Allowed

Bank of Maharashtra v. Sambhaji

DRT4 Aug 2025OA/519/2022

Case brief

AI extract

What is this about?

The Debts Recovery Tribunal allowed the applicant bank's original application for recovery of dues aggregating Rs. 85,04,015/- after deducting penal interest from the claimed amount. The respondents failed to appear, and the court directed payment with future interest at 9% p.a. and creation of a mortgage over specified properties.

What did the court decide?

Petition allowed; respondents to pay Rs. 85,04,015/- with future interest at 9% p.a.; direction to create mortgage over specific properties.

Bank of Maharashtra versus Sambhaji — Banking and Recovery | DRT (2025)

¶1

Presented on: 22.07.2021 Registered on: 07.05.2022 Decided on: 04.08.2025 Duration: Y M D 04 -- 12

¶2

IN THE DEBTS RECOVERY TRIBUNAL AT PUNE (Before Shri Dilip G. Murumkar, Presiding Officer) ORIGINAL APPLICATION No.519/2022.

¶3

Bank of Maharashtra ,

¶4

A Body Corporate constituted under the Banking Companies (Acquisitions and Transfer of Undertakings) Act 1970 having its Head Office at “Lokmangal” 1501, Shivajinagar, Pune-5 and Branch amongst other places at Kudal Branch, Satara.

¶5

… Applicant

¶6

Versus

¶7

Mr. Sambhaji Dadaso Shinde Age adult, Occ.:- Farmer,

¶8

Mr. Shrikant Sambhaji Shinde Age Adult, Occu.:- Farming

¶9

Mr. Balasaheb Baburao Shinde Age Adult, Occu.:- Farming

¶10

Mr. Dattatray Dnyaneshwar Shinde Age Adult, Occu.:- Farming

¶11

Mr. Arun Jagdevrao Shinde Age Adult, Occu.:- Farming 2 to5 R/at- 982, Shripushpa,

¶12

Mr. Bajirao Baburao Shinde Age Adult, Occu.:- Business All R/at Post Indavali, Tal.-Jawali, District - Satara – 415 514.

…Defendants

(OA No.519/2022)

Page 1 of 8

[ANIL]

APPEARANCES

For the Applicant Mr. Varun Kulkarni i/b Mr. V. S. Tokekar - Advocate. For the Defendants Ex-parte.

¶19

TOTAL CLAIM AMOUNT – Rs.87,66,447.42Ps. JUDGMENT (Delivered on 4^th August, 2025)

¶20

1 The Applicant Bank has filed present application for recovery of aggregate sum of Rs.87,66,447.42Ps. [i.e.Rs.5,55,966.34Ps towards MKCC A/c No.60135769555; Rs.7,92,755.08Ps towards Cash Credit A/c No.60155820197; Rs.20,03,100/- towards Term Loan A/c No.60167190505; Rs.14,72,376/towards Term Loan A/c No.60167205739 & Rs.39,42,250/- towards Term Loan A/c No. 60185536565] together with future interest thereon at the rate of @7.00% with quarterly rests and @12,25%, @12.25%, @12.75% and @13.40% p.a. respectively with monthly rests respectively till actual realization of amount from the Defendants.

¶21

2 Brief facts of the application are as under:-

¶22

Defendant No.1 was in need of financial assistance for agricultural purpose and hence approached the applicant bank for availing MKCC facility on 08.04.2013. Defendant No.3 and 4 were guarantors for the same. Applicant bank sanctioned MKCC facility of Rs.2.70 lakhs on 24.06.2013 upon certain terms and conditions mentioned therein. Defendant No.1 executed security documents in favour of the applicant bank on 24.06.2013 as mentioned in the Para 5(c) of the Original Application. So also, defendant No1. Executed declaratory mortgage on 03.05.2013 in favour of applicant bank and

(OA No.519/2022)

Page 2 of 8

[ANIL]

created charge over land for securing the repaying under MKCC loan amount of Rs.2.70 lakhs.

¶27

Defendant No.2 being proprietor of M/s Shree Fabricators and was in need of financial assistance for business purpose as working capital and hence approached the applicant bank for availing Cash Credit facility. Defendant No.1 and 3 were guarantors for the same. Applicant bank sanctioned Cash Credit facility of Rs.5 lakhs on 29.03.2017 upon certain terms and conditions mentioned therein. Defendants executed security documents in favour of the applicant bank on 15.01.2014 as mentioned in the Para 5(g) of the Original Application.

