Allowed

Union Bank of India v. Nitin Shivaji Jadhav

DRT17 Jul 2025OA/166/2024

Case brief

AI extract

What is this about?

Debts Recovery Tribunal allowed an application filed by Union Bank of India for recovery of housing loan dues against defaulting borrowers. The court, hearing the case exparte, directed respondents to pay the principal sum with future interest of 8.85% p.a. simple and mortgaged the respondents' row house property to secure the amount.

What did the court decide?

Directing defendants to pay Rs. 26,83,086.92 with future interest at 8.85% p.a. simple; mortgaging specified row house property to secure amount and allowing sale of property.

Union Bank of India versus Nitin Shivaji Jadhav — Contract and Commercial Disputes | DRT (2025)

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Presented on: 03.10.2023 Registered on: 06.03.2024 Decided on: 17.07.2025 Duration: Y M D 01 09 14

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IN THE DEBTS RECOVERY TRIBUNAL AT AURANGABAD (Before Shri Dr. J. R. Chauhan Presiding officer)

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TOTAL CLAIM AMOUNT – Rs.26,83,086.92 PS.

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ORIGINAL APPLICATION No.166/2024

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Union Bank of India ,

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a body corporate constituted under the Banking

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Companies (Acquisition & Transfer of

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undertakings) Act, 1970 having it's Registered Office at 239, Vidhan Bhavan Marg, Nariman Point, Mumbai-400021 & having branches amongst the other places at Darga Road, Auranagbad through it’s Power of Attorney holder, Mr. … Applicant Avinash Anand s/o. Anil Kumar (Senior

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Manager), Age: 34 yrs., Occu: Service, R/o. Darga

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Road, Aurangabad 431001.

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[DAK] (OA No.166/2024) Page 1 of 8

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Versus

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1. Mr. Nitin Shivaji Jadhav Age: Major, Occu.: Business, R/o: Behind Old Police Station, Near Tara Paan Centre, Osmanpura, Aurangabad 431005 AND / OR Mr. Nitin Shivaji Jadhav Age: Major, Occu.: Business, R/o: Row House No. 2, Plot No. 53/P, Gut No. 181, Laxmi Colony, Satara Parisar, Beed Bypass Road, Aurangabad 431001 . 2. Sushilabai Shivaji Jadhav Age: Major, Occu.: Business, R/o: Behind Old Police Station, Near Tara Paan Centre, Osmanpura, Aurangabad 431005

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AND / OR

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Mr. Nitin Shivaji Jadhav Age: Major, Occu.: Business, R/o: Row House No. 2, Plot No. 53/P, Gut No. 181, Laxmi Colony, Satara Parisar, Beed Bypass Road, Aurangabad 431001

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Defendants

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[DAK] (OA No.166/2024) Page 2 of 8

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APPEARANCES

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For the Applicant Mr. K. D. Pande - Advocate For Defendants Exparte

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JUDGMENT (Delivered on 17^th July, 2025)

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The Applicant Bank has filed the present application for recovery of the sum of Rs. 26,83,086.92 PS (Rs. Twenty Six Lacs Eighty Three Thousand Eighty Six & Ninety Two Ps Only) together with interest 8.85% per annum with monthly rests upon Housing loan from 01.09.2023 till the full realization of the entire dues and costs from the defendants.

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Brief facts of the application are as under :

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That, the Defendant Nos. 1 & 2 had approached to the Applicant Bank and requested to sanction a Housing Loan facility. Upon considering the representations/requests and need of the defendants, the Applicant Bank sanctioned Housing Loan of Rs. 26,00,000/- vide sanction letter dated 15.12.2020 on certain terms & conditions. The agreed rate of

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[DAK] (OA No.166/2024) Page 3 of 8

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interest was @ 6.90 % per annum with monthly rests. The defendants also agreed to pay an additional interest by way of liquidated damages @ 2% p.a. in case of default in repayment.

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In order to secure the aforesaid loan facilities, the defendants executed loan documents in favour of the applicant bank namely sanction letter dated 15.12.2020, letter of continuity, demand promissory note for Rs.26 lacs, interest agreement, letter of undertaking, housing loan agreement and deposited original registered sale deed bearing daybook no.4602 dated17.12.2020, vide list of documents Exh.5.

