Allowed

Canara Bank v. Mr. Bhimappa Ramappa Das@Sanadi

DRT29 Aug 2025OA/599/2023

Case brief

AI extract

What is this about?

Debts Recovery Tribunal allowed the Original Application filed by Canara Bank for issuance of Recovery Certificate against a defendant who was absent. The court granted reduced interest of 6% simple p.a. and authorized recovery from the defendant's assets and mortgage properties.

What did the court decide?

Recovery Certificate allowed for Rs.24,35,199/- plus 6% simple interest; recovery from joint and several assets and mortgage properties.

Canara Bank versus Mr. Bhimappa Ramappa Das@Sanadi — Banking and Recovery | DRT (2025)

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IN THE DEBTS RECOVERY TRIBUNAL II, KARNATAKA AT BENGALURU

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Dated this 29^th Day of August, 2025

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Present: Sri. T. RAJESH Presiding Officer

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OA. No.599/2023

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BETWEEN:

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Canara Bank Konnur Branch, Gokak Branch, Dist. Belgavi Through its Branch Manager Mr. Nilesh Maruti Jadhav … APPLICANT

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AND:

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Mr. Bhimappa Ramappa Das @ Sanadi S/o. Ramappa Age: 58 years Having address at At and Post Melavanki Taluk Gokak, Dist. Belgaum-591224 ...DEFENDANT

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Counsel on record/appeared for:

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Applicant : Sri. Venu K V Defendant : Exparte

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FINAL ORDER

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The present Original Application in short (OA) has been filed

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under section 19 of Recovery of Debts and Bankruptcy Act 1993 for seeking issuance of Recovery Certificate against the defendants for

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OA. No. 599/2023

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Rs.24,35,199/- (Rupees Twenty Four Lakh Thirty Five Thousand One Hundred and Ninenty Nine only) with further interest thereon from the date of filing the Application till realization from the Defendants.

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It is the case of the applicant that, the defendants availed the agricultural facility for a sum of Rs.4,25,000/-.

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It is also the case of the applicant that, in view of the above financed credit facility, the defendants executed necessary loan documents apart from the creation of security interest by way of mortgage over the Schedule properties.

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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 accounts.

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OA. No. 599/2023

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Despite, service of summons on the defendants, they failed to appear, resulting the defendants being set exparte on 22.07.2024.

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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 A1 to A6 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 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

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remains unrebutted as defendants remained exparte. The

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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 facilities

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OA. No. 599/2023

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as stated in the OA, creation of security interest as claimed by the applicant bank and the defaults committed in the account. 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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Taking into consideration the facts that the credit facilities was availed for agriculture purpose and also that OA claim is arrived at by calculating interest at the agreed rate, this Tribunal in view of the OA can be allowed with a reduced interest of 6.00% (simple).

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Hence in view of the above finding which cover both the

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issues raised in this manner, this Tribunal is of the view that OA is liable to be allowed.

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In the result, OA.No.599/2023 stands allowed,

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i) The applicant is allowed to recovery an aggregate sum

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of Rs.24,35,199/- (Rupees Twenty Four Lakh Thirty Five Thousand

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One Hundred and Ninety Nine only) with further interest of 6.00%

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p.a.(simple) from the date of filing OA till the realization from the

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OA. No. 599/2023

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defendants, after giving credit to all the amounts recovered and

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received during the pendency of the OA allowed the same to be recovered by proceeding against defendants jointly, severally, personally and also by proceeding against the schedule properties. The schedule properties to the OA be the schedule properties to the Recovery Certificate.

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ii) If the sale proceeds are not found sufficient to cover

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the amount due and payable to the applicant bank, the defendants jointly, severally, personally and their other assets are liable for all such amounts due under the loan accounts.

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iii) The applicant bank is allowed cost of the proceeding

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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

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order and transferred to Recovery for execution.

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v) Interim Application pending, if any, stands disposed of

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with this Final Order.

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OA. No. 599/2023

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Communicate a copy of the order to the parties concerned

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

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DRT (Procedure) Rules, 1993.

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[Dictated to the Stenographer (PR), transcribed by her, corrected and signed and pronounced by me in the Open Court, this the 29^th Day of August 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: Nilesh Maruti Jadhav, Branch Manager of the applicant bank.

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Exhibits on the part of the Applicant:

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Annexure	Particulars
A1	Application 02.11.2004
A2	Memorandum of agreement for agricultural loans dated 05.11.2004
A3	Simple mortgage deed dated 05.11.2004
A4	Letter of Revival dated 01.03.2022
A5	Legal notice dated 24.02.2023
A6	True extract of statement of accounts pertaining to the defendant aforesaid loan accounts

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(T. RAJESH) PRESIDING OFFICER

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Sd/-

Canara Bank v. Mr. Bhimappa Ramappa Das@Sanadi

Case brief

What is this about?

What did the court decide?

Canara Bank v. Mr. Bhimappa Ramappa Das@Sanadi

Case brief

What is this about?

What did the court decide?

What the court decided

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Issues for consideration

Statutes considered

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