Allowed

State Bank of India v. Mr, Nagendra S S

DRT19 Jun 2025OA/976/2022

Case brief

AI extract

What is this about?

Tribunal allowed OA for issuance of recovery certificate. Applicant proved loan default via mortgage discharge. Awarded principal plus simple interest at 8.20%. Recovery directed from schedule property and personal assets of defendant.

What did the court decide?

Recovery Certificate drawn for Rs. 77,65,373 plus future/pendentalite interest @ 8.20% p.a. from date of OA. Sale of schedule property and liability of defendant's other assets.

State Bank of India versus Mr, Nagendra S S — Money Laundering | DRT (2025)

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IN THE DEBTS RECOVERY TRIBUNAL-II, BANGALORE

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Dated this 19^th Day of June, 2025

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PRESENT: SHRI T. RAJESH Hon’ble Presiding Officer

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O.A. No. 976 of 2022

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State Bank of India, Represented by its Chief Manager, Mrs. Daya S Naik, Stressed Asset Recovery Branch (SARB), J C Road, Bangalore- 560002. . . . Applicant

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Versus

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Mr. Nagendra S S, S/o Suri Bhatt S K, Aged about 44 Years, Residing at No. 127 Ground Floor, SeetaPreeti, Balaji Nagar, ICICI Bank Cross, Uttarahalli, Bangalore- 560061. ---Defendant Ld. Counsels on record / appeared :- Counsel for Applicants :- M/s. R & J Associates Counsel for Defendant :- EXPARTE

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The Application is filed Under Section 19 (1) of the Recovery of Debt And

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Bankruptcy Act, 1993 seeking for issuance of a Recovery Certificate for Rs.

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77,65,373/- (Rupees Seventy Seven Lakh Sixty Five Thousand Three

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OA 976/2022

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Hundred Seventy Three Only) due in the SBI Home loan of Rs. 60.00 lakhs

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and SBI Home Top up loan of Rs. 6.00 lakhs availed by the defendant and defaulted subsequently in gross violation of the terms and conditions stipulated in the loan agreement.

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It is stated that the credit facilities were secured by mortgage by deposit of title deeds, deed of undertaking and affidavit of declaration and indemnity. The applicant states that the agreed interest rate is @8.20% p.a.

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The Applicant further contents that despite availing the credit facility by obliging to pay back the amount, the defendant failed in compliance of the same and all the efforts of the Applicant to make the defendant pay back the amount failed forcing the Applicant to file this Application.

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Summons was taken out and as the defendant failed to appear he was set exparte on 21.11.2024 and evidence was adduced by the applicant through AW1, who filed proof affidavit, produced documents and got marked Ext.A1 to A18 list of which are annexed to this order.

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The Applicant evidence remain un-rebutted and hence proved. The documents produced by the Applicant are found to be admissible and are sufficient to prove the OA claim. Hence the Applicant is to be found entitled for the OA claim as the only issue as to the proof of OA claim is

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OA 976/2022

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answered in favour of the applicant. The OA claim is made within

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limitation and there is no capitalization of penal interest.

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Since the OA Claim is arrived at by calculating interest at agreed rate,

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which this Tribunal considers as on the higher side and by accounting penal and default interest, pendentalite and future interest is awarded at fixed rate.

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In view of the above

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i. OA 976 OF 2022 stands allowed

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ii. Applicant is permitted to recover an amount of Rs. 77,65,373/(Rupees Seventy Seven Lakh Sixty Five Thousand Three Hundred Seventy Three Only) with future and pendentalite interest @ 8.20% p.a. (Simple) from the date of filing of the OA till realization from the defendant personally after giving credit to all the amount recovered and received during the pendency of the OA.

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iii. The schedule property to be proceeded against and sold and if the sale proceeds are not sufficient the defendant personally and his other assets are liable to be produced against. The schedule to the OA to be the schedule to the Recovery Certificate.

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iv. A Recovery Certificate is to be drawn and issued to the recovery Officer to enable recovery of the as per the above terms.

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OA 976/2022

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v. Applicant is allowed to realize cost of the proceeding for which cost

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memo is to be filed in 7 days’ time from the date of receipt of the copy of the order.

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vi. 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 of

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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 AJ, transcribed by her, corrected, signed and pronounced by me in Virtual Court on this day of 19^th Day of June, 2025)

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Sd/-

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(T. RAJESH)

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Hon’ble Presiding Officer DRT-II- BANGALORE

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ANNEXURES

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WITNESSES EXAMINED FOR THE APPLICANT BANK:

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AW-1: Govind Laxman Ballal S/o Laxman , Chief Manager, of Applicant Bank.

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Exhibits on the part of the Applicant:

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Exhibit	Date	Particulars of Documents
Nos.
A1	29.05.2019	The application for SBI Home Loan
A2	07.06.2019	Sanction letter
A3	07.06.2019	Letter of arrangement
A4	07.06.2019	Affidavit
A5	07.06.2019	Deed of undertaking

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OA 976/2022

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A6	07.06.2019	Affidavit of declaration and indemnity
A7	07.06.2019	Agreement to mortgage
A8	07.06.2019	Memorandum of loan agreement for home loan granted topublic
A9	12.06.2019	Memorandum relatingto deposit of title deeds
A10	12.06.2019	Confirmation of deposit of title deeds
A11	24.02.2020	Application form for SBI Home TopUploan
A12	05.03.2020	Letter of arrangement
A13	05.03.2020	Topuploan agreement
A14	10.03.2020	Memorandum of Deposit for creation of deposit of title deed by way of extension of the scope of the alreadycreated and subsistingequitable mortgage
A15	17.03.2021 And 17.05.2022	Possession notice, legal notice and postal receipt
A16	--	Statement of Account No. 38510265490
A17	--	Statement of Account No. 39202907410
A18	--	Bankers Certificate

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Witness Examined for the Defendant: List of Documents Exhibited for the Defendant:

-Nil -

-Nil -

Sd/-

(T. RAJESH)

Hon’ble Presiding Officer DRT-II- BANGALORE

State Bank of India v. Mr, Nagendra S S

Case brief

What is this about?

What did the court decide?

State Bank of India v. Mr, Nagendra S S

Case brief

What is this about?

What did the court decide?

What the court decided

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