Allowed

State Bank of India v. Munirathinam

DRT18 Sept 2025OA/216/2022

Case brief

AI extract

What is this about?

The Debt Recovery Tribunal allowed the bank's original application for recovery of an agricultural loan. The defendant failed to appear, and the court directed the recovery of Rs.21,25,285/- along with future interest and costs, permitting sale of mortgaged properties.

What did the court decide?

Recovery of Rs.21,25,285/- with future interest at 9.10% p.a., costs, and liberty to sell schedule immovable properties.

State Bank of India versus Munirathinam — Contract and Commercial Disputes | DRT (2025)

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O.A. No. 216 of 2022

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18.09.2025

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IN THE DEBTS RECOVERY TRIBUNAL-III, CHENNAI

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Dated this the 18^th day of September, 2025

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Present: SMT. S.V. GOWRAMMA Presiding Officer

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ORIGINAL APPLICATION No. 216 of 2022

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STATE BANK OF INDIA Tiruvallur ADB Branch No.173, J.N.Road Tiruvallur ADB Branch No.173, J.N.Road Tiruvallur – 602 001. …Applicant

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-Vs-

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N. Munirathinam S/o Natesan 908, Kanchipadi Village, Tiruttani – 631 204 Tiruvallur District …Defendant

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Counsels on record / appeared:

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Counsel for Applicant : M/s. D. Mukundan

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Defendant was set ex-parte on 07.10.2022

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: - FINAL ORDER - :

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This Original Application is filed on 07.06.2022 by the applicant bank under Section 19 of Recovery of Debts and Bankruptcy Act, 1993 (formerly Recovery of Debts Due to Banks and Financial Institutions Act, 1993) against the defendant and severally for recovery of a total sum of

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Rs.21,25,285/- (Rupees Twenty One Lakhs Twenty Five Thousand

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Two Hundred and Eighty Five only) due in respect of Agricultural

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O.A. No. 216 of 2022

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18.09.2025

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Loan (Account No.37620099954) repayable together with further interest @ 9.10% p.a., with half yearly rests from the date of Application till the date of realization in full, for sale of scheduled mentioned immovable properties and for costs of this OA.

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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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It is the case of the Applicant Bank that the defendant, who is an agriculturist has approached the ADB branch of the applicant at Tiruvallur and submitted application dated 20.03.2018 seeking for Agricultural Loan of Rs.18,52,000/- for laying pipeline, fencing and erection of borewell in the lands owned by him in Kanchipadi village of Tiruvallur Taluk. The application was supported with quotation obtained from the supplier.

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It is submitted by the applicant bank that considering the said request, a sum of Rs.18,52,000/- was sanctioned on 21.03.2018 by the applicant and the said loan was repayable in annual instalments together with interest @ 10.15% p.a., subject to variation from time to time as per RBI guidelines, with half yearly rests. The defendant availed the advance after executing loan agreement dated 21.03.2018 in favour of the applicant bank.

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O.A. No. 216 of 2022

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18.09.2025

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The applicant submits that the advance was secured by deposit of title deed with intent to create mortgage over the residential house property morefully described in the schedule to the OA in favour of the applicant branch. The mortgage was executed by N. Munirathinam in favour of the ADB Branch of the applicant bank at Tiruvallur vide dated 21.03.2018 registered as Doc.No.992/2018 in the office of SRO Tiruvallur.

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It is submitted that the defendant had deposited the Partition Deed dated 08.10.2020 registered as Doc.No.6834/2009 in the office of SRO Tiruvallur, with the applicant bank. The applicant had released the advance after the execution of loan, security documents, registration of security under MOD.

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The applicant submits that subsequent to availing of loan, the defendant had remitted a sum of Rs.17,000/on 16.08.2018, Rs.1,15,000/- on 28.12.2018, Rs.3,70,066.54 on 14/07/2020 and Rs.24,000/- on 31.03.2022 respectively. However, the repayments did not cover the accrued interest portion of the loan amount. Consequently, the loan account was classified as Non-Performing Asset (NPA) on 14.07.2020 with an outstanding amount of Rs.18,21,555.57p. The applicant further issued Legal Notice dated 07.05.2022 to the defendant for which there was no response. Hence the present Original Application (OA) has been filed by the applicant bank for recovery of its dues from the defendant.