¶28

Defendant No.1 & 2 was in need of financial assistance for laying of pipeline and electrical motor and hence approached the applicant bank for availing Term Loan facility on 05.04.2013. Defendant No.3 and 5 were guarantors for the same. Applicant bank sanctioned Term Loan facility of Rs.9.60 lakhs upon certain terms and conditions mentioned therein. Defendants executed security documents in favour of the applicant bank on 15.04.2014 as mentioned in the Para 5(i) of the Original Application.

¶29

Defendant No.1 & 2 was in need of financial assistance for land development and hence approached the applicant bank for availing Term Loan facility. Defendant No.3 and 5 were guarantors for the same. Applicant bank sanctioned Term Loan facility of Rs.7.20 lakhs on 05.04.2014 upon certain terms and conditions mentioned therein. Defendants executed security documents in favour of the applicant bank on 15.04.2014 as mentioned in the Para 5(k) of the Original Application.

(OA No.519/2022)

Page 3 of 8

[ANIL]

Defendant No.1 and 2 executed Simple Mortgage on 07.04.2014 for security repayment under Term Loan of Rs. 9.60 lakhs and Rs.7.20 lakhs in respect of immovable properties i.e. all that piece and parcel of land lying being and situated at village Indavali, Taluka Jawali, District Satara -

¶34

Sr. No.	Gat No	Hector	Area Are
1.	33	0	10
2.	63	1	17
3.	70	0 PK 0	33 01
4.	240	0	11
5.	263	0	34
6.	271	0	29
7.	267	0	28
8.	304	0	56
9.	308	0	25
10.	368	0	5.9
11	380	0	22
12	490	0 PK0	85 05
13	526	0	11
14	562	0	7
15	398	19 PK1	76 21
16	400	18 PK0	63 40
17	427	1 PK0	01 03

¶35

(B)- All that piece and parcel of Grampanchayat Milkat No.174 along with construction thereon admeasuring 528 sq. ft. lying being and situated at Village Indavali, Taluka Jawali, District Satara;

(OA No.519/2022)

Page 4 of 8

[ANIL]

(C )- All that piece and parcel of Gat No.277 area admeasuring 1H 53 Are out of total land 3H 06 Ares having assessment of Rs.5.62paise lying being and situated at village Songaon, Taluka Jawali, District Satara, more particularly mentioned in the schedule alongwith Original Application.

¶40

Defendant No.1 & 2 was in need of financial assistance for purchase of land property and hence approached the applicant bank for availing Term Loan facility on 14.08.2014. Defendant No.5 and 6 were guarantors for the same. Applicant bank sanctioned Term Loan facility of Rs.17 lakhs on 15.08.2014 upon certain terms and conditions mentioned therein. Defendants executed security documents in favour of the applicant bank on 23.09.2014 as mentioned in the Para 5(o) of the Original Application.

¶41

¶42

¶43

Applicant bank submits that after availing Term Loan of Rs.17 lakhs for purchaser of agricultural land property, the applicant bank disbursed the amount as stated above, however the defendants did not execute the mortgage in respect of the purchased property and hence violated the terms and conditions.

¶44

Applicant Bank states that after availing MKCC, Cash Credit facility and Term Loan Facilities, the defendants failed and neglected to pay outstanding amount and comply with the terms and conditions in which the said facilities were granted to them. Due to defaults, the Applicant Bank has classified accounts of the defendants as NPA on 26.09.2018 in accordance with the directions and/or guidelines of the Reserve Bank of India. Thereafter, the Applicant

(OA No.519/2022)

Page 5 of 8

[ANIL]

Bank through its advocate issued demand notice dated 20.11.2020 to the defendants. But the defendants did not bother to the said Notice. Hence, this application is filed.

¶49

5 Defendants have failed to appear despite service of summons. Hence, the application proceeded ex-parte against them vide Order dated 19.06.2024 passed below the Application (Exh.-01).

¶50

6 The Applicant Bank has filed Claim Affidavit of Mr. Sandip Kumar, Branch Manager & produced on record the Loan Transaction documents (Exh.10) at Exhibits.AW-1 to AW-42, which corroborates the case of the Applicant Bank.

