Allowed

State Bank of India v. Madan Babulal Pardeshi

DRT15 Oct 2025OA/383/2024

Case brief

AI extract

What is this about?

Dr. J. R. Chauhan allowed an Original Application by State Bank of India for recovery of a term and crop loan. The court directed defendants to pay the principal sum with future interest at 9% p.a. and confirmed the bank's right to realize dues by selling mortgaged agricultural lands.

What did the court decide?

Recovery of Rs. 49,84,146.63/- along with future interest at 9% p.a. (simple) from 14.12.2023; sale of mortgaged properties permitted.

State Bank of India versus Madan Babulal Pardeshi — Banking and Recovery | DRT (2025)

¶1

Presented on: 14.12.2023 Registered on: 03.06.2024 Decided on: 15.10.2025 Duration: Y M D 01 10 01

¶2

IN THE DEBTS RECOVERY TRIBUNAL AT AURANGABAD (Before Dr. J. R. Chauhan Presiding Officer) ORIGINAL APPLICATION No. 383/2024

¶3

TOTAL CLAIM AMOUNT – Rs. 49,84,146.63/-

¶4

State Bank of India, A body corporate constituted under the State Bank of India, Act, 1955 (23 of 1955) having it’s one of Local Head office at Synergy, Bandra-Kurla Complex, Bandra (E), Mumbai & Branches amongst the other places at Osmanpura, Aurangabad & having Stressed Assets Recovery Branch (SARB) at Plot No. 79, N-5, CIDCO Aurangabad-431003, through CCO & Dy. Manager Mrs. Kavita Vasudeo Khalse, Age: 41 yrs., Occ.: Service, R/o.: CIDCO, Aurangabad.

¶5

Versus

¶6

… Applicant

¶7

1.Mr. Madan Babulal Pardeshi,

¶8

Age: Major, Occ. Agri., R/o. At 381, Khadaka, Galan (Bk.), Tq. Pachora, Dist. Jalgaon 425001. AND/OR

(OA No.383/2024)

Page 1 of 11

[AMBADAS]

Mr. Madan Babulal Pardeshi, Age: Major, Occ. Agri., R/o. At Gut No. 211/1 & 211/5, Galan (Bk.), Tq. Pachora, Dist. Jalgaon 425001. AND/OR Mr. Madan Babulal Pardeshi, Age: Major, Occ. Agri., R/o. At Gut No. 116/2/1/A & 116/2/1/B, Galan (Bk.), Tq. Pachora, Dist. Jalgaon 425001.

¶13

2. Smt. Lalita Narendra Pardeshi,

¶14

Age: Major, Occ. Agri., R/o. At Galan (Bk.), Tq. Pachora, Dist. Jalgaon 425001.

¶15

3. Smt. Anita Madan Pardeshi, Age: Major, Occ. Agri., R/o. At 381, Khadaka, Galan (Bk.), Tq. Pachora, Dist. Jalgaon 425001. …Defendants

¶16

APPEARANCES For the Applicant Mr. K.D. Pande -Advocate For Defendants Ex-parte

¶17

JUDGMENT Delivered on 15.10.2025

¶18

The Applicant Bank has filed the present application for the

¶19

recovery of a sum of Rs. 49,84,146.63/- (Rupees Forty Nine Lacs, Eighty Four Thousand, One Hundred Forty Six and Sixty Three

(OA No.383/2024)

Page 2 of 11

[AMBADAS]

Paisa only), along with further interest from the date of filing of the Original Application, i.e., 14.12.2023, until the date of realization of the entire outstanding dues from the Defendants.

¶24

Brief facts of the application are as under:

¶25

The Applicant Bank states that the Defendant No. 1 had approached and requested the Applicant Bank for a Term loan facility. Upon considering the request and financial needs of the Defendant, the Applicant Bank sanctioned a Term loan facility of Rs. 5,00,000/- vide sanction letter dated 01.11.2011 on certain terms and conditions. The agreed rate of interest for aforesaid loan facility was @ 13% per annum with half yearly rests. The Defendant also agreed to pay additional interest @2% by way of liquidated damages in the event of any default in repayment.

