Allowed

State Bank of India v. Saravanan v

DRT31 Dec 2025OA/336/2022

Case brief

AI extract

What is this about?

In an ex parte proceeding under Section 19 RDB Act 1993, the Tribunal allowed the SBI application for a recovery certificate against four respondents for a housing loan default, reducing the interest rate to 8% simple.

What did the court decide?

Recovery certificate issued for Rs. 53,09,336 with 8% simple interest from the date of filing, recoverable jointly, severally, and personally from the defendants or by proceeding against their schedul

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

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IN THE DEBTS RECOVERY TRIBUNAL II, KARNATAKA AT BENGALURU

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Dated this 31^st Day of December, 2025

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Present: Sri. T. RAJESH Presiding Officer OA.No.336/2022

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BETWEEN:

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State Bank of India Having Its Corporate Center At: Madame Cama Road, Mumbai & Branches All Over India & Its Branch Office At: #12, 80 Feet Road, 1^st Block, Koramangala, Bangalore – 560 034

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Represented by its Chief Manager,

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Sri. Jagadish A Badiger …APPLICANT

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AND:

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Mr. Saravanan V S/o. Sri. R Venkateshan Aged about 39 years Residing at: #207 6^th Cross, Prakashnagar Bangalore – 560 021

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Office address Nuance transcription service India pvt. ltd Mantapa embassy Business Park, Block-N1, Dolla, 6^th Floor, Sy. No. 30/3, 32/1, 32/1, Bangalore – 560 045

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Dr. T V S R K V Prasad S/o. T Venkatramaiah Aged about 51 years

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OA-336/2022

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Residing at: Padmavathi Nagar, Piler, Chittoor District, Andhra Pradesh Represented By His GPA Holder M/S. ND Developers (P) Ltd.

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M/s. ND developers (P) ltd Having its place of business /office at: #398, 1^st floor, 7^th cross, MICO layout, BTM 2^nd stage, Bangalore – 560 076 Represented by its SPA holder, Mr. Manoj Kumar

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M/s. Suvastu Estates Private Limited Having its place of business/ office at: #49, AMR Plaza, 18^th main, 3^rd sector, HSR layout, Bangalore – 560 102 Represented by its Managing Director, Mr. Arjun Kumar ...DEFENDANTS

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Counsel on record/appeared for:

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Applicant : Guru Associates Defendants : Ex parte

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FINAL ORDER

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The present Original Application in short (OA) has been filed under section 19 of Recovery of Debts and Bankruptcy Act 1993 seeking for issuance of Recovery Certificate against the defendants for Rs. 53,09,336/- (Rupees Fifty Three Lakhs Nine Thousand Three Hundred and Thirty Six Only) with further interest thereon from the date of filing the Application till realization.

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OA-336/2022

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It is the case of the applicant that, the 1^st defendant is availed an Housing loan of Rs. 60,40,000/- (Rupees Sixty Lakhs Forty Thousand Only) for the purchase of apartment i.e., 3 BHK residential flat no. G-13.

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It is also the case of the applicant that, in view of the above availed loan, the defendants executed the necessary loan documents along with agreement to mortgage and tripartite agreement.

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It is further contended that, despite availing the credit facility, agreeing to service the loan amount promptly and regularly, the defendants failed in complying the same, resulting in default in repayment and consequentially turning the loan accounts as NPA.

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In the above circumstances, the applicant approached this Tribunal by filing this OA seeking issuance of Recovery Certificate for the amount due in the account.

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Despite, service of summons on the defendants, they failed to appear, resulting the defendants being set ex parte on 20.01.2023.

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The applicant had let in evidence through AW-1, who filed Proof Affidavit reiterating the contentions taken in the OA and also produced Exhibits A-1 to A-26 and got the same marked in evidence.

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Heard the Ld. Counsel for the Applicant and considered the contentions as taken in the OA in the light of documentary evidence and proof affidavit.

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OA-336/2022

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The following issues arise for consideration in this matter:

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i) Whether the applicant had succeeded in proving the OA claim as against the defendants?

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ii) What order are to be passed?

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Both these issues are gone into and decided together.

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The case put forth by the applicant in the Application remains unrebutted as defendants remained ex parte. The evidence tendered by the applicant remains uncontroverted and undisputed.

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The evidences put forth by the applicant were found admissible and are sufficient to prove availment of credit facility as stated in the OA, and the defaults committed in the accounts. The liability of the defendants and the claim of the amount due is also proved by the above documents. The claim of the applicant is well within the limitation.

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Hence in view of the finding arrived herein above, the Tribunal finds that both these issues are in favour of applicant and hence, this Tribunal is of the view that OA is to be allowed.

