Allowed

State Bank of India v. Jebber Khan

DRT16 May 2025TA/1448/2023

Case brief

AI extract

What is this about?

The Debt Recovery Tribunal allowed the applicant bank's original application for recovery of car loan dues against the defendant. The defendant remained in ex-parte status, leaving the bank's evidence unchallenged. The Tribunal ordered recovery of the principal, interest, and costs, with directions to sell assets if necessary.

What did the court decide?

Recovery of Rs. 14,70,538.36 plus interest and costs; liberty to sell personal assets; issuance of recovery certificate.

State Bank of India versus Jebber Khan — Consumer Protection | DRT (2025)

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T.A. No. 1448 of 2023

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16.05.2025

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IN THE DEBTS RECOVERY TRIBUNAL-III, CHENNAI

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Dated this the 16^th day of May, 2025

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Present: SMT. S.V. GOWRAMMA

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Presiding Officer

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TRANSFERRED APPLICATION No. 1448 of 2023

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(Originally filed before DRT- II, Chennai as OA 918/2019 and thereafter transferred to this Tribunal and renumbered as TA No 1448 of 2023)

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State Bank of India, Retail Assets Central Processing Centre (RACPC), No.4/952 & 4/952A, 3^rd Floor, Rajiv Gandhi Salai, OMR, Perungudi, Chennai -600 096, Rep. by its Chief Manager ….Applicant

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-Vs-

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Mr. Jabberkhan, S/o. Nayeemkhan, No.51/14, Bhavanikuppam, Srinivasapuram, Pattinampakkam, Chennai -600 028 …Defendant

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Counsels on record / appeared:

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Counsel for Applicant : M/s. N. Elumalai

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Defendant was set ex-parte on 05.04.2022.

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: - FINAL ORDER - :

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This original application is filed on 27.06.2019 by the applicant bank under Section 19 of Recovery of Debts and Bankruptcy Act, 1993 (formerly Recovery of Debts Due to Banks and Financial Institutions Act, 1993) against the defendant, jointly and severally for recovery of a total sum of

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Rs.14,70,538.36p (Rupees Fourteen Lakhs Seventy Thousand Five

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Hundred Thirty Eight and Thirty Six Paise Only) due in respect of Car

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T.A. No. 1448 of 2023

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16.05.2025

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Loan facility (Account No.36205093555) repayable together with an interest @ 9.75% p.a. with monthly rests from the date of Application till the date of realization in full and for costs of this OA.

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Originally, this Application was filed before DRT-II, Chennai, assigned OA No.918 of 2019, and thereafter in pursuance to the notification from Ministry of Finance, DFS dated 04.10.2022, OA No.918 of 2019 stood transferred to this Tribunal and renumbered as TA No.1448 of 2023.

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Brief F facts of the case:

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The Applicant submits that the application is filed within the period of limitation as prescribed under Section 24 of the Recovery of Debts and Bankruptcy Act, 1993, and the subject recovery claim falls within the jurisdiction of this Hon’ble Tribunal.

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It is the case of the Applicant Bank that originally the Defendant herein approached the State Bank of India, Velacherry Branch for the purpose of availing Car Loan and submitted Car loan application on 25.10.2016 for a loan amount or Rs.18,00,000/- and also executed the loan documents on 25.10.2016.

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It is further submitted that after scrutinizing the documents submitted by the defendant, the applicant bank had sanctioned the Car Loan of Rs.18 lakhs to the defendant on 25.10.2016.

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The Applicant Bank states that in connection with the sanction of the Car Loan, the defendant herein executed/produced the following documents.

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T.A. No. 1448 of 2023

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16.05.2025

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Proforma invoice dated 24.10.2016.

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Loan Application dated 25.10.2016.

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Arrangement letter dated 25.10.2016.

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Loan Cum Hypothecation Agreement dated 25.10.2016.

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The Applicant bank submitted that the defendant herein had undertaken to pay the EMI at Rs.29557.6p per month till the loan is fully repaid with interest. After obtaining the said car loan the defendant herein purchased a Mahindra XUV 500 vehicle and the same was registered before the RTO Chennai (South East). The registration Number of the said vehicle is TN 06 S 3881.

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It is further submitted by the applicant bank that subsequent to availing of loan, the defendant herein failed to discharge the above said loan amount in time and failed to pay the principal and interest, despite repeated requests and reminders by applicant bank. Hence, the loan account of the defendant was classified as NPA on 25.06.2018.

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The Applicant Bank caused a legal notice on 22.05.2019 calling upon the defendant to repay the outstanding dues and the said notice was duly served on the defendant. In spite of the same, the defendant has deliberately neglected to repay the said dues. Since the defendant failed to repay the loan liability, the loan records were transfer from State Bank of India, Velacherry Branch, situated at No.37A, Velacherry Main Road, Chennai (Home branch) to the applicant Bank viz., RACPC Branch, Perungudi, Chennai as an internal policy of bank, for effective and expeditious recovery of liability.

