Allowed

State Bank of India v. M/S. Monika Agarbatti through Its Proprietor Ms.Monika Pravin Tayade

DRT14 Oct 2025OA/242/2023

Case brief

AI extract

What is this about?

The Tribunal allowed an original application filed by State Bank of India against two borrowers for recovery of outstanding term loan, cash credit, and working capital loan dues along with simple future interest. The court modified the claim to exclude penal interest and declared security interests on mortgaged property and hypothecated goods.

What did the court decide?

Decree for payment of Rs. 18,26,338/- (Term Loan), Rs. 2,91,437.32 (Cash Credit), and Rs. 4,06,992/- (WCTL) with simple future interest @9% p.a., declaring security over property and issuing recovery

State Bank of India versus M/S. Monika Agarbatti… — Contract and Commercial Disputes | DRT (2025)

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Page 1 of 5 O.A. No. 242/2023

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PRESENTED ON : 20.10.2022 REGISTERED ON : 24.04.2023

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Exh. No. 18

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BEFORE THE PO, DEBTS RECOVERY TRIBUNAL, NAGPUR

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Delivered by Pankaj Kumar

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O.A. No. 242/2023

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State Bank of India : Applicant A bank constituted under the State Bank of India Act, 1955, having one of its branch Akola Main Branch, Jawaharlal Nehru Marg, Near Tower Chowk, Akola – 444001 IFS Code : SBIN0000306 email : [email protected] acting through its Deputy Manager i.e. Nikunj Kumar Mobile No. 9953437947 having authority to file the Original Application which includes the authority to verify & sign the Original Application.

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Versus

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1. M/s. Monika Agarbatti

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: Defendants

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Through its proprietor Ms. Monika Pravin Tayade, Aged about 33 Years, Occupation : Business, R/o. Plot No. 15, Gat No. 158, Washimba, Tah. and Dist. Akola – 444001 PAN : BLDPT5756M Also at : Borgaon, Dist. Akola - 444102

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2. Ms. Monika Pravin Tayade

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Aged about : 33 Years, Occupation : Business,

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Page 2 of 5 O.A. No. 242/2023

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R/o. Plot No. 15, Gat No. 158, Washimba, Tah. and Dist. Akola – 444001 PAN : BLDPT5756M Also at : Borgaon, Dist. Akola - 444102

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Learned Counsel for Applicant	Adv. S. N. Kumar
Defendants Set Exparte On	21.02.2024

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JUDGMENT (Delivered on 14^th Day of October, 2025)

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This is an application filed by the applicant U/s 19 of RDB Act, 1993 against defendants for recovery of aggregate amount of Rs. 25,24,844/- with costs and future interest with monthly rests from the date of filing of O.A. till its realization as under :

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A. An amount of Rs. 18,26,338/- outstanding in Term Loan Account No. 38353298275 with costs and future interest @11.55% p.a. with monthly rests from the date of filing of O.A. till the date of realization .

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B. An amount of Rs. 2,91,514/- outstanding in Cash Credit Loan Account No. 39135894597 with costs and future interest @11.80% p.a. with monthly rests from the date of filing of O.A. till the date of realization.

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C. An amount of Rs. 4,06,992/- outstanding in WCTL (GECL) Loan Account No. 39867845207 with costs and future interest @9.25% p.a.

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Page 3 of 5 O.A. No. 242/2023

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with monthly rests from the date of filing of O.A. till the date of realization.

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Though, defendant nos. 1 & 2 were duly served with the suit summons vide Exh. 14 & 15, they failed to cause appearance before this Tribunal to defend their case despite granting several adjournments. Hence, the proceeding against defendant nos. 1 & 2 was set exparte on 21.02.2024.

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The applicant has filed its Claim Affidavit (Exh. 16) alongwith List of Documents (Exh. 17), annexing therewith 11 documents. The original documents therein are marked as Exh. AW-1/1 to AW-1/10. The applicant has stated in the O.A. as well as in claim affidavit that penal interest of Rs. 76.68 has been applied in Cash Credit Loan Account, whereas no penal interest has been applied in Term Loan Account and WCTL (GECL) Loan Account.

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Heard Learned counsel for the applicant. During arguments, the Ld. Counsel for applicant has submitted that due to slip of pen, the correct boundary has not been mentioned in Exh. 1/5. The correct boundary has been mentioned in Exh. 1/7 as per Schedule of Property annexed with the O.A. at Schedule-I. As such, the boundary mentioned in Exh. 1/5 may be ignored.

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As stated supra, defendants remained exparte. Considering the submissions of the Ld. Counsel for applicant and the Evidence Affidavit coupled with the recitals in the documents viz. Exh. AW-1/1 to AW-1/10

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Page 4 of 5 O.A. No. 242/2023

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marked on behalf of the applicant, clinches the claim of the applicant against defendants. There is no reason to disbelieve the evidence adduced on behalf of applicant. Hence, defendants are liable to pay, jointly and severally, the claim of the applicant with costs and future interest. However, I am not inclined to allow penal interest of Rs. 76.68 applied in Cash Credit Loan Account.

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Hence, it is ordered as under:-

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ORDER

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A] O.A. No. 242/2023 is allowed to the extent as under with costs.

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B] Defendants to pay jointly and severally to the applicant bank an amount of Rs. 18,26,338/- (Rupees Eighteen Lakh Twenty Six Thousand Three Hundred Thirty Eight Only) outstanding in Term Loan Account No. 38353298275 with simple future interest @9% p.a. from the date of filing of O.A. till its realization.

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C] Defendants to pay jointly and severally to the applicant bank an amount of Rs. 2,91,437.32 (Rupees Two Lakh Ninety One Thousand Four Hundred Thirty Seven and Paise Thirty Two Only) outstanding in Cash Credit Loan Account No. 39135894597 with simple future interest @9% p.a. from the date of filing of O.A. till its realization.

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D] Defendants to pay jointly and severally to the applicant bank an amount of Rs. 4,06,992/- (Rupees Four Lakh Six Thousand Nine Hundred Ninety Two Only) outstanding in WCTL (GECL) Loan Account

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Page 5 of 5 O.A. No. 242/2023

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No. 39867845207 with simple future interest @9% p.a. from the date of filing of O.A. till its realization.

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E] It is declared that outstanding dues are secured by mortgaged immovable property of defendant no. 2 as described in SCHEDULE-I annexed to O.A. and as referred in Exh. AW-1/5 & AW-1/7.

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F] It is also declared that charge of outstanding dues is kept on hypothecated goods of defendant no. 1 as described in SCHEDULE – II annexed to O.A. and as referred in Exh. AW-1/2 & AW-1/4.

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G] Issue Recovery Certificate accordingly.

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H] The Registrar is directed to send the copy of Judgment and Recovery Certificate to the parties to this O.A at once.

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Nagpur

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Date: 14.10.2025

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(Pankaj Kumar) Presiding Officer Debts Recovery Tribunal Nagpur

State Bank of India v. M/S. Monika Agarbatti through Its Proprietor Ms.Monika Pravin Tayade

Case brief

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State Bank of India v. M/S. Monika Agarbatti through Its Proprietor Ms.Monika Pravin Tayade

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