Allowed

State Bank of India v. Mr. Srinivasa Samanth

DRT31 Dec 2025OA/677/2024

Case brief

AI extract

What is this about?

The Debts Recovery Tribunal allowed OA 677/2024 filed by State Bank of India against borrowers for housing and suraksha loans. The Tribunal found the claim unchallenged due to default in repayment and ordered recovery of the principal amount with reduced interest of 8% simple p.a.

What did the court decide?

Recovery Certificate issued for Rs. 44,89,349/- with 8% simple interest p.a. from filing date, recoverable from defendants jointly and severally against personal assets and schedule properties.

State Bank of India versus Mr. Srinivasa Samanth — Company and Corporate | DRT (2025)

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IN THE DEBTS RECOVERY TRIBUNAL II, KARNATAKA AT BENGALURU

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Dated this 31^st Day of December, 2025

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Present: Sri. T. RAJESH Presiding Officer

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OA.No.677/2024

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BETWEEN:

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State Bank of India, Represented by its Chief Manager, Mrs. Jayanthi A, Stressed Asset Recovery Branch (SARB), JC Road, Bangalore- 560002.

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…APPLICANT

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AND:

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Mr. Srinivasa Samanth (Karta HUF), S/o Parvathi Samanth, Aged about 74 years, R/at: H.No. 2-60, Near Govt High School, Shivapady Saralabettu, Manipal, Udupi- 576101.

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Mr. Narayan Samanth (Co-Parcener), S/o Srinivasa Samanth, Aged about 42 years, R/at: H No. 2-60, Near Govt High School, Shivapady, Saralabettu, Manipal, Udupi- 576101.

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Mr. Kiran Samanth (Co-Parcener), S/o Srinivasa Samanth, Aged about 42 years, R/at: H.No. 2-60, Near Govt High School, Shivapady Saralabettu, Manipal, Udupi- 576101

...DEFENDANTS

OA 677/2024

Counsel on record/appeared for:

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Applicant : M/s. R & J Associates Defendants : EXPARTE

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FINAL ORDER

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The present Original Application in short (OA) has been filed under section 19 of Recovery of Debts and Bankruptcy Act 1993 seeking issuance of Recovery Certificate against the defendants for Rs. 44,89,349/- (Rupees Forty Four Lakh Eighty Nine Thousand Three Hundred Forty Nine 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 defendants availed SBI Housing loan of Rs. 30,00,000/- (Rupees Thirty Lakh Only) and SBI suraksha loan of Rs. 4,00,000/- (Rupees Four Lakh Only).

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It is also the case of the applicant that, in view of the above availed loans, the defendants executed necessary loan documents along with revival letter and memorandum relating to deposit of title deeds.

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It is further contended that, despite availing the credit facilities, agreeing to service the loan account 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 account.

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OA 677/2024

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Despite, Summons on defendants they failed to appear resulting the defendants being set exparte on 15.10.2024.

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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 A-1 to A-12 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 remains unrebutted as defendants remained exparte. The evidence tendered by

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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 as stated in the OA, creation of the security interest and the defaults committed in the accounts. The liability of the defendants and the claim of the amount due are also proved by the above

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OA 677/2024

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documents. The claim of the applicant is well within the limitation.

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

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find both these issues in favour of applicant and hence, this Tribunal is of the view that OA is to be allowed.

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Taking into consideration the facts that the credit facilities are availed for Housing purpose and also that the 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 8.00% (simple).

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In the result, OA.No.677/2024, stands allowed,

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i) The applicant is allowed to recovery an aggregate sum of Rs. 44,89,349/- (Rupees Forty Four Lakh Eighty Nine Thousand Three Hundred Forty Nine Only) with further interest @8.00 % p.a.(simple) from the date of filing OA till the realization, from the defendants jointly, severally & personally, after giving credit to all the amount recovered and received during the pendency of the OA and allowed the same to be recovered by proceeding against schedule property. 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 defendants jointly, severally & personally and their assets are liable for amounts due under

OA 677/2024

the loan accounts.

iii) The applicant bank is allowed cost of the proceedings which

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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 order and transferred to Recovery for execution.

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v) Interim application pending, if any, stands disposed of in terms of this final order.

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Communicate a copy of the order to the parties concerned in terms

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of Section 19(21)(i) of the RDB Act, read with Rule 16 of DRT (Procedure)

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Rules, 1993.

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[Dictated to the Stenographer (AJ), transcribed by her, corrected and signed and pronounced by me in the Open Court, this the 31^st Day of December, 2025].

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Sd/- (T. RAJESH)

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PRESIDING OFFICER

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ANNEXURES

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WITNESSES EXAMINED FOR THE APPLICANT BANK:

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AW-1: Mahesh Kumar C, Chief Manager, of Applicant Bank.

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Exhibits on the part of the Applicant:

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Exhibit Nos.	Date	Particulars of Documents
A1	15.04.2014	The application for SBI Housing loan
A2	14.05.2014	Letter of arrangement
A3	14.05.2014	Memorandum of loan agreement for home loan granted to public

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OA 677/2024

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A4	26.06.2014	Memorandum relating to deposit of title deeds
A5	12.12.2016	Revival letter
A6	03.07.2019	Revival letter
A7	17.10.2022	Debt acknowledgement letter
A8	--	Demand notice and acknowledgement
A9	03.12.2018	Possession notice
A10	--	Statement of accounts No. 64141743494
A11	--	Statement of accounts No. 64141743530
A12	--	Banker’s certificate

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Witness Examined for the Defendants: -Nil - List of Documents Exhibited for the Defendants: -Nil -

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Sd/- (T. RAJESH) PRESIDING OFFICER

State Bank of India v. Mr. Srinivasa Samanth

Case brief

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State Bank of India v. Mr. Srinivasa Samanth

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