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Taking into consideration the facts that the credit facility are

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availed for Housing purpose and also that the OA claim is arrived at by calculating interest at the agreed rate, this Tribunal is of the view that the OA can be allowed with a reduced interest of 8.00% (simple).

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OA-336/2022

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In the result, OA.No.336/2022, stands allowed,

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i) The applicant is allowed to recover an aggregate sum of

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Rs. 53,09,336/- (Rupees Fifty Three Lakhs Nine Thousand Three Hundred and Thirty Six Only) with further interest @8.00 % p.a.(simple) from the date of filing OA till the realization, from the defendants jointly, severally and personally, after giving credit to all the amounts recovered and received during the pendency of the OA and allowed the same to be recovered by proceeding against the schedule properties. Properties schedule to the OA be the schedule to the recovery certificate.

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ii) If the sale proceeds are not found sufficient the defendants are jointly, severally and personally & their other assets are liable to be proceeded against for realization of respective dues.

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iii) The applicant bank is allowed cost of the proceedings which applicant to file cost memo within 7 days from the date of receipt of the order.

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iv) The Recovery Certificate to be drawn in terms of this order and transferred to Recovery for execution.

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v) Interim application pending, if any, are disposed of with this Final Order.

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OA-336/2022

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15. Communicate a copy of the order to the parties concerned in

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terms of Section 19(21)(i) of the RDB Act, read with Rule 16 of DRT

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(Procedure) Rules, 1993.

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[Dictated to the Stenographer (HS), transcribed by her, corrected and signed and pronounced by me in

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the Open Court, this the 31^st Day of December, 2025].

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Sd/-

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(T. RAJESH) PRESIDING OFFICER

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ANNEXURES

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WITNESSES EXAMINED FOR THE APPLICANT BANK:

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AW-1: Vivek Raina, S/o. Sri. Ashok Kumar Raina, Chief Manager, of

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Applicant Bank.

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Exhibits on the part of the Applicant:

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Exhibit Nos.	Particulars of Documents
A1	Form-A (personal details) submitted by the defendants.
A2	From-B (employment & income details) submitted by the defendants.
A3	Personal assets and liabilities of borrower/guarantor/applicant submitted by the defendants
A4	Form-A (personal details) submitted by the defendants
A5	From-B (employment & income details) submitted by the defendants.
A6	From-C (property & loan details) submitted by the defendants
A7	Arrangement letter dated 02.08.2019 for Rs. 60,40,000/-
A8	Memorandum of loan agreement for home loan granted to public dated 06.08.2019 submitted by the defendants

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OA-336/2022

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A9	Deed of undertaking dated 06.08.2019 submitted by the defendants
A10	Control card-home loan dated submitted by the defendants
A11	Los application ID-16642591 annexure-1 dated 06.08.2019 submitted by the defendants
A12	Operation letter dated 06.08.2019 submitted by the defendants
A13	Agreement to mortgage dated 06.08.2019 executed by the defendants
A14	Affidavit dated 06.08.2019 submitted by the defendants
A15	Tripartite agreement dated 06.08.2019 executed by the defendants
A16	Agreement to sell dated 25.06.2019 executed by the defendants
A17	Home loan-in-principal approval dated 30.08.2019 submitted by the defendants
A18	Recall letter dated 19.05.2021 sent by the applicant bank
A19	Recall letter dated 24.05.2021 sent by the applicant bank
A20	Legal notice dated 09.09.2021 sent by the applicant bank
A21	Letter dated 23.07.2019 issued by the Suvastu estates pvt. Ltd, in the of applicant bank regarding description of the property/flat
A22	Letter dated 23.07.2019 issued by the Suvastu estates pvt. Ltd, in the of applicant bank regarding confirmation of original documents
A23	Letter dated 23.07.2019 issued by the Suvastu estates pvt. Ltd, in the of applicant bank regarding allotment/NOC/permission to mortgage., etc.,
A24	Legal notice dated 24.12.2021 along with postal receipts and acknowledgement sent by the applicant bank
A25	Certified statement of accounts pertaining to the loan accounts of the defendants
A26	Statement showing the total outstanding in the loan accounts of the defendants

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Witness Examined for the Defendants: List of Documents Exhibited for the Defendants:

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-Nil -

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-Nil -

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(T. RAJESH) PRESIDING OFFICER

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Sd/-

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8 OA-336/2022

State Bank of India v. Saravanan v

Case brief

What is this about?

What did the court decide?

State Bank of India v. Saravanan v

Case brief

What is this about?

What did the court decide?

What the court decided

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Statutes considered

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