Allowed

Punjab National Bank v. Malkit Singh

DRT13 Aug 2025OA/15/2022

Case brief

AI extract

What is this about?

The Debts Recovery Tribunal allowed an application under Section 19 of the RDB Act filed by Punjab National Bank for the recovery of a claimed loan amount along with interest. The court decreed the claim against the respondents and directed the issuance of a recovery certificate.

What did the court decide?

Recovery of Rs.21,86,025/- with interest at 8.85% per annum with yearly rests from 31.12.2021; issuance of Recovery Certificate.

Punjab National Bank versus Malkit 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: 15/2022 Date of Institution: 31.12.2021 Date of Decision: 13.08.2025

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Punjab National Bank having its branches all over India and a branch at Circle Sastra Centre, Jalandhar West, District Jalandhar, Punjab.

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……..Applicant

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Vs.

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Malkit Singh s/o Sh. Sunder Singh, r/o Village Khanke Fatehgarh, Tehsil & District Jalandhar, Punjab, through its LRs: -

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(i) Smt. Gurmez Kaur w/o Late Sh. Malkit Singh, r/o village Khanke Fatehgarh, Tehsil & District Jalandhar, Punjab.

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(ii) Sh. Satnam Singh s/o Late Sh. Malkit Singh, r/o village Khanke Fatehgarh, Tehsil & District Jalandhar, Punjab.

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Satnam Singh s/o Sh. Malkit Singh, r/o Village Khanke Fatehgarh, Tehsil & District Jalandhar, Punjab.

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……….Defendants

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Advocates

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Sh. Arvind Rajotia, Counsel for the applicant bank. Defendants - ex parte vide order dated 08.05.2024 .

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OA for the Recovery of Rs.21,86,025/- with interest @8.85% per annum with yearly rests from 31.12.2021.

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ORDER

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Punjab National Bank has filed this application under Section 19 of the Recovery of Debts and Bankruptcy Act, 1993 (RDB Act) for the recovery of Rs.21,86,025/- with interest against Sh. Malkit Singh and another (defendants).

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Bank’s case is that on 20.03.2013, it had granted a loan of Rs.10.00 Lacs to defendant Nos. 1 and 2 in the form of K.C.C Limit for agricultural purpose. The above mentioned K.C.C. limit was enhanced from Rs.10.00 Lacs to Rs.15.00 Lacs vide Sanction Letter dated 10.12.2014. To secure the loan, Defendant No.1 had mortgaged his land (fully detailed in para

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No.3A of the application). The loan was chargeable to interest @8.85% per annum with yearly rests. On 23.12.2021, a sum of Rs.21,86,025/- was due from the defendants. The defendants had duly acknowledged their liability towards the debt on 06.07.2016 & 03.07.2019. Despite repeated requests, defendants did not make the repayment. Hence, this application. 3. On 16.03.2022, summonses were sent to the defendants by registered post, which were duly served. However, defendants did not put in appearance. Vide order dated 08.05.2024, they were proceeded ex parte . 4. In order to prove its case, the Bank has placed on record the affidavit of Sh. Surender Kumar, Chief Manager along with the loan and security documents and marked them as Exhibit A-1 to A-17.

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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 of Rs.15.00 Lacs (enhanced from Rs.10.00 Lacs) and on 23.12.2021, a sum of Rs.21,86,025/- was due.

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Accordingly, the application of the bank for the recovery of Rs.21,86,025/- (Rupees Twenty One Lacs Eighty Six Thousand Twenty Five Only) with interest @8.85% per annum with yearly rests from 31.12.2021, till the date of payment is hereby allowed with costs. The legal heirs of defendant No.1 would be liable to pay the dues upto the extent of the property inherited by them from Sh. Malkit Singh (now deceased). Defendant No.2 would be liable for the whole decretal amount being the co-borrower. Bank can recover its dues by the sale of mortgaged land fully detailed in para No.3A of the application as well as from the personal movable and immovable property(ies) of the defendant No.2. 7. Pending IAs, if any, stand disposed of. 8. Recovery Certificate be issued accordingly.

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Parties are directed to appear before Recovery Officer on 23.09.2025, who is directed to distribute the sale proceeds of the mortgaged land and standing crops as per the provisions of Section 19(20AB) of the Act . 10. A Copy of this order along with Recovery Certificate be sent to the Recovery Officer as well as the parties. Pronounced in the open Court. (A S Narang) Dated: 13.08.2025 Presiding Officer DRT-1, Chandigarh MANOJ KALRA

Punjab National Bank v. Malkit Singh

Case brief

What is this about?

What did the court decide?

Punjab National Bank v. Malkit Singh

Case brief

What is this about?

What did the court decide?

What the court decided

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