Allowed

Indian Bank v. Sh. Gurjit Singh and Others

DRT3 Jul 2025OA/655/2025

Case brief

AI extract

What is this about?

The Debts Recovery Tribunal allowed an original application filed by Indian Bank against three defendants for the recovery of Rs.21,17,518.00. The Tribunal, proceeding ex-parte, decreed the claim and modified the interest rate to 8% p.a., issuing a Recovery Certificate.

What did the court decide?

Recovery of the principal amount of Rs.21,17,518.00 with costs and uniform simple interest @08% p.a. from the date of filing; issuance of a Recovery Certificate.

Indian Bank versus Sh. Gurjit Singh and Others — Money Laundering | DRT (2025)

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DEBTS RECOVERY TRIBUNAL-III, CHANDIGARH

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ORIGINAL APPLICATION NO.655/2025

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PRESIDED OVER BYMRIDULESH KUMAR SINGH

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DATE OF INSTITUTION: 30.04.2025

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DATE OF DECISION: 03.07.2025

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Indian Bank, a body corporate, constituted under the Banking Companies (Acquisition and Transfer of Undertakings) Act, 1970, having its Corporate Office, 254-260, Avvai Shanmugam Salai, Royapettah, Chennai-600014 and Branch Offices, amongst others at Rupnagar, Opposite Municipal Committee Office, Kalgidhar Market, Rupnagar (Punjab) through its Branch Manager Smt. Paramjit Kalsi.

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……..Applicant Versus

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Sh. Gurjit Singh S/o Sh. Hardev Singh, R/o House No.52, Village Kumbhewal, Tehsil Nurpurbedi, District Rupnagar (Punjab)-140117.

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Smt. Harwinder Kaur W/o Sh. Gurjit Singh, R/o House No.52, Village Kumbhewal, Tehsil Nurpurbedi, District Rupnagar (Punjab)-140117.

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Sh. Dilharjeet Singh Maan S/o Sh. Sarvan Singh Maan, R/o House No.60, Zail Singh Nagar, Rupnagar (Punjab).

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….……Defendants

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Advocates:

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Argued by Ms. Savita Trighatia Nar, Advocate for the applicant Defendants are ex parte

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FINAL ORDER

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Present Original Application was instituted by the applicant under Section 19 of the Recovery of Debts and Bankruptcy Act, 1993, against the defendants for recovery of Rs.21,17,518.00

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2 OA NO.655-2025 INDIAN BANK VS GURJIT SINGH AND OTHERS

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(Rupees Twenty One Lacs Seventeen Thousand Five Hundred and Eighteen Only). The Original Application has been filed through Smt. Paramjit Kalsi , Branch Manager of the applicant, who is competent to institute the Original Application vide Authorization Letter dated 18.04.2025, which is Annexure A1 to this OA.

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The brief facts of the OA are that the defendants had approached the applicant for the grant of Housing Loan of Rs.19.00 Lacs vide Loan Application dated 01.08.2016, which is Annexure A2 to this OA and further for Clean Loan (IB-CL) of Rs. 70,901.00.

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The applicant sanctioned Housing Loan of Rs.19.00 Lacs vide sanction letter dated 09.08.2016 which is Annexure A3 to this OA and Sanctioned Clean Loan (IB-CL) of Rs. 70,901/- dated 19.08.2016, which is Annexure A21 to this OA and the terms and conditions were duly accepted by the defendants.

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Defendant no.1 had mortgaged her immovable properties i.e. Plot No.22 measuring 150 Sq. Yards (0-5M) situated at Shivalik Enclave, Village Chahal, Hadbast No.202, Tehsil Balachaur, District SBS Nagar vide Equitable Mortgage of Sale Deed bearing vasika no. 1180 dated 09.03.2016 and Tatima Sale Deed No. 1183 dated 11.08.2016 along with their translations (Colly), which is Annexure A4 to this OA.

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Documents executed:- Letter from Party to Bank confirming the creation of equitable Mortgage (D-32) dated 12.08.2016, which is Annexure A5 to this OA, Resolution by M/s Akal Sahai Builders and Developers Pvt Ltd dated 22.06.2016, which is Annexure A6 to this OA; Legal Search Report (LSR) dated 08.08.2016, which is Annexure A7 to this OA; Mutation Verification Letter dated

