Allowed

State Bank of India v. Meditree Health Care

DRT28 Nov 2025OA/1608/2024

Case brief

AI extract

What is this about?

In an exparte proceeding under the RDB Act, the Debt Recovery Tribunal allowed the bank's original application for a recovery certificate after finding the loan documents admissible and the claim within limitation, though it awarded reduced interest.

What did the court decide?

Recovery Certificate granted for Rs.26,87,229/- with 8% simple interest from filing date; liberty to pursue defendant's other assets.

State Bank of India versus Meditree Health Care — Contract and Commercial Disputes | DRT (2025)

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IN THE DEBTS RECOVERY TRIBUNAL II, KARNATAKA AT BENGALURU

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Dated this 28^th Day of November, 2025

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Present: Sri. T. RAJESH Presiding Officer

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OA. No.1608/2024

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BETWEEN:

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State Bank of India SRASECC, No.12, Sayyaji Rao Road, Bamboo Bazar, Myhsore-570023 … APPLICANT

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AND:

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Meditree Health Care #668K-29/A, 1^st Cross, Kashipathi Agrahara, K R Mohalla, Mysore – 570024 Rep. by its Proprietor Mr. Arjun

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Mr. Arjun S/o. Mr Krishna T N #566/B, 20^th Cross, 4^th Main, Vidyaranyapuram, Mysore-570008

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...DEFENDANTS

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Counsel on record/appeared for:

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Applicant : Mr. Nandish Patil Defendants : Exparte

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:FINAL ORDER:

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The present Original Application in short (OA) has been filed under section 19 of Recovery of Debts and Bankruptcy Act 1993 for seeking issuance of Recovery Certificate against the defendants for Rs.26,87,229/- (Rupees Twenty Six Lakh Eighty Seven Thousand

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Two Hundred and Twenty Nine only) with further interest thereon

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OA. No.1608/2024

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from the date of filing the Application till realization from the Defendants.

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It is the case of the applicant that, the defendants availed the

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cash credit facility and term loan facility a total sum of Rs.24,00,000/- on 18.05.2022.

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It is also the case of the applicant that, in view of the above financed credit facilities, the defendants executed necessary loan documents.

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It is further contended that, despite availing the credit facilities, agreeing to service the loan amount promptly and regularly, the defendants failed in complying the same, resulting in default in repayment and consequentially turning the loan account as NPA.

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In the above circumstances, the applicant approached this Tribunal by filing this OA seeking issuance of Recovery Certificate for the amount due in the account.

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Despite, service of summons on the defendants, they failed to appear, resulting the defendants being set exparte on 10.07.2025.

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The applicant had let in evidence through AW-1, who filed their Proof Affidavit reiterating the contentions taken in the OA and also produced Exhibits A1 to A6 and got the same marked in

OA. No.1608/2024

evidence.

Heard the Ld. Counsel for the Applicant and considered the contentions as taken in the OA in the light of documentary evidence and proof affidavit.

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The following issues arise for consideration in this matter:

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i) Whether the applicant had succeeded in proving the OA claim as against the defendants?

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ii) What order are to be passed?

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Both these issues are gone into and decided together.

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The case put forth by the applicant in the Application remains unrebutted as defendants 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, as to the execution of loan documents as claimed by the applicant bank and the defaults committed in the accounts. The liability of the defendant and the claim of the amount due are also proved by the above documents. The claim of the applicant is well within the limitation.

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Hence in view of the above finding which cover both the issues raised in this manner, this Tribunal is of the view that OA is to be allowed.

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OA. No.1608/2024

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Taking into consideration the facts that the credit facilities were availed for business 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 of 8.00% (simple).

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In the result, OA.No.1608/2024 stands allowed,

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i) The applicant is allowed to recovery an aggregate sum of Rs.26,87,229/- (Rupees Twenty Six Lakh Eighty Seven Thousand Two Hundred and Twenty Nine only) with further interest of 8.00% p.a.(simple) from the date of filing OA till the realization from defendants, after giving credit to all the amount recovered and received during the pendency of the OA.

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ii) In the event of failure of the defendants to pay the

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aforesaid amount, the bank is at liberty to proceed against the defendant personally and his other assets are liable for all such amounts due under the loan accounts.

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iii) The applicant bank is allowed cost of the proceeding which applicant to file cost memo within 7 days from the date of receipt of the order.

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iv) The Recovery Certificate to be drawn in terms of this

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order and transferred to Recovery for execution.

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v) Interim Application pending, if any, stands disposed of

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OA. No.1608/2024

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with this Final Order.

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Communicate a copy of the order to the parties concerned

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in terms of Section 19(21)(i) of the RDB Act, read with Rule 16 of

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DRT (Procedure) Rules, 1993.

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[Dictated to the Stenographer (PR), transcribed by her, corrected and signed and pronounced by me in the Open Court, this the 28^th Day of November 2025].

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Sd/(T. RAJESH) PRESIDING OFFICER

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ANNEXURES

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WITNESSES EXAMINED FOR THE APPLICANT BANK:

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AW-1: Mahesh Kumar C, Authorised Officer of the applicant bank.

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Exhibits on the part of the Applicant:

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Annexure	Particulars
A1	The loan application dated 27.04.2022
A2	The arrangement letter dated 18.05.2022
A3	The arraignment of loan cum hypothecation dated 18.05.2022
A4	The legal notice dated 04.12.2023
	The statement of accounts certified under
A5	Section 2A of the Amended Bankers Books Evidence Act,
A6	The Certificate under Section 2A(B) and 2A(C ) of the Bankers Books Evidence Act, 1891

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Sd/- (T. RAJESH) PRESIDING OFFICER

State Bank of India v. Meditree Health Care

Case brief

What is this about?

What did the court decide?

State Bank of India v. Meditree Health Care

Case brief

What is this about?

What did the court decide?

What the court decided

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Statutes considered

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