Allowed

Canara Bank v. Anandhan

DRT21 Oct 2025OA/20/2022

Case brief

AI extract

What is this about?

The Tribunal allowed the applicant bank's original application for recovery of dues aggregating to Rs.39,60,977/- arising from three agricultural loans (Crop Loan KCC and Minor Irrigation Facility). The defendant was absent and the application was decided ex-parte based on the bank's affidavit evidence and documentary records.

What did the court decide?

Recovery of Rs.39,60,977/- with interest and costs; liberty to recover by sale of mortgaged property; issuance of Recovery Certificate.

Canara Bank versus Anandhan — Banking and Recovery | DRT (2025)

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O.A. No. 20 of 2022

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21.10.2025

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IN THE DEBTS RECOVERY TRIBUNAL-III, CHENNAI

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Dated this the 21^st day of October, 2025

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Present: SMT. S.V. GOWRAMMA Presiding Officer

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ORIGINAL APPLICATION No. 20 of 2022

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Canara Bank, Vengal Branch, No. 228, Eswaran Koil Street,

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Vengal – 601 103 ….Applicant

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-Vs-

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Sh. P. S. Anandhan, Son of Subba Naidu, Sainavaram Amur Post, Ponneri Taluk, Tiruvallur District – 601 103 ….Defendant

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Counsels on record / appeared:

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Counsel for Applicant : M/s. S. Parthasarathy

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Defendant was set ex-parte on 27.05.2022

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:- FINAL ORDER -:

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This Original Application is filed on 07.06.2021 by the applicant bank under Section 19 (1) of Recovery of Debts and Bankruptcy Act, 1993 (formerly Recovery of Debts Due to Banks and Financial Institutions Act, 1993) against the defendant for recovery of a total sum of Rs.39,60,977/- (Rupees Thirty Nine Lakhs Sixty Thousand Nine Hundred and Seventy Seven only) as follows:

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(i) A sum of Rs.1,62,205/- due in respect of Crop Loan KCC

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facility (A/c No.1475840003680) repayable together with further interest @ 9.00%, p.a. with quarterly rests from the date

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O.A. No. 20 of 2022

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21.10.2025

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of filing the OA, till date of realization in full;

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(ii) A sum of Rs.2,52,580/- due in respect of Crop Loan KCC

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Facility (A/c No.1475840003924) repayable together with further interest @ 9.00%, p.a. with quarterly rests from the date of filing the OA till date of realization in full;

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(iii) A sum of Rs.35,46,192/- due in respect of Minor Irrigation (Pipeline Loan) Facility (A/c

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No.1475881003925) repayable together with further interest @ 14.70%, p.a. with quarterly rests from the date of filing the OA till date of realization in full;

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for sale of mortgaged property more fully detailed in Schedule to the OA and for costs of this application.

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Brief Facts of the case:

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The Applicant submits that the application is filed within the period of limitation as prescribed under Section 24 of the Recovery of Debts and Bankruptcy Act, 1993, and the subject recovery claim falls within the jurisdiction of this Tribunal.

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Crop Loan under KCC of Rs.50,000/(Loan A/c No. 1475840003680):-

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It is the case of the applicant bank that the Defendant had approached the Applicant Bank for sanction of Crop Loan for the purpose of purchase of Crops. The Applicant Bank on the request of the Defendant had sanctioned Crop Loan for Rs.50,000/- on 23.07.2005 in Loan Account

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O.A. No. 20 of 2022

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21.10.2025

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No. 1475840003680 for the purpose of purchase of Crops at the rate of interest at 8.5% per annum with the terms of entire loan has to be repaid within 12 months.

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It is submitted by the applicant bank that the defendant offered his property as collateral security by way of Deposit of Title Deeds registered as Document No. 1357 of 2005, Dated 21.09.2005 with an intention to create mortgage against his agricultural land comprised in S.No.1/1A Hec.0.60.0, S.No.1/1B Hec.0.52.0, S.No.1/1E Hec.0.11.0, S.No.1/1F Hec.0.11.0, S.No.1/2A Hec.0.16.0, S.No.1/2B Hec.0.32.5, S.No.1/2C Hec.0.16.0, S.No.1/3 Hec.0.60.0, S.No.1/4 Hec.1.03.5, S.No.1/5 Hec.0.41.0, S.No.1/6 Hec.0.40.5, S.No.5/1 Hec.0.24.5, S.No.5/2 Hec.0.46.5, S.No.5/3 Hec.0.13.0, S.No.5/4 Hec.0.19.0, S.No.27/2 Hec.0.09.5, S.No.28/6 Hec.0.12.5, total land measuring an extent of Hec.5.68.5 or Acres 14.03 Cents situated at Sembedu Village, Uthukkottai Taluk, Thiruvallur District as given in the schedule of property hereunder.