¶26

The applicant bank further states that the defendant approached the applicant bank seeking financial assistance in the form of Crop

¶27

loan facility after considering the need of the defendant, the

(OA No.383/2024)

Page 3 of 11

[AMBADAS]

applicant bank sanctioned the Crop loan facility of Rs. 17,99,500/vide arrangement letters dated 22.11.2013 on certain terms and conditions. The agreed rate of interest for aforesaid loan facility was @ 14.75% per annum with half yearly rests. The Defendant also agreed to pay additional interest by way of liquidated damages in the event of any default in repayment.

¶32

The applicant bank further states that the defendant again approached the applicant bank seeking convert & restructure the said crop loan facility to agricultural term loan facility. After considering the need of the defendant, the applicant bank pleased to convert & restructure the said crop loan facility to agricultural term loan facility vide arrangement letter dated 09.03.2017 on certain terms and conditions.

¶33

The defendant has also acknowledged his liability and confirmed the due balance and security documents by executing revival

¶34

letters in respect of crop loan facility vide agricultural term loan

(OA No.383/2024)

Page 4 of 11

[AMBADAS]

facility on date 20.10.2016, 30.09.2019 & 31.08.2022 in favour of

¶39

the applicant bank.

¶40

In order to secure the aforesaid loan facilities, the Defendant executed various loan documents in favour of the Applicant Bank. These included arrangement letters, hypothecation agreements, revival letter, and deed of declaration under sub section (1) of Section 5 of Maharashtra Provision of facility for Agricultural Credit By Bank Act 1974 executed on dated 01.11.2011 & 22.11.2013. Additionally defendant No. 2 & 3 stood as guarantors for defendant No. 1 and executed deeds of guarantee on 01.11.2011 & 22.11.2013 in favor of the applicant bank.

¶41

The Applicant Bank further contends that, in order to secure the aforesaid loan facilities sanctioned to him, the Defendant created first charge over his immovable property by depositing deed of declaration under sub section (1) of Section 5 of Maharashtra Provision of facility for Agricultural Credit By Bank Act 1974

(OA No.383/2024)

Page 5 of 11

[AMBADAS]

executed on dated 01.11.2011 & 22.11.2013, in favour of the

¶46

Applicant Bank. The mortgage was created in respect of the

¶47

following properties –

¶48

i) All that piece & parcel of agricultural land admeasuring 01 H 06 R, out of Gut No. 211/1, situated at Galan (Bk.), Tq. Pachora, Dist. Jalgaon.

¶49

ii) All that piece & parcel of agricultural land admeasuring 06 H 44 R, out of Gut No. 211/5, situated at Galan (Bk.), Tq. Pachora, Dist. Jalgaon.

¶50

iii) All that piece & parcel of agricultural land admeasuring 01 H 32 R, out of Gut No. 116/2/1A, situated at Galan (Bk.), Tq. Pachora, Dist. Jalgaon.

¶51

iv) All that piece & parcel of agricultural land admeasuring 01 H 27 R, out of Gut No. 116/2/1/B, situated at Galan (Bk.), Tq. Pachora, Dist. Jalgaon.

¶52

The applicant bank contended that the defendants have failed to keep their promise and commitments agreed by them with regard to due repayment of the loan amount. The defendants failed to

¶53

operate the loan account properly and failed to pay the agreed

¶54

rate of interest as per terms and conditions of the sanction letter.

(OA No.383/2024)

Page 6 of 11

[AMBADAS]

Thereafter, the applicant bank repeatedly made demand of loan amount and called upon the defendants to pay with the agreed rate of interest thereon, but the defendants failed and neglected to pay the same. The loan account of the defendants became irregular and classified as NPA on 30.11.2017. Therefore, on 30.10.2023 the applicant bank issued legal Notice to the defendants. The defendants failed and neglected to repay the outstanding dues of the applicant Bank. Hence, this application is filed.

¶59

The defendants failed to appear in matter though they were served through court commissioner. Hence, the defendants were proceeded ex-parte as per Order dated 09.07.2025.

¶60

The applicant Bank has filed Claim Affidavit of evidence at Exhibit-4 of Mrs. Kavita Vasudeo Khalse, City Case Officer & Dy. Manager of the applicant Bank, and has produced on record the original loan transaction documents as Exh. A-1 to A-27 along

(OA No.383/2024)

Page 7 of 11

[AMBADAS]

with list of documents Exh.5 which corroborates the case of the applicant Bank.

