Allowed

Canara Bank v. Ravikumar

DRT25 Nov 2025OA/562/2023

Case brief

AI extract

What is this about?

The Debts Recovery Tribunal allowed an Original Application filed under Section 19 of the RDB Act, 1993, issuing a Recovery Certificate. The court held the defendant liable for an agricultural loan default, reduced interest to 6% simple, and authorized recovery from the defendant's personal assets and schedule properties.

What did the court decide?

Issuance of Recovery Certificate for Rs. 48,55,133/- with 6% simple interest from the filing date, recoverable from defendant personally and via schedule properties.

Canara Bank versus Ravikumar — 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 25^th Day of November, 2025

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Present: Sri. T. RAJESH Presiding Officer OA.No.562/2023

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BETWEEN:

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Canara Bank Head office at: No.112, JC road, Bengaluru

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Having Branch at: Janata Bazar Building, Super Market, Complex, Kalburgi – 585 101

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Represented by Senior Manager

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Mr. Satwant Singh …APPLICANT

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AND:

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Mr. Ravikumar S/o. Shankarappa Aged about 47 years R/o. Kallur Road, Chincholi Taluk, Kalburgi District – 585 305 ...DEFENDANT

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Counsel on record/appeared for:

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Applicant : Naveen Tao Defendant : Ex parte

OA-562/2023

FINAL ORDER

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 defendant for Rs. 48,55,133/- (Rupees Forty Eight Lakhs Fifty Five Thousand One Hundred and Thirty Three Only) with further interest thereon from the date of filing the Application till realization.

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It is the case of the applicant that, the defendant availed a Farm machinery loan of Rs. 5,25,000/- (Rupees Five Lakhs Twenty Five Thousand Only) on 02.09.2005.

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It is also the case of the applicant that, in view of the above availed loan, the defendant executed the necessary loan document along with simple mortgage deed.

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It is further contended that, despite availing the credit facility, agreeing to service the loan amount promptly and regularly, the defendant 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 defendant, he failed to appear, resulting the defendant being set ex parte on 19.11.2024.

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OA-562/2023

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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-15 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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The following issues arise for consideration in this matter:

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i) Whether the applicant had succeeded in proving the OA

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claim as against the defendant?

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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 defendant remained ex parte. The evidence tendered by the applicant remains uncontroverted and undisputed. The evidences put forth by the applicant were found admissible and are sufficient to prove availment of credit facility as stated in the OA, creation of the security interest and the defaults committed in the accounts. The liability of the defendant and the claim of the amount

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due are also proved by the above document. The claim of the applicant is well within the limitation.

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OA-562/2023

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Hence in view of the findings arrived herein above, the Tribunal

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find both these issues are in favour of applicant and hence, this

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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 Agricultural purpose and also that the OA claim is arrived at by calculating interest at the agreed rate, this Tribunal is the view that the OA can be allowed with a reduced interest of 6.00% (simple).

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In the result, OA.No.562/2023 stands allowed,

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i) The applicant is allowed to recover an aggregate sum of Rs. 48,55,133/- (Rupees Forty Eight Lakhs Fifty Five Thousand One Hundred and Thirty Three Only) with further interest @6.00 % p.a.(simple) from the date of filing OA till the realization, from the defendant personally, after giving credit to all the amounts recovered

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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 to cover the

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amount due and payable to the applicant bank, the defendant personally and his assets are liable for all such amounts due under the loan accounts.

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OA-562/2023

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iii) The applicant bank is allowed cost of the proceedings

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which applicant to file cost memo within 7 days from the date of

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receipt of the order.

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iv) The Recovery Certificate to be drawn in terms of this order

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and transferred to Recovery for execution.

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v) Interim application pending, if any, stands disposed of in

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terms of this final order.

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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 25^th Day of November, 2025].

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(T. RAJESH)

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PRESIDING OFFICER

OA-562/2023

ANNEXURES

WITNESSES EXAMINED FOR THE APPLICANT BANK:

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AW-1: Sri. Satwant Singh, S/o. Gurcharn Singh, Senior Manager, of Applicant Bank.

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Exhibits on the part of the Applicant:

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Exhibit	Date	Particulars of Documents
Nos.
A1	-----	Affidavit evidence
A2	-----	List of documents
A3	28.08.2005	Simple mortgage deed registered ad doc-0750/2005- 06 dated 29.08.2005, sub-registrar, Chincholi
A4	02.09.2005	Application for agricultural term loan a/c. 0513856007296
A5	02.09.2005	Sanction memorandum
A6	02.09.2005	Memorandum of agreement for agriculture loan
A7	29.10.2007	Letter of revival
A8	29.09.2010	Letter of revival
A9	02.08.2013	Letter of revival
A10	24.04.2016	Letter of revival
A11	15.06.2018	Letter of revival
A12	15.05.2021	Letter of revival
A13	30.01.2023	Legal notice along with postal receipt
A14	-----	Postal acknowledgement card served
A15	-----	Bank statement of a/c. 0513856007296

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Witness Examined for the Defendants:

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-Nil -

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List of Documents Exhibited for the Defendants:

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-Nil -

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(T. RAJESH) PRESIDING OFFICER

Canara Bank v. Ravikumar

Case brief

What is this about?

What did the court decide?

Canara Bank v. Ravikumar

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

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Case details

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