The Debts Recovery Tribunal allowed the Bank's Original Application for recovery of Rs. 41,17,230. The Court issued a Recovery Certificate and fixed simple interest at 8% per annum.
Recovery Certificate issued; recovery from hypothecated/mortgaged properties or personal assets granted; interest fixed at 8% p.a.
This page shows the compact analysis of this judgement. The full analysis — procedural history, issue-by-issue holdings with ratio and obiter, advocates, and paragraph-level evidence for every claim — is being added to the record in batches and will appear here when this judgement has been through it.
DEBTS RECOVERY TRIBUNAL-III, CHANDIGARH
ORIGINAL APPLICATION NO.950/2025
PRESIDED OVER BY MRIDULESH KUMAR SINGH
DATE OF INSTITUTION: 30.06.2025
DATE OF DECISION: 15.10.2025
Punjab Gramin Bank, a body corporate constituted under the Regional Rural Bank, Act, 1976 Act No.21, of 1976 having its Head Office at Markfed Road Kapurthala (Punjab) and having its branches at different places including one at Bholath, District Kapurthala (Punjab) through its Constituted Attorney/Manager Sh. Sandeep Singh.
……..Applicant Versus Sh. Dawinder Singh S/o Sh. Surjit Singh, Resident of Village Kamrai, PO Bholath, District Kapurthala, (Punjab).
….……Defendant
Advocates:
Argued by Sh. Bhushan Bhatia, Advocate for the applicant (through VC)
Defendant already ex-parte
FINAL ORDER
2 OA/950/2025 PUNJAB GRAMIN BANK VS SH.DAWINDER SINGH
Documents executed: - Hypothecation Agreement dated 15.04.2015, which is Annexure A4 to this OA; Notice dated 09.01.2023, which is Annexure A6 to this OA; BC Letters dated 14.02.2018,16.10.2020 & 15.02.2023, which are Annexures A7, A7/1 & A7/2 to this OA and Statement of account along with Certificate, which is AnnexureA8 to this OA.
3 OA/950/2025 PUNJAB GRAMIN BANK VS SH.DAWINDER SINGH
record which had gone unrebutted, the applicant had proved its case. From the perusal of all the Annexures A1 to A8 to this OA, it is proved that the defendant approached applicant for availing of the loan facility which was granted to him and for that he had executed all the relevant documents in favour of the bank. The defendant failed to pay back the loan as per terms and conditions of the agreement between the parties. Subsequently, account of the defendant was classified as NPA. From the documentary evidence brought on record, it is proved that applicant is entitled to recover a sum of Rs.41,17,230.00 (Rupees Forty One Lacs Seventeen Thousand Two Hundred Thirty Only) along with interest from the defendant, from the date of filing of the present Original Application till realization of the account.
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 defendant, quantum of loan 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 the loan account 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 defendant is liable to pay to the applicant a total sum of Rs.41,17,230.00 (Rupees Forty One Lacs Seventeen Thousand Two Hundred Thirty Only) with costs, current and future simple interest @08.00%p.a. in the loan account from the date of filing of OA till the
4 OA/950/2025 PUNJAB GRAMIN BANK VS SH.DAWINDER SINGH
| date of realization of the amount. Accordingly, the applicant shal | l be |
|---|---|
| entitled to recover aforesaid amount from the sale |
of |
| hypothecated/mortgaged properties of the defendant in execu | tion |
| proceedings if not sold earlier under the provisions of the SARFA | ESI |
| Act, 2002. If the dues of the still remain unsatisfied, it shall be enti | tled |
| to recover the same by attachment and sale of personal assets of | the |
| defendant. The applicant is at liberty to enforce the claim through process of law. |
due |
| 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 28.10.2025. | |
| 15.Copy of this order be given dasti to the applicant and be sen | t to |
| defendant through registered/speed post and this order be | also |
| uploaded on the official website of this Tribunal and record consigned. Pronounced by me in the open Tribunal. Dated: 15.10.2025 |
be |
| (MRIDULESH KUMAR SIN Presiding Offi |
GH) cer, |
| DRT-III, Chandig | arh |
2 issues framed by the court
Whether the applicant is entitled to a Recovery Certificate against the defendant for the outstanding loan amount.
Whether uniform simple interest is appropriate given the present market rates and nature of mortgaged property.
3 provisions across 3 enactments
Punjab Gramin Bank
Mridulesh Kumar Singh
As recorded by the court registry
Judgements on the same questions, provisions and authorities, from every court
Mridulesh Kumar Singh
Parties & counsel