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3 OA NO.655-2025 INDIAN BANK VS GURJIT SINGH AND OTHERS

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01.10.2018 and Jamabandi for the year 2012-2013 with Translation (colly), which is Annexure A8 to this OA; Non Encumbrance Certificate (NEC) dated 26.07.2016, which is Annexure A9 to this OA; Valuation reports dated 28.07.2016 and 15.03.2025 which are Annexures A10 and A11 to this OA; Joint & Several Demand Promissory Note (D-2), Disposal of proceeds letter (D-7), Agreement of Guarantee (D-57) by Defendant No.3, Term Loan Agreement for Home Loan (D-128), Letter from the Borrower/s for disclosure of information’s (F-164), Guarantor’s Form by Defendant No.3, Details of Family Members of Borrower (F-189), Declaration (F-172), Letter of Undertaking-cumDeclaration (F-167) all dated 09.08.2016, which are Annexures A12 to A20 to this OA; Letter from Party to Bank confirming Extension of Equitable Mortgage (D-33), Letter to Tehsildar, Balachaur for Lien Marked in Revenue Record, Letter of Continuity(D-3), Covering Letter for loans and advances for which there are no special agreements(F63, which are Annexures A22 to A25 to this OA; Acknowledgement of Debt-cum-Security (D11) dated 08.08.2019 & 02.06.2022, which are Annexures A26 & A27 to this OA; Letters (Colly) dated 29.06.2017 to 03.01.2020 which is Annexure A28 to this OA; Notice under Section 13(2) dated 06.012020 with registered postal receipts, which is Annexure A29 to this OA; Possession notice dated 01.10.2021 along with publication dated 06.10.2021, which is Annexure A30 to this OA and Statement of Accounts and Certified under Banker Books Evidence Act 1891(Colly) dated 17.04.2025, which is Annexure A31 to this OA.

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4 OA NO.655-2025 INDIAN BANK VS GURJIT SINGH AND OTHERS

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The loan accounts became irregular and were classified as NPA and after adjusting debit and credit entries in both the loan accounts there was a debit of Rs.21,17,518.00 which is recoverable and the defendants were served recall notices but they did not repay the outstanding amount, therefore, the applicant requested to accept the application and to issue Recovery Certificate accordingly.

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The defendants were served notices to appear before this Tribunal but no one appeared on behalf of defendants and they were proceeded ex-parte on 01.07.2025.

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In support of the OA, affidavit of Smt. Paramjit Kalsi , Branch Manager, Indian Bank h as been filed.

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Heard arguments and perused record.

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It was argued by learned counsel that in view of the documentary evidence brought on record which had gone unrebutted, the applicant had proved its case. From the perusal of all the Annexures A1 to A31 to this OA, it is proved that the defendants approached applicant for availing of the loan facilities which were granted to them and for that they had executed all the relevant documents in favour of the bank. The defendants failed to pay back the loans as per terms and conditions of the agreement between the parties. Subsequently, accounts of the defendants were classified as NPA. From the documentary evidence brought on record, it is proved that applicant is entitled to recover a sum of Rs.21,17,518.00 (Rupees Twenty One Lacs Seventeen Thousand Five Hundred and Eighteen Only) along with interest from the defendants, jointly and severally, from the date

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5 OA NO.655-2025 INDIAN BANK VS GURJIT SINGH AND OTHERS

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of filing of the present Original Application till realization of the accounts.

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In so far as pendent elite and future rate of interest is concerned, the applicant in relief clause has claimed interest @ 08.95%p.a.in Home Loan and 09.65%p.a.in IB-Clean Loan with monthly rests from 18.04.2025 till the realization.

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The Tribunal is of the considered opinion that sometimes in appropriate cases the prerogative of mercy is the brightest jewel in the crown of the Judge. Keeping in view the facts and circumstances of the instant case including nature of the mortgaged property, undertaking of the defendants, quantum of loans and prevalent market rates of interest which have gone drastically downhill in yester years, while exercising the discretion vested in this Tribunal, this Tribunal deems it just and appropriate to grant uniform simple interest @08.00%p.a. in both the loan accounts from the date of filing of the OA till realization of the amount ordered vide this final order. It is ordered accordingly. 11. In the result, the application is allowed declaring that the defendants are liable to pay to the applicant a total sum of Rs.21,17,518.00 (Rupees Twenty One Lacs Seventeen Thousand Five Hundred and Eighteen Only) jointly and severally, with costs, current and future simple interest @08.00%p.a. in both the loan accounts from the date of filing of OA till the date of realization of the amount. Accordingly, the applicant shall be entitled to recover aforesaid amount from the sale of hypothecated/mortgaged properties of the defendants in execution proceedings if not sold earlier under the provisions of the SARFAESI Act, 2002. If the dues of the still remain unsatisfied, it shall be entitled to recover the

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6 OA NO.655-2025 INDIAN BANK VS GURJIT SINGH AND OTHERS

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same by attachment and sale of personal assets of the defendants. The applicant is at liberty to enforce the claim through due process of law. 12. Any other application pending stands disposed of . 13. Issue Recovery Certificate accordingly. 14. Parties to appear before Learned Recovery Officer of this Tribunal on 25.07.2025. 15. Copy of this order be given dasti to the applicant and be sent to defendants through registered/speed post and this order be also uploaded on the official website of this Tribunal and record be consigned. Pronounced by me in the open Tribunal . Dated: 03.07.2025 (MRIDULESH KUMAR SINGH) Presiding Officer, DRT-III, Chandigarh

Indian Bank v. Sh. Gurjit Singh and Others

Case brief

What is this about?

What did the court decide?

Indian Bank v. Sh. Gurjit Singh and Others

Case brief

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