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The applicant bank contended that to secure the Housing loan facility, the defendants have equitable mortgaged their immovable property by depositing registered sale deed bearing daybook no. 4602 dated 17.12.2020 in favour of the applicant bank in respect of following property.

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All that piece & parcel of Row House No.2 admeasuring 798.93 sq. ft. built up area admeasuring 750 sq. ft constructed on Plot No.53 out of gut No.181 situated at Laxmi Colony, Satara Parisar, Tq. & Dist. Aurangabad

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[DAK] (OA No.166/2024) Page 4 of 8

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which is bounded as under-

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East : Gut No. 180

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West : 7.50 mtrs. wide road

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South : Plot No. 54

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North : Row House No. 1

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The applicant bank contended that the defendants have failed to keep their promises and commitments agreed by them with regard to due repayment of the loan amount. The defendants failed to operate the loan account properly within a year and failed to pay the agreed rate of interest as per terms and conditions of the sanction letter. Thereafter, the applicant bank repeatedly made demand of loan amount and called upon the defendants to pay with the agreed rate of interest thereon, but the defendants failed and neglected to pay the same. The loan account of the defendants became irregular and classified as nonperforming asset on 15.06.2023. Therefore on 14.09.2023, the applicant Bank issued legal notice to the defendants through their Advocate. Despite service of Notice, the defendants failed and neglected to repay the outstanding

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[DAK] (OA No.166/2024) Page 5 of 8

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dues of the applicant Bank. Hence, this application is filed.

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The defendants failed to appear in the matter though they were duly served, hence the defendants proceeded exparte as per Order dated 28.03.2025.

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The applicant Bank has filed Claim Affidavit of Evidence (Exhibit-4) of Avinash Anand s/o. Anil Kumar, Senior Manager of the applicant Bank and has produced on record the original loan transaction documents as Exh. A-1 to A-17, along with list of documents Exh. 5 which corroborates the case of the applicant Bank.

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I have heard arguments of the learned Advocate for the applicant bank.

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Since the defendants failed to appear and contest the application, I find no reason to disbelieve the unrebutted evidence of the applicant bank. Therefore, the applicant Bank is entitled for reliefs as claimed.

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The applicant Bank has claimed future interest @ 8.85% per annum with monthly rests compoundable from 01.09.2023 till the full realization of the entire dues and costs from the

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[DAK] (OA No.166/2024) Page 6 of 8

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defendants. However, considering the facts and circumstances of the case, I am of the opinion that if future interest is granted @ 8.85% per annum (simple), it would be just and reasonable rate of interest.

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Hence, I pass the following order.

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ORDER

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(A) Original Application No.166/2024 is allowed with costs.

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(B) Defendants are ordered and directed to pay jointly and severally to the applicant the aggregate sum of Rs. 26,83,086.92 PS (Rs. Twenty Six Lacs Eighty Three Thousand Eighty Six & Ninety Two Ps Only) alongwith future interest @ 8.85% per annum (simple) from 03.10.2023 till full payment/realization of the amount.

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(C) The aforesaid adjudicated amount is secured by the mortgage of the following immovable propertiesAll that piece & parcel of Row House No.2 798.93 ft. built area admeasuring sq. up admeasuring 750 sq. ft constructed on Plot No.53

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[DAK] (OA No.166/2024) Page 7 of 8

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out of gut No.181 situated at Laxmi Colony, Satara Parisar, Tq. & Dist. Aurangabad which is bounded as under-

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East : Gut No. 180

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West : 7.50 mtrs. wide road

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South : Plot No. 54

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North : Row House No. 1

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(D) The applicant bank is entitled to sell the mortgaged immovable properties, to recover its dues.

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(E) Issue Recovery Certificate.

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(F) The Registrar is directed to send the copy of Judgment and Recovery Certificate to the applicant and defendants.

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(G) File be consigned to the record room after due compliance.

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Place : Aurangabad. Date : 17.07.2025.

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Sd/-

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(Dr. J. R. Chauhan) Presiding Officer Debts Recovery Tribunal, Aurangabad

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[DAK] (OA No.166/2024) Page 8 of 8

Union Bank of India v. Nitin Shivaji Jadhav

Case brief

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Union Bank of India v. Nitin Shivaji Jadhav

Case brief

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