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The applicant submits that the Defendant had executed the following documents in respect of Crop Loan of Rs.50,000/- sanctioned on 23.07.2005 in Loan Account No. 1475840003680:

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a) Agreement and Deed of Hypothecation for Kissan Credit Card (Crop Loan), dated 23.07.2005 executed by the Defendant in favour of the Applicant Bank.

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b) The Defendant has executed an Acknowledgement of Debt and Security on various dates admitting his liability as detailed below.

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O.A. No. 20 of 2022

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21.10.2025

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Date	Amount(in Rs.)
18.07.2008	52,901
15.07.2011	72,480
28.03.2012	80,209
28.02.2015	1,03,162
23.02.2017	1,26,730
31.10.2019	1,71,393

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It is submitted that the Defendant had defaulted in repayment in Crop Loan and the same was accumulated to a sum of Rs.1,62,205/- in Loan Account No.1475840003680 as on 07.05.2021 with the revised rate of interest at 9.0% per annum with agreed rate of interst.

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Crop Loan under KCC of Rs.75,000/for Loan A/c No. 1475840003924:-

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The applicant submits that the Defendant had again approached the applicant bank seeking financial assistance for agricultural purpose. Considering the said request, the applicant bank had sanctioned KCC Crop Loan of Rs.75,000/- sanctioned on 22.09.2005 in Loan Account No. 1475840003924.

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In order to secure the loan, the defendant had executed the following documents in respect of KCC Crop Loan of Rs.75,000/sanctioned on 22.09.2005 in Loan Account No. 1475840003924 with repayment terms of 12 monthly instalments with rate of interest at 8.5% per annum:

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a) Agreement and Deed of Hypothecation for Kissan Credit Card, dated 22.09.2005 executed by the Defendant in favour of the Applicant Bank.

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O.A. No. 20 of 2022

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21.10.2025

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b) The Defendant has executed an Acknowledgement of Debt and

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Security on various dates admitting his liability as detailed below.

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Date	Amount(in Rs.)
19.09.2008	77,855
17.09.2011	1,08,011
10.05.2014	1,45,821
20.07.2016	1,79,416
07.05.2017	2,42,786

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The Applicant Bank submits that the Defendant have defaulted in repayment in Crop Loan and the same was accumulated to a sum of Rs.2,52,580/- in Loan Account No.1475840003924 as on 07.05.2021 with the revised rate of interest at 9.0% per annum with agreed rate of interest.

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Minor Irrigation for Rs.6.00 Lakhs for Loan A/c No. 1475881003925:-

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It is further submitted that the Defendant had once again approached the applicant bank seeking financial assistance for agricultural purpose. Considering the said request, the applicant bank had sanctioned Minor Irrigation for Pipelines and Land Levelling for Rs.6,00,000/sanctioned on 22.09.2005 in Loan Account No.1475881003925 with repayment terms of 9 yearly instalments with the rate of interest at 10.75% per annum:

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a) Memorandum of Agreement for Agricultural loan, dated 22.09.2005 executed by the Defendant in favour of the Applicant Bank.

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b) The Defendant has executed an Acknowledgement of Debt and

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O.A. No. 20 of 2022

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21.10.2025

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Security on various dates admitting his liability as detailed below.

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Date	Amount(in Rs.)
18.09.2008	8,02,329
16.09.2010	10,32,981
15.09.2012	13,59,425
12.05.2015	13,27,335
10.08.2015	13,27,335
28.06.2017	18,12,627
11.11.2019	26,49,050

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The Applicant Bank submits that the Defendant have defaulted in repayment in Crop Loan and the same was accumulated to a sum of Rs. 35,46,192/- in Loan Account No.1475881003925 as on 31.03.2021 with the revised rate of interest at 14.70% per annum with agreed rate of interest.

