A Debt Recovery Tribunal allowed an Original Application for issuance of a Recovery Certificate against a defendant who failed to appear in default of a term loan for agricultural machinery. The claim was discounted to 8% annual interest.
Issuance of Recovery Certificate for Rs.65,02,768 plus 8% p.a. interest; balance recoverable from personal assets.
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.
IN THE DEBTS RECOVERY TRIBUNAL II, KARNATAKA AT BENGALURU
Dated this 24th Day of April, 2025
Present: Sri. T. RAJESH Presiding Officer
OA.No.1614/2022
BETWEEN:
Canara Bank Having its head office at No.112, J.C. Road, Bangalore And branches amongst others, one at M/s. Canara Bank Janata Bazar building, Super Market Complex, Kalburgi – 585101 Rep. by Senior Manager Mr. Satwant Singh … APPLICANT
AND:
Smt. Subhadrabai W/o. Late Ramachandrappa Aged ab out 57 years R/o. Salegaon Village, Aland Taluk, Kalaburgi District-585302 ..DEFENDANT
Counsel on record/appeared for:
Applicant : Sri. Naveen Tao Defendant : Exparte
FINAL ORDER
under section 19 of Recovery of Debts and Bankruptcy Act 1993 for seeking issuance of Recovery Certificate against the defendant for Rs.65,02,768/- (Rupees Sixty Five Lakh Two Thousand Seven
2 OA/1614/2022
Hundred and Sixty Eight only) with further interest thereon from the date of filing the Application till realization.
3 OA/1614/2022
claim as against the defendant?
Both these issues are gone into and decided together.
4 OA/1614/2022
proved by the above documents. The claim of the applicant is well within the limitation.
issues raised in this manner, this Tribunal is of the view that OA is liable to be allowed.
was availed for agricultural purpose and also that the 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%p.a. (simple).
of Rs.65,02,768/- (Rupees Sixty Five Lakh Two Thousand Seven
Hundred and Sixty Eight only) with further interest of 8.00% p.a.(simple) from the date of filing OA till the realization, after giving credit to all the amount recovered and received during the pendency of the OA and allowed the same to be recovered by proceedings against schedule property. The schedule property to the OA be the schedule property to the Recovery Certificate.
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ii) If the sale proceeds are not found sufficient to cover
the amount due and payable to the applicant bank, the defendant
is personally and other his other assets are liable for all such
amounts due under the loan account.
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.
iv) The Recovery Certificate to be drawn in terms of this
order and transferred to Recovery for execution.
v) Interim Application pending, if any, stands disposed of
with this Final Order.
in terms of Section 19(21)(i) of the RDB Act, read with Rule 16 of DRT (Procedure) Rules, 1993.
[Dictated to the Stenographer (PR), transcribed by her, corrected and signed and pronounced by me in the Open Court, this the 24th Day of April 2025].
Sd/-
(T. RAJESH) PRESIDING OFFICER
ANNEXURES
WITNESSES EXAMINED FOR THE APPLICANT BANK:
AW-1: Smt. Harshitha B Poonja, Chief Manager of the applicant bank.
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Exhibits on the part of the Applicant:
| Annexure | Particulars |
|---|---|
| A1 | Applicant Evidence |
| A2 | List of Documents |
| A3 | Application form dated 14.07.2016 |
| A4 | Pronote dated 11.02.2015 |
| A5 | Loan agreement dated 11.02.2015 |
| A6 | Letter of repayment dated 11.02.2015 |
| A7 | Letter of Assets and Liabilities dated 15.07.2016 |
| A8 | Acknowledgment of liabilitydated 02.02.2018 |
| A9 | SupplementaryAgreement dated 18.01.2018 |
| A10 | Sanction letter dated 18.01.2018 |
| A11 | Certificate of loan obtained dated 11.02.2015 |
| A12 | Certificate of loan obtained dated 18.01.2018 |
| A13 | Statement of accounts |
| A14 | Letter from the bank dated 16.07.2019 |
| A15 | Legal notice dated 03.08.2019 |
| A16 | Banker’s Certificate |
Sd/-
(T. RAJESH) PRESIDING OFFICER
2 issues framed by the court
Whether the applicant succeeded in proving the Original Application as against the defendant?
What order are to be passed in the matter?
1 provisions across 1 enactments
Canara Bank
Smt. Subhadrabai W/o. Late Ramachandrappa
T. RAJESH
As recorded by the court registry
Judgements on the same questions, provisions and authorities, from every court
