Allowed

Punjab National Bank v. Zakir Iqbal Kachchi

DRT6 Nov 2025OA/458/2022

Case brief

AI extract

What is this about?

The Debts Recovery Tribunal allowed the application filed by Punjab National Bank for recovery of dues along with future interest. The court accepted the claim for principal plus interest at 8% p.a. and directed realization against mortgaged property.

What did the court decide?

The respondents shall jointly and severally pay Rs. 24,91,882.42 with future interest @ 8% p.a. from 19.07.2022; applicant may sell mortgaged property.

Punjab National Bank versus Zakir Iqbal Kachchi — Contract and Commercial Disputes | DRT (2025)

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Presented on: 19.07.2022 Registered on: 03.11.2022 Decided on: 06.11.2025 Duration: Y M D 03 03 07

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IN THE DEBTS RECOVERY TRIBUNAL AT AURANGABAD (Before Dr. J. R. Chauhan Presiding Officer) ORIGINAL APPLICATION No. 458/2022

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TOTAL CLAIM AMOUNT – Rs. 24,91,882.42/Punjab National Bank, A Body Corporate

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constituted under the Banking companies Acquisition and Transfer of Undertakings Act 1970

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having its Head Office at 1 Bhikaji Kama Place, New

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Delhi 110 607 and one of its branch, At Bhusawal, Tal.

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Bhusawal, Dist. Jalgaon-425 201, through its Power

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of Attorney Holder, Shri. Chandan.

Versus

… Applicant

(OA No.458/2022)

Page 1 of 8

[AMBADAS]

1. Mr. Shri. Zakir Iqbal Kacnchi Adult, Occ.: Business, R/o.: Bata Building, Gandhi Chowk, Bhusawal, Jalgaon 425 201.

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2. Smt. Almas Zakir Kachchi, Adult, Occ.: Business, R/o.: Bata Building, Gandhi Chowk, Bhusawal, Jalgaon 425 201.

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3. Shri. Sanjay Dashrath Kadam, R/o.: Ram Mangal Colony, Tapi Nagar, Bhusawal, Jalgaon 425 201.

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…Defendants

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APPEARANCES

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For the Applicant For Defendants

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Mr. G. A. Rajput -Advocate Ex-parte

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JUDGMENT Delivered on 06.11.2025

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The Applicant Bank has filed the present application for the recovery of a sum of Rs. 24,91,882.42/- (Rupees Twenty Four Lacs, Ninety One Thousand, Eight Hundred Eighty Two and Forty Two Paisa only), along with future interest from the date of filing of the

(OA No.458/2022)

Page 2 of 8

[AMBADAS]

Original Application, i.e., 19.07.2022, until the date of realization of the entire outstanding dues from the Defendants.

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Brief facts of the application are as under:

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The Applicant Bank states that the Defendant No. 1 & 2 had approached and requested the Applicant Bank for Housing Loan Facility. Upon considering the request and financial needs of the Defendant, the Applicant Bank sanctioned Housing Loan Facility of Rs. 17,34,000/- vide sanction letter dated 02.06.2017 on certain terms and conditions. The agreed rate of interest for the aforesaid loan was @ 8.60% p.a. with monthly rests. The Defendants also agreed to pay additional interest @2% by way of liquidated damages in the event of any default in repayment.

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In order to secure the aforesaid loan facility, the Defendants executed various loan documents in favour of the Applicant Bank. These included sanction letter, letter of undertaking, housing loan

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agreement, registered mortgage deed bearing daybook no.

(OA No.458/2022)

Page 3 of 8

[AMBADAS]

2021/2017 dated 03.06.2017 & hypothecation agreement etc.

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Additionally defendant No. 3 stood as guarantor for defendant no. 1 & 2 and executed deed of guarantee on 17.05.2017 in favour of

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the Applicant Bank.

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The Applicant Bank further contends that, in order to secure the aforesaid loan facility, the Defendant No. 1 created first charge over his immovable property under daybook no. 2021/2017 dated 03.06.2017 in favour of the Applicant Bank. The mortgage

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was created in respect of the following property:

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All that piece and parcel of Flat No. 2, situated at 1^st Floor, Plot No. 49, S. No. 114/1+2, Bhusawal, Dist. Jalgaon, which is bounded as under:

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East: Flat No. 3, South: Staircase & Open to Sky, West: Open to Sky, North: Open to Sky.

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The applicant bank contended that the defendants have failed to keep their promise and commitments agreed by them with regard

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to due repayment of the loan amount. The defendants failed to

(OA No.458/2022)

Page 4 of 8

[AMBADAS]

operate the loan account properly and failed to pay the agreed rate of interest as per terms and conditions of the sanction letter. 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 02.05.2018. Therefore on 10.06.2022 the applicant bank issued legal notice to the defendants through their advocate. Despite service of Notices, the defendants failed and neglected to repay the outstanding dues of the applicant Bank. Hence, this application is filed.

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The defendants failed to appear in matter though they were dully served through court commissioner and publication. Hence, the defendants were proceeded ex-parte as per Order dated 08.04.2025.

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The applicant Bank has filed Claim Affidavit of evidence at Exhibit-4 of Chandan, Manager of the applicant Bank, and has produced on record the original loan transaction documents as

(OA No.458/2022)

Page 5 of 8

[AMBADAS]

Exh. A-1 to A-9 along with list of documents Exh.5 which corroborates the case of the applicant Bank.

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

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Since the defendants failed to appear and 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.

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The applicant Bank has claimed charge over immovable property of the borrowers which is mortgaged in favour of the applicant bank.

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The applicant Bank has claimed future interest @8.60 % p. a. from the date of filing i.e. 19.07.2022 of this application till realization of the claim amount. However, considering the facts of the case, I am of the opinion that if future interest is granted @ 8 % per annum (simple), it would be just and reasonable rate of interest.

(OA No.458/2022)

Page 6 of 8

[AMBADAS]

ORDER

(A) Original Application No. 458/2022 is allowed with

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costs.

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(B) The defendants shall pay jointly and severally to the applicant Bank a sum of Rs. 24,91,882.42/- (Rupees Twenty Four Lacs, Ninety One Thousand, Eight Hundred Eighty Two and Forty Two Paisa only), along with future interest @ 8 % per annum (simple) from the date of filing of the O.A. i.e. 19.07.2022 till full payment/realization of the amount mentioned in this operative order.

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(C) The aforesaid adjudicated amount is secured by the mortgage of the following immovable property bearing daybook no. 2021/2017 vide simple registered mortgage deed dated 03.06.2017 at Exh A-5 in list of documents Exh. 5.

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All that piece and parcel of Flat No. 2, situated at 1^st Floor, Plot No. 49, S. No. 114/1+2, Bhusawal, Dist. Jalgaon, which is bounded as under: East: Flat No. 3, South: Staircase & Open to Sky,

(OA No.458/2022)

Page 7 of 8

[AMBADAS]

West: Open to Sky, North: Open to Sky.

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(D) The applicant Bank is entitled to sell the mortgaged

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immovable property, to recover its dues.

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(E) Issue Recovery Certificate accordingly.

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

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(G) File be consigned to the record room.

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Sd/Pronounced in open court. (Dr. J. R. Chauhan) Place: Aurangabad Presiding Officer Date:.06.11.2025 Debts Recovery Tribunal, Aurangabad

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(OA No.458/2022)

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Page 8 of 8

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[AMBADAS]

Punjab National Bank v. Zakir Iqbal Kachchi

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Punjab National Bank v. Zakir Iqbal Kachchi

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