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The Applicant Bank submits that subsequent to availing of loan, the Defendant had defaulted in repayment and the Defendant had failed to respond to the reminders, personal contacts and repeated demands made by the Applicant Bank. The Defendant is liable to pay 2% additional interest chargeable for default in making repayment till the date of realization along with the costs due to the Applicant Bank. The Applicant Bank had classified the Borrower’s loan account as Non-Performing Asset (NPA) on 30.06.2012 in accordance with RBI guidelines. The Applicant had sent the Legal Notice to the Defendant on 03.05.2021 to repay the outstanding amount despite which defendant did not come forward to repay the dues. Hence the present Original Application (OA) has been filed by the applicant bank for recovery of its dues from the defendants.

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O.A. No. 20 of 2022

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21.10.2025

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After the filing of the OA, summon was sent to sole defendant through Registered Post with Acknowledgment Due, which was duly served. When OA was taken up on 27.05.2022 even after giving sufficient time, there was no appearance or representation from the defendant. Hence, defendant was placed ex-parte on 27.05.2022.

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Heard the submissions of Applicant Bank and perused the records.

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To prove the case of the Applicant Bank, Sh. S.V. Mathivanan, Senior Manager of the Applicant Bank, has filed his Affidavit by way of evidence and same was considered as evidence of AW-1 and list of documents came to be marked as Ex. A-1 to A-30 . As the Defendant remained ex-parte, the OA claim remains unchallenged. There is no contra evidence available on record to repudiate the claim of the Applicant Bank.

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With regard to the amount advanced, the interest applied, the conduct and operations in the account and the default committed, this Tribunal comes to the conclusion that the applicant bank is entitled for a final order on the following terms:

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: O R D E R :

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16. The OA is allowed with costs,

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(a) The applicant bank is allowed to recover from the for recovery of

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a total sum of sum of Rs.39,60,977/- (Rupees Thirty Nine

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O.A. No. 20 of 2022

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21.10.2025

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Lakhs Sixty Thousand Nine Hundred and Seventy Seven

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only) as follows:

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(i) A sum of Rs.1,62,205/- due in respect of Crop Loan KCC facility (A/c No.1475840003680) repayable together with further interest @ 9.00%, p.a. with quarterly rests from the date of filing the OA, till date of realization in full;

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(ii) A sum of Rs.2,52,580/- due in respect of Crop Loan KCC Facility (A/c No.1475840003924) repayable together with further interest @ 9.00%, p.a. with quarterly rests from the date of filing the OA till date of realization in full;

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(iii) A sum of Rs.35,46,192/- due in respect of Minor Irrigation (Pipeline Loan) Facility (A/c No.1475881003925) repayable together with further interest @ 14.70%, p.a. with quarterly rests from the date of filing the OA till date of realization in full along with costs of this application;

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(b) In the event of failure of the Defendant to pay the aforesaid amount, the bank is at liberty to recover the amount by sale of the schedule mentioned immovable property morefully detailed in the OA schedule.

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O.A. No. 20 of 2022

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21.10.2025

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(d) The applicant bank shall file the latest memo of calculation of OA amount together with interest, costs etc., to be paid by the Defendant duly considering the amounts, if any, paid by the Defendant and/or amount realized by sale of assets etc., during the intervening period after the filing of the OA, enabling the Registry to prepare Recovery Certificate for the amount to be paid by Defendant to the applicant bank.

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(e) The applicant bank shall file memo of costs within ten days from the date of receipt of this final order.

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(f) Recovery Certificate shall be drawn up and issued to the Recovery Officer in terms of the final order.

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A copy of this order be communicated to the parties concerned.

