The DRT allowed the bank's claim for recovery of an NPA commercial vehicle loan. The tribunal granted a recovery certificate for the principal amount plus interest at 8% p.a. and directed attachment of the hypothecated vehicle.
Recovery Certificate issued for Rs. 39,23,585.68 plus 8% p.a. interest from filing date until realization.
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. 1054/2022
PRESIDED OVER BY MRIDULESH KUMAR SINGH
DATE OF INSTITUTION: 12.04.2022
DATE OF DECISION: 29.05.2026
HDFC Bank Limited, having its Registered Office at Senapati Bapat Marg, Lower Parel – (West), Mumbai -400013. Also at Plot No 28, HDFC Bank House, Industrial Area, Phase 1, Chandigarh, through its Authorised Representative, Sh. Rajendra Prasad.
……..Applicant Versus
Advocates:
Argued by Ms. Dipti Toni, Advocate for Applicant. (through VC)
None for Defendants (already ex-parte vide order dated 26.05.2026)
FINAL ORDER
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OA/1054/2022 HDFC BANK LIMITED VS. SH. HARBANS SINGH AND ANOTHER
vide Loan Application Form, which is Annexure A2 to this OA. Defendant no.2 stood as guarantor.
Documents executed: Statement of Account dated 14.03.2022, which is Annexure A4 to this OA; Copy of Legal Notice dated 19.03.2021, which is Annexure A5 to this OA; Original Postal Receipts, which are Annexures A6 & A7 to this OA.
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OA/1054/2022 HDFC BANK LIMITED VS. SH. HARBANS SINGH AND ANOTHER 9. It was argued by learned counsel, through video conferencing, 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 A7 to this OA, it is proved that the defendant no.1, approached the applicant for availing of the loan facility, which was granted to him. Defendant no.2 stood as guarantor. They had executed all the relevant documents in favour of the bank. The defendants failed to pay back the loan as per terms and conditions of the agreement between the parties. Subsequently, account of the defendants was classified as NPA. From the documentary evidence brought on record, it is proved that applicant is entitled to recover a sum of Rs.39,23,585.68 (Rupees Thirty Nine Lacs Twenty Three Thousand Five Hundred Eighty Five and Paise Sixty Eight Only), along with interest from the defendants, jointly and severally, from the date of filing of the present Original Application till realization of the amount. 10. In so far as pendente lite and future rate of interest is concerned, the applicant in relief clause has claimed interest @10.01% p.a. with monthly rests from 15.03.2022 till the realization. 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 hypothecated vehicle, undertaking of the defendants, 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 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 defendants are liable to pay to the applicant a total sum of Rs.39,23,585.68 (Rupees Thirty Nine Lacs Twenty Three Thousand Five Hundred Eighty Five and Paise Sixty Eight Only), jointly and severally, with costs, current and future simple interest @08.00%p.a. in the loan
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OA/1054/2022 HDFC BANK LIMITED VS. SH. HARBANS SINGH AND ANOTHER
account 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 vehicle of the defendant no. 1 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.
12. Any other application pending stands disposed of.
Dated: 29.05.2026.
(MRIDULESH KUMAR SINGH) Presiding Officer, DRT-III, Chandigarh
3 issues framed by the court
Whether the defendants are liable to repay the outstanding loan amount with interest.
What rate of interest should be granted pendente lite and in the future.
Whether the applicant is entitled to enforce the claim against the hypothecated vehicle.
1 provisions across 1 enactments
HDFC Bank Limited
Sh. Harbans Singh
Sh. Ram Singh
MRIDULESH KUMAR SINGH
As recorded by the court registry
Judgements on the same questions, provisions and authorities, from every court