¶51

7 I have heard arguments of the learned Advocate for the Applicant Bank.

¶52

8 Since the defendants failed to appear and contest the application, I find no reason to disbelieve the evidence of the Applicant Bank. Therefore, the Applicant Bank is entitled for reliefs as claimed.

¶53

9 The applicant bank has claimed penal interest of Rs.2,62,432/- in all the accounts, which cannot be granted and the same is required to be deducted from the total claim amount. Therefore, the total claim amount of Rs.87,66,447.42 is reduced to Rs.85,04,015/-.

¶54

10 The Applicant Bank has claimed future interest @7.00% with quarterly rests and @12,25%, @12.25%, @12.75% and @13.40% p.a. respectively. However, considering the facts of the case, I am of the opinion that except interest @7% p.a. MKCC Loan if other loan accounts are granted @9% p.a. (simple), it would be just and reasonable rate of interest.

(OA No.519/2022)

Page 6 of 8

[ANIL]

11 Hence, I pass the following order :-

¶59

ORDER

¶60

(A) Original Application No.519/2022 is allowed with costs.

¶61

(B) Defendant Nos. 1 to 6 either jointly or severally shall pay an aggregate sum of Rs.85,04,015/- (Rupees Eighty Five Lakhs Four Thousand Fifteen only) [i.e. Rs.5,45,061 /- towards MKCC A/c No. 60135769555; Rs.7,49,520/towards Cash Credit A/c No. 60155820197; Rs.19,34,195/- towards Term Loan A/c No.60167190505; Rs.14,21,918/- towards Term Loan A/c60167205739 and Rs.38,53,321/- towards Term Loan Facility A/c No. 60185536565] with future interest @ 9% p.a. (Simple) from the date of filing of the Original Application i.e. 22.07.2021 till payment/ realization of the amount mentioned in this operative order, to the Applicant Bank.

¶62

(C)

¶63

The aforesaid adjudicated amount is secured by creating Mortgage regarding immovable properties i.e. (A) All that piece and parcel of land lying being and situated at village Indavali, Taluka Jawali, District Satara -

¶64

Sr. No.	Gat No	Hector
1.	33	0
2.	63	1
3.	70	0 PK 0
4.	240	0
5.	263	0
6.	271	0
7.	267	0
8.	304	0
9.	308	0
10.	368	0

(OA No.519/2022)

Page 7 of 8

[ANIL]

11	380	0	22
12	490	0 PK0	85 05
13	526	0	11
14	562	0	7
15	398	19	76
		PK1	21
16	400	18	63
		PK0	40
17	427	1	01
		PK0	03

¶69

(B)- All that piece and parcel of Grampanchayat Milkat No.174 along with construction thereon admeasuring 528 sq. ft. lying being and situated at Village Indavali, Taluka Jawali, District Satara; and

¶70

(C )- All that piece and parcel of Gat No.277 area admeasuring 1H 53 Are out of total land 3H 06 Ares having assessment of Rs.5.62 paise lying being and situated at village Songaon, Taluka Jawali, District Satara, more particularly mentioned in the schedule alongwith Original Application.

¶71

(D) The Applicant Bank is entitled to sell the mortgaged immovable properties to recover its dues.

¶72

Issue Recovery Certificate.

¶73

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

¶74

Place : Pune Date: 04.08.2025

¶75

Sd/(Dilip G. Murumkar) Presiding Officer, Debts Recovery Tribunal, Pune.

¶76

(OA No.519/2022)

¶77

Page 8 of 8

¶78

[ANIL]

Bank of Maharashtra v. Sambhaji

Case brief

What is this about?

What did the court decide?

Bank of Maharashtra v. Sambhaji

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

Punjab National Bank versus M/S. Darshana Transport Prop. Mrs. Surekha Manoj Lunkad

Bank of India versus Rekhabai Fand

Federal Bank versus Shivaji

Punjab National Bank (Oriental Bank of Commerce) versus M/S. Jagtap Press Components Prop. Mr. Yogesh Kakasaheb Jagtap

Bank of India versus Tushar Nathuram Mahadik, Prop of M/S. Ved Motors

Federal Bank versus Shankar