raikot, District Ludhiana, Punjab-141109.

¶11

….……Defendants

¶12

Advocates:

¶13

Argued by Sh. Rajan Puri, Advocate for the applicant (through VC) Defendants already ex parte

¶14

FINAL ORDER

¶15

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.78,26,913.00p (Rupees Seventy Eight Lacs Twenty Six Thousand Nine Hundred Thirteen only). The Original Application has been filed through Sh. Vipul Goyal, Manager o f the applicant, who is competent to institute the Original Application vide Authority Letter dated 21.06.2024, which is

¶16

Annexure A1 to this OA.

¶17

2 OA/119/2025

¶18

BANK OF INDIA VS SH.RAJESH KUMAR JAIN AND ANOTHER

¶19

The brief facts of the OA are that the defendant no. 1 had approached the applicant for the grant of Housing Loan of Rs.67.00 Lacs vide Loan application dated 26.02.2018, which is Annexure A2 to this OA. 3. The applicant sanctioned the Housing Loan of Rs.67.00 Lacs vide Sanction letter dated 14.03.2018, which is Annexure A3 to this OA and the terms and conditions were duly accepted by the defendants. 4. Defendant no. 1 had mortgaged his immovable property i.e. residential property bearing plot no. 66, measuring 200 sq. yards, situated at Village Lalton Kalan-1, Hadbast No.291, Tehsil and District Ludhiana, Punjab through equitable mortgage of Sale Deed bearing vasika no. 3492 dated 08.07.2016, which is Annexure A8 to this OA. Documents executed: - DP Note, Hosing loan agreement, Letter of Declaration, Undertaking, Authority, Agreement, all dated 18.04.2018, which are Annexures A4 to A7 to this OA; Revival letter dated 07.04.2021, which is Annexure A9 to this OA; Demand Notice dated 04.07.2024 u/s 13(2) of SARFAESI Act, which is Annexure A10 to this OA and statement of account, which is Annexure A11 to this OA. 5. 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.78,26,913.00p, 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.

¶20

The defendants were served notices to appear before this Tribunal but no one appeared on behalf of defendants and they were proceeded ex-parte on 21.10.2025.

¶21

In support of the OA, affidavit of Sh. Vipul Goya l, Chief Manager, Bank of India, h as been filed. 8. Heard ex-parte arguments and perused record. 9. It was argued by learned counsel through Video Conferencing that in view of the documentary evidence brought on record which had

¶22

3 OA/119/2025

¶23

BANK OF INDIA VS SH.RAJESH KUMAR JAIN AND ANOTHER

¶24

gone unrebutted, the applicant had proved its case. From the perusal of all the Annexures A1 to A11 to this OA, it is proved that the defendants 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. The defendants failed to pay back the loan as per terms and conditions of the agreement between the parties. Subsequently, account of 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.78,26,913.00p (Rupees Seventy Eight Lacs Twenty Six Thousand Nine Hundred Thirteen 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.

¶25

In so far as pendent elite and future rate of interest is concerned, the applicant in relief clause has claimed [email protected]%p.a. with 2% penal interest with monthly rests from 01.01.2025 till the realization.

¶26

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 @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.

¶27

In the result, the application is allowed declaring that the defendants are liable to pay to the applicant a total sum of Rs.78,26,913.00p (Rupees Seventy Eight Lacs Twenty Six Thousand Nine Hundred Thirteen only) jointly and severally, with costs, current

¶28

4 OA/119/2025 BANK OF INDIA VS SH.RAJESH KUMAR JAIN AND ANOTHER 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 mortgage property 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 07.11.2025. 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: 28.10.2025 (MRIDULESH KUMAR SINGH) Presiding Officer, DRT-III, Chandigarh

Bank of India v. Sh. Rajesh Kumar Jain and Another

Case brief

What is this about?

What did the court decide?

Bank of India v. Sh. Rajesh Kumar Jain and Another

Case brief

What is this about?

What did the court decide?

What the court decided

A compact analysis

Issues for consideration

Statutes considered

Parties & counsel

Coram

Case details

Similar cases

Bank of India versus M/S Radhika Enterprises and Another

Yes Bank Ltd. versus Sh. Sunil Kumar Yadav

Punjab National Bank versus Sh. Jatinder Gupta and Another

Punjab and Sind Bank versus Sh. Mohan Lal and Another

Punjab Gramin Bank versus Sh. Hardeep Singh

Punjab Gramin Bank versus Smt. Ramanjit Kaur and Another