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Sd/(S.V. GOWRAMMA) PRESIDING OFFICER, DRT-III, CHENNAI

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(Dictated to Steno (Deepika), transcribed by her, corrected, signed and pronounced by me on this the 21^st day of October, 2025)

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ANNEXURES

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WITNESSES EXAMINED FOR THE APPLICANT BANK :

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AW-1: Sh. S.V. Mathivanan, Senior Manager representing the Applicant

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Bank

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O.A. No. 20 of 2022

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21.10.2025

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Exhibits on the part of the Applicant:

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Sl.	Description of Documents	Exhibit
No.		No.
1.	Application form dated 23.07.2005.	A-1
2.	Agreement and Deed of Hypothecation for Kissan Credit Card executed by the Defendant dated 23.07.2005.	A-2
3.	Acknowledgement of Debt Security dated 18.07.2008.	A-3
4.	Acknowledgement of Debt Security dated 15.07.2011.	A-4
5.	Acknowledgement of Debt Security dated 28.03.2012.	A-5
6.	Acknowledgement of Debt Security dated 28.02.2015.	A-6
7.	Acknowledgement of Debt Security dated 23.02.2017.	A-7
8.	Acknowledgement of Debt Security dated 31.10.2019.	A-8
9.	Application form dated 22.09.2005.	A-9
10.	Acknowledgement of Debt Security dated 22.09.2005.	A-10
11.	Acknowledgement of Debt Security dated 19.09.2008.	A-11
12.	Acknowledgement of Debt Security dated 17.09.2011.	A-12
13.	Acknowledgement of Debt Security dated 10.05.2014.	A-13
14.	Acknowledgement of Debt Security dated 20.07.2016.	A-14
15.	Acknowledgement of Debt Security dated 07.05.2019.	A-15
16.	Applicant form dated 22.09.2005	A-16
17.	Memorandum of Agreement for Agriculture Loan executed by the Defendant dated 22.09.2005.	A-17
18.	Acknowledgement of Debt Security dated 18.09.2008.	A-18
19.	Acknowledgement of Debt Security dated 16.09.2010.	A-19
20.	Acknowledgement of Debt Security dated 15.09.2012.	A-20
21.	Acknowledgement of Debt Security dated 12.05.2015.	A-21
22.	Acknowledgement of Debt Security dated 10.08.2015.	A-22
23.	Acknowledgement of Debt Security dated 28.06.2017.	A-23
24.	Acknowledgement of Debt Security dated 11.11.2019.	A-24
25.	Sale Deed in Doc.No.279 of 2005 in favour of Defendant dated 24.03.2005.	A-25
26.	Memorandum of Deposit of Title Deeds Doc.No.1357 of 2005 executed by 1^stdefendant dated 21.09.2005.	A-26
27.	Legal notice issued to the defendants dated 03.05.2021.	A-27
28.	Statement of Account for A/c No.1475840003680 along with Certificate under Banker’s Book Evidence Act dated 31.03.2021.	A-28
29.	Statement of Account for A/c No.1475840003924 along with Certificate under Banker’s Book Evidence Act dated 31.03.2021.	A-29
30.	Statement of Account for A/c No.1475881003925 along with Certificate under Banker’s Book Evidence Act dated 31.03.2021.	A-30

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O.A. No. 20 of 2022

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Witness Examined for the Defendant : -NilList of Documents Exhibited for the Defendant : -Nil –

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SCHEDULE OF IMMOVABLE PROPERTY

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Agricultural Land comprised in S.No.1/1A Hec.0.60.0, S.No.1/1B Hec.0.52.0, S.No.1/1E Hec.0.11.0, S.No.1/1F Hec.0.11.0, S.No.1/2A Hec.0.16.0, S.No.1/2B Hec.0.32.5, S.No.1/2C Hec.0.16.0, S.No.1/3 Hec.0.60.0, S.No.1/4 Hec.1.03.5, S.No.1/5 Hec.0.41.0, S.No.1/6 Hec.0.40.5, S.No.5/1 Hec.0.24.5, S.No.5/2 Hec.0.46.5, S.No.5/3 Hec.0.13.0, S.No.5/4 Hec.0.19.0, S.No.27/2 Hec.0.09.5, S.No.28/6 Hec.0.12.5.

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Total land measuring an extent of Hec.5.68.5 or Acres 14.03 Cents situated at Sembedu Village, Uthukkottai Taluk, Thiruvallur District within the Sub Registration District of Uthukkottai and Registration District of Chennai North.

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Sd/(S.V. GOWRAMMA) PRESIDING OFFICER, DRT-III, CHENNAI

Canara Bank v. Anandhan

Case brief

What is this about?

What did the court decide?

Canara Bank v. Anandhan

Case brief

What is this about?

What did the court decide?

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