¶65

I have heard arguments of the learned Advocate for the applicant Bank.

¶66

Since the defendants failed to appear and to file the written statement and did not contest the application, I find no reason to disbelieve the unrebutted evidence of the applicant Bank. Therefore, the applicant Bank is entitled for the reliefs as claimed.

¶67

The applicant Bank has claimed charge over immovable properties of the borrower which are mortgaged in favour of the applicant bank.

¶68

The applicant Bank has claimed future interest @13% p.a. on aforesaid loans from the date of filing i.e. 14.12.2023 of this application till realization of the claim amount. However, considering the facts of the case, I am of the opinion that if future

(OA No.383/2024)

Page 8 of 11

[AMBADAS]

interest is granted @ 9% per annum (simple) on outstanding amount, it would be just and reasonable rate of interest.

¶73

ORDER

¶74

(A) Original Application No. 383/2024 is allowed with

¶75

costs.

¶76

(B) The defendants shall pay jointly and severally to the

¶77

applicant Bank a sum of Rs. 49,84,146.63/- (Rupees Forty Nine Lacs, Eighty Four Thousand, One Hundred Forty Six and Sixty Three Paisa only),along with future interest @ 9% per annum (simple) from the date of filing of the Original Application i.e. 14.12.2023 till full payment/realization of the amount mentioned in this operative order.

¶78

(C)

¶79

¶80

deed of declaration under sub section (1) of Section 5 of

(OA No.383/2024)

Page 9 of 11

[AMBADAS]

Maharashtra Provision of facility for Agricultural Credit

¶85

By Bank Act 1974 executed on dated 01.11.2011 &

¶86

22.11.2013 at Exh. A-5 & A-14 respectively in list of

¶87

documents Exh. 5.

¶88

i) All that piece & parcel of agricultural land admeasuring 01 H 06 R, out of Gut No. 211/1, situated at Galan (Bk.), Tq. Pachora, Dist. Jalgaon.

¶89

ii) All that piece & parcel of agricultural land admeasuring 06 H 44 R, out of Gut No. 211/5, situated at Galan (Bk.), Tq. Pachora, Dist. Jalgaon.

¶90

iii) All that piece & parcel of agricultural land admeasuring 01 H 32 R, out of Gut No. 116/2/1A, situated at Galan (Bk.), Tq. Pachora, Dist. Jalgaon.

¶91

iv) All that piece & parcel of agricultural land admeasuring 01 H 27 R, out of Gut No. 116/2/1/B, situated at Galan (Bk.), Tq. Pachora, Dist. Jalgaon.

(OA No.383/2024)

Page 10 of 11

[AMBADAS]

(D) The applicant Bank is entitled to sell the mortgaged immovable properties and hypothecated articles/goods etc., to recover its dues.

¶96

(E) Issue Recovery Certificate accordingly.

¶97

(F) The Registrar is directed to send the copy of the Judgment and Recovery Certificate to the applicant and defendants.

¶98

(G) File be consigned to the record room.

¶99

Sd/-

¶100

Pronounced in open court. (Dr. J. R. Chauhan) Place: Aurangabad Presiding Officer Date:.15.10.2025 Debts Recovery Tribunal, Aurangabad

¶101

(OA No.383/2024)

¶102

Page 11 of 11

¶103

[AMBADAS]

State Bank of India v. Madan Babulal Pardeshi

Case brief

What is this about?

What did the court decide?

State Bank of India v. Madan Babulal Pardeshi

Case brief

What is this about?

What did the court decide?

What the court decided

A compact analysis

Issues for consideration

Statutes considered

Parties & counsel

Coram

Case details

Similar cases

State Bank of India versus Chandrakant Ramdas Khule

Jai Malhar Enterprises versus Poornawadi Nagrik Sahakari Bank

State Bank of India versus Jayant Ravindra Gajare

State Bank of India versus Kalyan Manohar Patange

Icici Bank Limited versus Shiraj Ibrahim Shaikh

State Bank of India versus M/s Shri Shivshankar Cellular