The Tribunal allowed the applicant's claim for recovery of outstanding loan dues of Rs. 27,03,728.81p from mortgaged and hypothecated assets, declaring respondents jointly and severally liable.
Recovery Certificate issued; respondents declared liable to pay Rs. 27,03,728.81p jointly and severally with simple interest at 8% p.a.
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.
DEBTS RECOVERY TRIBUNAL-III, CHANDIGARH
ORIGINAL APPLICATION NO.1414/2025
PRESIDED OVER BY MRIDULESH KUMAR SINGH
DATE OF INSTITUTION: 19.09.2025
DATE OF DECISION: 20.11.2025
HDFC Bank Limited, having its Registered Office at: Senapati Bapat Marg, Lower Parel - (West), Mumbai-400013
Also at: - HDFC Bank House, Plot No. I-15, Sector 101 Alpha, IT City, Mohali
Also at: - HDFC Bank Branch, Tarn Taran - Railway Road, Nr. Bajwapress, Tarn Taran, Punjab through its Authorized Representative Sh. Dinesh Kumar.
……..Applicant
Versus
………Defendants
Advocates:
Present: Sh. Rahul Garg, Advocate proxy for Sh. Abhishek Garg, Advocate for Applicant
Defendants already ex parte
FINAL ORDER
2 OA NO.1414/2025 HDFC BANK LTD. VS SH. RANJODH SINGH AND OTHERS
Sh. Dinesh Kumar, Authorized Representative 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. 2. The brief facts of the OA are that the defendant nos.1 and 2 approached the applicant for grant of Agri. CC limit of Rs.16.00 Lacs, Agri. Term Loan of Rs. 2.90 Lacs and Agri. OD Limit of Rs.6.00 Lacs vide Application form dated 05.01.2021, which is Annexure A2 to this OA. Defendant nos. 3 to 5 stood as guarantors. Thereafter, the defendants approached the applicant for enhancement of the CC and OD Limit from total existing limit of Rs.19.00 Lacs to Rs.20.65 Lacs vide loan application dated 20.07.2022, which is Annexure A5 to this OA. 3. The applicant sanctioned Agri. CC limit of Rs.16.50 Lacs, Agri. Term Loan of Rs. 1.10 Lacs & Agri. OD Limit of Rs.2.50 Lacs vide sanction letters dated 22.01.2021, which are Annexures A3 (Colly) to this OA and the terms and conditions were duly accepted by the defendants. Thereafter, the CC Limit was enhanced by the applicant to Rs. 18.15 Lacs vide sanction letter dated 28.02.2022, which is Annexure A6 to this OA. 4. Defendant 2 had mortgaged his immovable property i.e. land measuring 54K-64M situate at Village Gagguboa, Hadbast No.194, Sub Tehsil Chabhal Kalan, District Tarn Taran, Punjab vide Declaration u/s 4(1) dated 04.02.2021, along with letter to Joint Sub Registrar for creation of charge, which is Annexure A8 (Colly) to this OA. Documents executed: - Agreements for Over Draft/ Cash Credit Cum guarantee cum hypothecation dated 05.02.2021 and dated 20.08.2022, which are Annexures A4 (Colly) and A7 (Colly) to this OA; Copy of Addendum cum undertaking dated 20.08.2022, which is Annexure A9 to this OA; Loan recall notice dated 22.03.2025 along with postal receipts, which is Annexure A10 (Colly) to this OA and Statements of accounts, which is Annexure A11(Colly) to this OA. 5. The loan accounts became irregular and were classified as NPA and after adjusting debit and credit entries in loan accounts there was a debit of Rs. 27,03,728.81p, which is recoverable and the defendants were served recall notice but defendants did not repay the outstanding
3 OA NO.1414/2025 HDFC BANK LTD. VS SH. RANJODH SINGH AND OTHERS
amount, therefore, the applicant requested to accept the application and to issue Recovery Certificate accordingly.
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
4 OA NO.1414/2025 HDFC BANK LTD. VS SH. RANJODH SINGH AND OTHERS
Tribunal deems it just and appropriate to grant uniform simple interest @08.00%p.a. in all the loan accounts from the date of filing of the OA till realization of the amount ordered vide this final order. It is ordered accordingly. 11. In the result, the application is allowed declaring that the defendants are liable to pay to the applicant a total sum of Rs. 27,03,728.81p (Rupees Twenty Seven Lacs Three Thousand Seven Hundred Twenty Eight & Paise Eighty One Only) jointly and severally, with costs, current and future simple interest @08.00%p.a. in all the loan accounts 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 mortgaged property/hypothecated assets 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 02.12.2025 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: 20.11.2025 (MRIDULESH KUMAR SINGH) Presiding Officer, DRT-III, Chandigarh
3 issues framed by the court
Whether debtor defendants are liable to repay outstanding loan amount with interest.
Whether recovery certificate should be issued in terms of claim.
Whether pendente lite interest rate should be modified to simple interest.
2 provisions across 2 enactments
HDFC Bank Limited
Sh. Ranjodh Singh
Sh. Jaswant Singh
Sh. Balwant Singh
Smt. Rajwinder Kaur
Sh. Joginder Singh
Mridulesh Kumar Singh
As recorded by the court registry
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