Allowed

State Bank of India v. Ravi. S

DRT24 Oct 2025OA/815/2022

Case brief

AI extract

What is this about?

The Debt Recovery Tribunal allowed the applicant bank's Original Application for issuance of a Recovery Certificate for a commercial vehicle loan default. The defendant remained in absentia. The court reduced the agreed interest rate to 10% p.a. (simple) while allowing recovery of the principal and accrued interest.

What did the court decide?

Issuance of Recovery Certificate for Rs.24,42,112/- with further interest at 10% p.a. (simple) and liberty to proceed against other assets.

State Bank of India versus Ravi. S — Banking and Recovery | DRT (2025)

¶1

IN THE DEBTS RECOVERY TRIBUNAL II, BENGALURU

¶2

Dated this 24^th Day of October, 2025

¶3

Present: Sri. T. RAJESH Presiding Officer OA.No.815/2022

¶4

BETWEEN:

¶5

State Bank of India, Branch Office at: Bidadi Branch, ARMB at Kempegowda Road, Bangalore-560009 …APPLICANT

¶6

AND:

¶7

Sri. Ravi S/o Shivalingaiah R/at: Megaladoddi Village, Urgahalli Post, BidadiHobli, Ramanagadist-562109

¶8

...DEFENDANT

¶9

Counsel on record/appeared for:

¶10

Applicant : K.S & K.S Associates Defendants : Exparte

¶11

FINAL ORDER

¶12

The present Original Application in short (OA) has been

¶13

filed under section 19 of Recovery of Debts and Bankruptcy Act 1993 seeking issuance of Recovery Certificate for

¶14

Rs.24,42,112/- (Rupees twenty four lakh forty two thousand one

¶15

¶16

OA 815-2022

¶17

hundred and twelve only) with further interest thereon from the date of filing the Application till realization from the Defendant.

¶18

It is the case of the applicant that the defendant availed the Commercial Vehicle loan credit facilities of Rs.15,30,000/(Rupees fifteen lakh thirty thousand only) from the applicant bank.

¶19

It is also the case of the applicant that, in view of the above amount financed, the defendant executed necessary loan documents along with hypothecation agreement and sanction letter in favor of the applicant bank.

¶20

It is further contended that, the defendant despite availing

¶21

the credit facility, agreeing to service the loan account promptly and regularly, failed in complying the same, resulting in defaults in repayment and consequentially turning the loan accounts as NPA.

¶22

In the above circumstances, the applicant approached this

¶23

Tribunal by filing this OA seeking issuance of Recovery Certificate for the amount due in the account.

¶24

Despite, service of summons on the defendant, he failed

¶25

to appear, resulting the defendant being set exparte on

OA 815-2022

20.12.2022.

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-10 and got the same marked in evidence.

¶30

Heard the Ld. Counsel for the Applicant and considered the contentions as taken in the OA in the light of documentary evidence and the proof affidavit.

¶31

The following issues arise for consideration in this matter:

¶32

i) Whether the applicant had succeeded in proving the OA claim as against the defendant?

¶33

ii) What order are to be passed?

¶34

Both these issues are gone into and decided together.

¶35

The case put forth by the applicant in the Application

¶36

remains unrebutted as defendant remained exparte. The evidence tendered by the applicant remains uncontroverted and undisputed. The evidences put forth by the applicant were found

¶37

admissible and are sufficient to prove availment of credit facilities as stated in the OA by the applicant bank and the

¶38

OA 815-2022

¶39

¶40

defaults committed in the accounts. The liability of the defendants and the claim as the amount due is also proved by

¶41

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

¶42

the limitation.

¶43

11. Hence in view of the finding arrived herein above, this

¶44

Tribunal find both these issues in favour of applicant and hence

¶45

this Tribunal is of the view that OA is to be allowed.

¶46

12. Taking into consideration the facts that the credit facilities

¶47

are availed by defendant for Commercial Vehicle loan purpose

¶48

and also that OA claim is arrived at by calculating interest at the

¶49

agreed rate, this Tribunal, in view of the OA can be allowed with

¶50

a reduced interest @10% p.a.(Simple).

¶51

13. In the result, OA.No.815/2022, stands allowed,

¶52

i) The applicant is allowed to recovery an aggregate

¶53

sum of Rs.24,42,112/- (Rupees twenty four lakh forty two

¶54

thousand one hundred twelve only) with further interest @10% p.a. (Simple),

¶55

OA 815-2022

¶56

¶57

from the date of filing OA till the realization, from the defendant

¶58

personally after giving credit to all the amount recovered and received during the pendency of the OA.

¶59

(ii) In the event of failure of the defendant to pay the

¶60

aforesaid amount the applicant bank is at liberty to proceed against the defendant personally and his other assets are liable

¶61

to be proceeded against for the balance amount.

¶62

iii) The applicant bank is allowed cost of the proceedings

¶63

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

¶64

receipt of the order.

¶65

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

¶66

order and transferred to Recovery for execution.

¶67

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

¶68

in terms of this final order.

¶69

Communicate a copy of the order to the parties concerned

¶70

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

¶71

of DRT (Procedure) Rules, 1993.

¶72

[Dictated to the Stenographer (JV), transcribed by him, corrected and signed and pronounced by

¶73

me in the Open Court, this the 24^th day of October, 2025].

¶74

Sd/ (T. RAJESH) PRESIDING OFFICER

OA 815-2022

ANNEXURES

WITNESSES EXAMINED FOR THE APPLICANT BANK:

¶79

AW-1: Jayalakshmi. M, Chief Manager, of Applicant Bank.

¶80

Exhibits on the part of the Applicant:

¶81

Exhibit Nos.	Date	Particulars of Documents
A1	29.12.2015	Loan Application
A2	29.12.2015	Sanction letter
A3	29.12.2015	Hypothecation agreement (ATL)
A4	29.12.2015	Under Taking
A5	29.12.2015	Term Loan agreement
A6	29.12.2015	Term Loan convenants
A7		O/c legal notice
A8		Original postal
A9		Postal Ack/cover
A10		Statement of account in regard to Account No.67347649737

¶82

Witness Examined for the Defendant:

¶83

-Nil -

¶84

List of Documents Exhibited for the Defendant: -Nil -

¶85

PRESIDING OFFICER

¶86

Sd/ (T. RAJESH)

State Bank of India v. Ravi. S

Case brief

What is this about?

What did the court decide?

State Bank of India v. Ravi. S

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 Raghbir Singh

Hdfc Bank versus Guzar Ahmad Wani

Punjab National Bank versus Sri Prasanta Ghosh

Ms North Malda Rice Mill and Anr. versus West Bengal Gramin Bank

Canara Bank versus Sannasiddappa Hanumappa Vaddar

Canara Bank versus Mayamma