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The Applicant herein further states that having accepted the terms and conditions for grant of Car loan, the defendant neglected to pay the said amount and the defendant defaulted in performance of his obligations towards the loan despite several reminders sent to the defendant herein. Finally the defendant herein paid a sum of Rs.60,600/- to the bank on 06.02.2019 thereafter there was no repayment. Hence the present Original Application (OA) is filed for recovery of dues from defendants.

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After the filing of the OA, Summons was sent to the Defendant returned with remarks as “left”. Applicant bank had caused paper publication of the notice and filed proof thereof. When OA was taken up on 05.04.2022 even after giving sufficient time, there was no appearance or representation from the defendants. Hence, Defendant were placed exparte on 05.04.2022.

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Heard the submissions of Applicant Bank and perused the records.

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To prove the case of the Applicant Bank, Mr. A. Maniraja, Manager (SARC), RACPC of the Applicant Bank, has filed his Affidavit by way of evidence and same was considered as evidence of AW-1 and list of documents came to be marked as Ex A-1 to A-12 . As the Defendants remained ex-parte, the OA claim remains unchallenged. There is no contra evidence available on record to repudiate the claim of the Applicant Bank.

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With regard to the amount advanced, the interest applied, the conduct and operations in the account and the default committed, this Tribunal comes to the conclusion that the applicant bank is entitled for a

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T.A. No. 1448 of 2023

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final order on the following terms:

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: O R D E R :

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The OA is allowed with costs,

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(a) The applicant bank is allowed to recover from the Defendant, a sum of Rs.14,70,538.36p (Rupees Fourteen Lakhs Seventy Thousand Five Hundred Thirty Eight and Thirty Six Paise Only) due in respect of Car Loan facility (Account No.36205093555) repayable together with an interest @ 9.75% p.a. with monthly rests along with costs of this application.

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(b) The applicant bank is at liberty to sell the personal assets of the Defendant (both movable and immovable) to recover the balance dues as required under law for which the Defendant to disclose to the Tribunal particulars of other properties or assets owned by the Defendant.

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(c) The applicant bank shall file the latest memo of calculation of OA amount together with interest, costs etc., to be paid by the Defendants duly considering the amounts, if any, paid by the Defendant and/or amount realized by sale of assets etc., during the intervening period after the filing of the OA, enabling the Registry to prepare Recovery Certificate for the amount to be paid by Defendant to the applicant bank.

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(d) The applicant bank shall file memo of costs within ten days from the date of this final order.

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(e) Recovery Certificate shall be drawn up and issued to the

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T.A. No. 1448 of 2023

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Recovery Officer in terms of the final order.

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A copy of this order be communicated to the parties concerned.

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Sd/(S.V. GOWRAMMA) PRESIDING OFFICER, DRT-III, CHENNAI

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(Dictated to Steno (Surya), transcribed by him, corrected, signed and pronounced by me on this the 16^th day of May, 2025)

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ANNEXURES

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WITNESSES EXAMINED FOR THE APPLICANT BANK :

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AW-1: Mr. A. Maniraja, Manager (SARC), RACPC of the Applicant Bank Exhibits on the part of the Applicant:

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Sl. No.	Description of Documents	Exhibit No.
1.	Proforma invoice (Original) dated 24.10.2016.	A-1
2.	Loan Application (Original) dated 25.10.2016.	A-2
3.	Appraisal & Sanction (Original).	A-3
4.	Sanction Letter (Original) date 25.10.2016.	A-4
5.	Arrangement Letter (Original) 25.10.2016.	A-5
6.	Loan cum-Hypothecation Agreement (Original) dated 25.10.2016.	A-6
7.	Vehicle delivery Letter (Original) dated 25.10.2016.	A-7
8.	Tax-Invoice (Original) dated 27.10.2016.	A-8
9.	Vehicle RC (Vahan Copy).	A-9
10.	Legal Notice (Copy) dated 21.05.2019.	A-10
11.	Acknowledgment card (Original).	A-11
12.	Statement of account with interest calculation sheet (A/c. No.36205093555) and along with certificates (True extract) dated 25.10.2016 to 17.05.2019.	A-12

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Witness Examined for the Defendants: -Nil-

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List of Documents Exhibited for the Defendants: -Nil –

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T.A. No. 1448 of 2023

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SCHEDULE

NIL

Sd/(S.V. GOWRAMMA) PRESIDING OFFICER, DRT-III, CHENNAI

State Bank of India v. Jebber Khan

Case brief

What is this about?

What did the court decide?

State Bank of India v. Jebber Khan

Case brief

What is this about?

What did the court decide?

What the court decided

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Issues for consideration

Statutes considered

Parties & counsel

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