Allowed

Canara Bank v. Sh. Kulbir Singh

DRT21 Apr 2025OA/171/2023

Case brief

AI extract

What is this about?

The Debt Recovery Tribunal allowed the Canara Bank's application for recovery of Rs.32.22 lakhs with interest against two defendants, one of whom was a guarantor. The bank was represented by affidavit evidence as defendants appeared ex parte. The court ordered joint and several liability and directed issuance of a recovery certificate.

What did the court decide?

Application allowed for recovery of Rs.32,22,863.06 with interest; joint and several liability imposed; recovery certificate issued.

Canara Bank versus Sh. Kulbir 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: 171 of 2023 Date of Institution: 23.11.2022 Date of Decision: 21.04.2025

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Canara Bank, having its branches all over India and a branch at Tibber, Village and Post Office Tibber, Tehsil and District Gurdaspur, Punjab.

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……..Applicant Vs.

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Sh. Kulbir Singh s/o Sh. Harbhajan Singh@Bhajan Singh, r/o Village Warsola, Post Office Chor Sidhwan, Tehsil and District Gurdaspur, Punjab.

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Sh. Ajay Shankar s/o Sh. Mool Raj, Village and Post Office Hardochanni, Tehsil and District Gurdaspur, Punjab.

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……….Defendants

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Advocates

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Sh. Randeep Singh, Counsel for the applicant bank. Defendants - ex parte .

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OA for the Recovery of Rs.32,22,863.06p with interest @9.90% per annum with half-yearly rests from 23.11.2022.

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ORDER

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Canara Bank (Bank) has filed this application under Section 19 of the Recovery of Debts and Bankruptcy Act, 1993 (RDB Act) for the recovery of Rs.32,22,863.06p with interest against Sh. Kulbir Singh and another (defendants).

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Bank’s case is that on 31.07.2018, it had granted a loan of Rs.20.00 Lacs to defendant No.1 in the form of K.C.C Limit for agricultural purpose. To secure the loan, Defendant No.1 had mortgaged his land (fully detailed in para No.3A of the application). Defendant No.2 stood as guarantor. The loan was chargeable to interest @9.90%

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per annum with half-yearly rests. On 31.10.2022, a sum of Rs.32,22,863.06p was due from the defendants. Despite repeated requests, defendants did not make the repayment. Hence, this application.

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On 07.02.2023, summonses were sent to the defendants by registered post, which were duly served. However, defendants did not put in appearance. Vide order dated 21.02.2024, they were proceeded ex parte .

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In order to prove its case, the Bank has placed on record the affidavit of Mr. Arun Kumar, Branch Manager along with the loan and security documents and marked them as Exhibit A-1 to A-14.

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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.20.00 Lacs and on 31.10.2022, a sum of Rs.32,22,863.06p was due.

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Accordingly, the application of the bank for the recovery of Rs.32,22,863.06p (Rupees Thirty Two Lacs Twenty Two Thousand Eight Hundred Sixty Three and Six Paise Only) with interest @9.90% per annum with half-yearly rests from 23.11.2022, till the date of payment is hereby allowed with costs. The liability of both the defendants would be joint and several. 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 defendants.

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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 26.05.2025 , who is directed to distribute the sale proceeds of the

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mortgaged property(ies) and standing crops as per the provisions of Section 19(20-AB) of the Act .

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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: 21.04.2025 Presiding Officer DRT-1, Chandigarh MANOJ KALRA

Canara Bank v. Sh. Kulbir Singh

Case brief

What is this about?

What did the court decide?

Canara Bank v. Sh. Kulbir Singh

Case brief

What is this about?

What did the court decide?

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