Allowed

Indian Bank v. Smt. Kulwinder Kaur and Others

DRT25 Sept 2025OA/972/2025

Case brief

AI extract

What is this about?

DRD-III, Chandigarh allowed the applicant's recovery application against three respondents. The court declared respondents liable to pay dues of Rs.51,30,326.00p with simple interest at 08.00% p.a. and ordered the issuance of a recovery certificate under the RDB Act, 1993.

What did the court decide?

Decree for recovery of Rs.51,30,326.00p at 8% p.a. interest; Recovery Certificate issued; liberty to enforce via SARFAESI Act or attachment.

Indian Bank versus Smt. Kulwinder Kaur and Others — Banking and Recovery | DRT (2025)

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DEBTS RECOVERY TRIBUNAL-III, CHANDIGARH

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ORIGINAL APPLICATION NO.972/2025

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PRESIDED OVER BY MRIDULESH KUMAR SINGH

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DATE OF INSTITUTION: 22.07.2025

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DATE OF DECISION: 25.09.2025

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Indian Bank, (erstwhile Allahabad Bank), a body corporate constituted under the Banking Companies, (Acquisition & Transfer of Undertakings) Act, 1970 having its corporate office at 254-260, Avvai Shanmugam Salai, Royapettah, Chennai-600014 and a branch amongst at Near Old Bus Stand, Pratap Colony, Samana, District Patiala, Punjab through Sh. Jaspreet Singh, Branch Manager, Authorized by Applicant.

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……..Applicant Versus

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Smt. Kulwinder Kaur W/o Late Sh. Joginder Singh, R/o House No.375/5, Indera Puri, Tehsil Samana, District Patiala, Punjab. Alternative address: House No.290, Ward No.6, Preet Nagar, Tehsil Samana, District Patiala, Punjab.

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Sh. Mandip Singh S/o Late Sh. Joginder Singh, R/o House No.375/5, Indera Puri, Tehsil Samana, District Patiala, Punjab.

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Sh. Jagjit Singh S/o Late Sh. Joginder Singh, R/o House No.375/5, Indera Puri, Tehsil Samana, District Patiala, Punjab.

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………. Defendants

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Advocates:

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Argued by Ms. Lovedeep Kaur, Advocate proxy for Ms. Puja Sharma, Advocate for the applicant

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Defendants already 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.51,30,326.00p (Rupees Fifty One Lacs Thirty Thousand Three Hundred Twenty Six Only). The Original Application has been filed through Sh. Jaspreet Singh, Branch Manager, who is competent to institute the Original Application vide

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OA NO.972/2025 INDIAN BANK VS SMT.KULWINDER KAUR AND OTHERS

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Letter of authority dated 10.07.2025, which is Annexure A1 to this OA. 2. The brief facts of the OA are that the defendant no.1 & 2 had approached the applicant for the grant of KCC Limit of Rs.15.00 Lacs vide Loan applications dated 06.03.2012, which is Annexure A2 to this OA. The defendant no. 3 stood as guarantor. Thereafter, the defendants approached the applicant for restructuring of the interest of KCC . 3. The applicant sanctioned the KCC Limit of Rs.15.00 Lacs vide Sanction letters dated 06.03.2012, which is Annexures A3 to this OA and the terms and conditions were duly accepted by the defendants vide acknowledgement letter dated 06.03.2012, which is Annexure A3A to this OA. Thereafter, the applicant restructured the interest of KCC to Term Loan of Rs. 9.54 Lacs vide sanctioned letter dated 31.07.2018, which is Annexure A9 to this OA. 4. Defendant no.1 had mortgaged her immovable properties i.e. total land meaning 20k-00M situated at Village Sutrana, Tehsil Patra, District Patiala, Punjab vide Mortgaged Deed bearing vasika no.6021 dated 09.03.2012, along with its translations, which is Annexure A7 & A7-T to this OA. Documents executed : - Acknowledgement letter dated 06.03.2012, 16.02.2015, 07.02.2018, 05.03.2020 & 08.02.2023, which are Annexures A3-A & A8 to this OA; DP Note dated 13.03.2012, which is Annexures A4 to this OA; Hypothecation agreement, Deed of guarantee, both dated 12.03.2012 which are Annexures A5 and A6 to this OA; Recall notice dated 02.07.2025, which is Annexure A10 to this OA; Legal notice dated 05.07.2025 & 16.07.2025, which is Annexure A11 to this OA and Statement of account, which are Annexures A12 & A12-A to this OA. 5. The loan accounts became irregular and were classified as NPA and after adjusting debit and credit entries in loan accounts there was a debit of Rs.51,30,326.00p, which is recoverable and the defendants were served recall notices but they did not repay the outstanding

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OA NO.972/2025 INDIAN BANK VS SMT.KULWINDER KAUR AND OTHERS

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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 19.09.2025.

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In support of the OA, affidavit of Sh. Jaspreet Singh, Branch Manager, Indian Bank, has been filed.

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Heard ex-parte arguments and perused record.

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It was argued by learned Proxy 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 A12 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.51,30,326.00p (Rupees Fifty One Lacs Thirty Thousand Three Hundred Twenty Six Only). along with interest from the defendants, jointly and severally, from the date of filing of the present Original Application till realization of the accounts.

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In so far as pendente lite and future rate of interest is concerned, the applicant in relief clause has claimed interest @14.10% in KCC & @11.25% in Term Loan with 2% penal interest, with Half yearly rests from 10.07.2025 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

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OA NO.972/2025 INDIAN BANK VS SMT.KULWINDER KAUR AND OTHERS

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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.51,30,326.00p (Rupees Fifty One Lacs Thirty Thousand Three Hundred Twenty Six 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 applicant still remain unsatisfied, it shall be entitled to recover the 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.

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12. Any other application pending stands disposed of.

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Issue Recovery Certificate accordingly.

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Parties to appear before Learned Recovery Officer of this Tribunal on 17.10.2025.

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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.

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Pronounced by me in the open Tribunal .

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Dated: 25.09.2025

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(MRIDULESH KUMAR SINGH)

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Presiding Officer,

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DRT-III, Chandigarh

Indian Bank v. Smt. Kulwinder Kaur and Others

Case brief

What is this about?

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Indian Bank v. Smt. Kulwinder Kaur and Others

Case brief

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