Allowed

Yes Bank Ltd. v. Sh. Vijay and Another

DRT8 Sept 2026OA/1084/2026

Case brief

AI extract

What is this about?

In an ex-parte original application filed under Section 19 RDB Act 1993, the Tribunal held the respondents jointly and severally liable for a loan defaul of Rs.31,05,431.88. It directed recovery with simple interest at 8% p.a. pending realization.

What did the court decide?

Recovery of Rs.31,05,431.88 jointly and severally with simple interest @8% p.a. till realization; direction to recover via sale of hypothecated vehicle.

Yes Bank Ltd. versus Sh. Vijay and Another — Banking and Recovery | DRT (2026)

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DEBTS RECOVERY TRIBUNAL-III, CHANDIGARH

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ORIGINAL APPLICATION NO.1084/2026

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PRESIDED OVER BY MRIDULESH KUMAR SINGH

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DATE OF INSTITUTION: 22.07.2026

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DATE OF DECISION: 08.09.2026

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YES BANK LTD, a banking company, carrying on the banking business under the Banking Regulation Act, 1949, incorporated under The Companies Act, 1956 and having its Registered Office at Yes Bank House, Western Express Highway, Anand Nagar, Vakola, Santacruz (E) Mumbai - 400055 and one of its Branch Offices amongst other places known as Yes Bank Ltd. situated in SCO No.129-130, 2^nd Floor, Sector 9-C, Near Citco Petrol Pump, Chandigarh - 160009 through its Senior Manager, Sh. Aashiv Bhayana.

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……..Applicant

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Versus

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Sh. Vijay S/o Sh. Mahinder Kumar, R/o H. No. B 8/124, N/R Division No.4, Karkhas Colony, Patiala, Punjab - 147001.

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Sh. Mohinder Kumar S/o Sh. Ishwar Chand, R/o H.No. B 8/124, N/R Division No. 4, Karkhas Colony, Patiala, Punjab - 147001.

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…….. Defendants

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Advocates:

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Argued by Sh. Sukhvinder Singh Chaudhary, Advocate for the applicant (through VC)

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None for defendants (Already ex-parte vide order dated 02.09.2026).

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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 & Bankruptcy Act 1993, against the defendants for recovery of Rs.31,05,431.88 (Rupees Thirty One Lacs Five Thousand Four Hundred Thirty One and Paise Eighty Eight Only). The Original Application has been filed through Sh. Aashiv Bhayana, Senior Manager of the applicant, who is competent to

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2 OA NO.1084/2026 YES BANK LTD. VS SH. VIJAY AND ANOTHER

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institute the Original Application vide Power of Attorney, dated 28.03.2025, which is Annexure A1 to this OA.

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The brief facts of the OA are that the defendants approached the applicant for grant of Term Loan facility against hypothecation of used vehicle of Rs.28,00,000.00 vide Application Form, dated 28.05.2025, which is Annexure A2 to this OA.

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The applicant sanctioned the Term Loan facilities against hypothecation of used vehicle of Rs.14,08,038 and of Rs.14,91,962 and the terms and conditions were duly accepted by the defendants vide Terms and Conditions applicable to Vehicle Loans, both dated 30.06.2025, which are Annexures A3 & A4 to this OA. 4. Defendant no. 1 hypothecated h is Movable Asset i.e., Vehicle namely Mahindra Scorpio, bearing Engine No. YDR4D63212, Chassis No. MA1TJ2YD6R6D56807, Registration No. PB11DG3557, vide Virtual Registration Certificate, which is Annexure A5 to this OA. Documents executed: Legal Notice, dated 20.05.2026, along with postal receipts, which is Annexure A6 to this OA; Statement of Accounts along with certificates, which are Annexures A7 & A8 to this OA.

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The loan accounts became irregular and were classified as NPA and after adjusting debit and credit entries in the loan accounts there was a debit of Rs.31,05,431.88, which is recoverable and the defendants were served recall notices but they did not repay the outstanding amount, therefore, the applicant requested to accept the application and to issue Recovery Certificate accordingly. 6. The defendants were served summons to appear before this Tribunal but no one appeared on behalf of defendants and they were proceeded ex-parte vide order dated 02.09.2026. 7. In support of the OA, affidavit of Sh. Aashiv Bhayana, Senior Manager, Yes Bank Ltd. has been filed. 8. Heard ex-parte arguments and perused record.

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3 OA NO.1084/2026 YES BANK LTD. VS SH. VIJAY AND ANOTHER

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It was argued by learned counsel for applicant 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 A8 to this OA, it is proved that the defendants approached applicant for availing of 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, loan accounts were classified as NPA. From the documentary evidence brought on record, it is proved that applicant is entitled to recover a sum of Rs.31,05,431.88 (Rupees Thirty One Lacs Five Thousand Four Hundred Thirty One and Paise Eighty 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.

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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 @24.00%p.a. with monthly rests, 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 hypothecated asset, undertaking of the defendants, quantum of loans 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 @8.00%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.

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In the result, the application is allowed declaring that the defendants are liable to pay to the applicant sum of Rs.31,05,431.88 (Rupees Thirty One Lacs Five Thousand Four Hundred Thirty One and Paise Eighty Eight Only), jointly and severally, with costs, current and future simple interest @8.00%p.a. in both the loan accounts from the

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4 OA NO.1084/2026 YES BANK LTD. VS SH. VIJAY AND ANOTHER

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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 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.

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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 19.09.2026. 15. 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. Pronounced by me in the open Tribunal . Dated: 08.09.2026 (MRIDULESH KUMAR SINGH) Presiding Officer,

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DRT-III, Chandigarh

Yes Bank Ltd. v. Sh. Vijay and Another

Case brief

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Yes Bank Ltd. v. Sh. Vijay and Another

Case brief

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