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After the filing of the OA, summons were sent to the Defendant

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O.A. No. 216 of 2022

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18.09.2025

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through Registered Post with Acknowledgment Due, which was duly served. When OA was taken up on 07.10.2022 even after giving sufficient time, there was no appearance or representation from the defendant. Hence, the defendant were placed ex-parte on 07.10.2022.

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Heard the submissions of Applicant Bank and perused the

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records.

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To prove the case of the Applicant Bank, Sh. C. Stalin, 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-10 . 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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The OA is allowed with costs,

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(a) The applicant bank is allowed to recover from the Defendant a total sum of Rs.21,25,285/- (Rupees Twenty One Lakhs

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Twenty Five Thousand Two Hundred and Eighty Five only)

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O.A. No. 216 of 2022

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18.09.2025

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due in respect of Agricultural Loan (Account No.37620099954) repayable together with further interest @ 9.10% p.a., with half yearly rests from the date of Application till the 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 properties more fully detailed in the OA schedule.

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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 Defendants 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 Defendants 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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O.A. No. 216 of 2022

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18.09.2025

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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(Mogesh), transcribed by him, corrected, signed and pronounced by me on this the 18^th day of September, 2025)

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ANNEXURES

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WITNESSES EXAMINED FOR THE APPLICANT BANK :

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AW-1: Sh. C. Stalin, Manager, ADB Branch representing the Applicant Bank

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Exhibits on the part of the Applicant:

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Sl. No.	Description of Documents	Exhibit No.
1.	Loan application with residence proof dated 20.03.2018	A-1
2.	Quotation dated 01.04.2018	A-2
3.	Agreement of hypothecation dated 21.03.2018	A-3
4.	D.P.Note & Delivery Letter dated 21.03.2018	A-4
5.	Certified copy of Regd. Partition deed No.6834 of 2009 SRO Tiruthani dated 08.10.2009	A-5
6.	Exchange deed No.6459/2012 SRO Tiruthani dated 17.09.2012	A-6
7.	Letter confirming deposit of title deeds dated 22.03.2018	A-7
8.	Regd. MOD No.992/2018 SRO Tiruthani dated 21.03.2018	A-8
9.	Legal Notice with Acknowledgement of defendant dated 07.05.2018	A-9
10.	Statement of account with annexure	A-10

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O.A. No. 216 of 2022

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18.09.2025

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Witness Examined for the Defendants: -Nil-

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List of Documents Exhibited for the Defendants: -Nil –

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:-SCHEDULE-:

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All part and parcel of land measuring 25 cents and the residential building of 1144 sq.ft., together with ground floor AC sheet structure of 520 sq.ft., in all 1664 sq.ft. comprised in Old Sl.No.62/6B2 and New Sy. No.62/6B2B situated in Kanchipadi Village, Tiruttani Taluk, Tiruvallur and District bounded on the north by common portion owned by the defendant and his brothers measuring portions, on the south by property of Gopal Reddy and others, on the east by property of Balakrishnan and on the west by cart track (vandi Paattai) coming within sub registration district of Tiruttani and Registration District of Tiruvallur, formerly DRO Kancheepuram covered in partition deed No.6834/2009 dated 08.10.2009 SRO Tiruttani belonging to the defendant

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Agricultural lands in Kanchipadi village tiruthani Taluk Tiruvallur District in Sy.No.62/9 – 44 cents, Sy.No.62/12A – Acre 1 & 24 cents, Sy.No.64/3 – Acre 138 cents, Sy.No.64/1 35 cents and Sy.No.64/2-33 cents in all 3.74 acres as per exchange deed No.6459/2012 dated 17.09.2012

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

State Bank of India v. Munirathinam

Case brief

What is this about?

What did the court decide?

State Bank of India v. Munirathinam

Case brief

What is this about?

What did the court decide?

What the court decided

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