Allowed

Canara Bank v. Anjinamma

DRT9 Sept 2026OA/1250/2024

Case brief

AI extract

What is this about?

The Debts Recovery Tribunal allowed an Original Application filed by Canara Bank for a Recovery Certificate against Smt. Anjinamma. Finding the evidence uncontroverted, the Tribunal reduced the interest rate from the agreed amount to 6% simple interest and authorized recovery from the defendant's personal assets if mortgage proceeds were insufficient.

What did the court decide?

Recovery Certificate allowed for Rs. 20,35,700.64 with interest at 6% p.a. (simple) from date of filing, recoverable personally and against schedule properties.

Canara Bank versus Anjinamma — Contract and Commercial Disputes | DRT (2026)

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IN THE DEBTS RECOVERY TRIBUNAL II, KARNATAKA AT BENGALURU

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Dated this 09^th Day of September, 2026

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Present: Sri. T. RAJESH Presiding Officer

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OA.No.1250/2024

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BETWEEN:

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Canara Bank Branch office at: Viswanathapura, Devanahalli Taluk, Bengaluru – 562 110 Rep by its Chief Manager Mrs. Jayashree Damodaran …APPLICANT

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AND:

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Smt. Anjinamma W/o. Muniyappa Aged about 54 years R/at: Dinne Solur, Vishwanathpura, Devanahalli Taluk, Bengaluru Rural District – 562 110 ...DEFENDANT

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Counsel on record/appeared for: Applicant : Daivas Associates Defendant : Ex parte

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FINAL ORDER

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The present Original Application in short (OA) has been filed under section 19 of Recovery of Debts and Bankruptcy Act 1993 seeking for issuance of Recovery Certificate against the defendant for Rs 20,35,700.64/- (Rupees Twenty Lakhs Thirty-Five Thousand Seven Hundred and Paisa Sixty-Four Only) with further interest thereon from the date of filing the Application till realization.

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OA-1250/2024

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It is the case of the applicant that, the defendant is availed an AL-term loan of Rs. 13,00,000/- (Rupees Thirteen Lakhs Only) for construction & rearing of birds.

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It is also the case of the applicant that, in view of the above availed loan, the defendant executed the necessary loan documents along with simple mortgage deed.

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It is further contended that, despite availing the credit facility, agreeing to service the loan amount promptly and regularly, the defendant failed in complying the same, resulting in default in repayment and consequentially turning the loan accounts as NPA.

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In the above circumstances, the applicant approached this Tribunal by filing this OA seeking issuance of Recovery Certificate for the amount due in the account.

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Despite, service of summons on the defendant, he failed to appear, resulting the defendant being set ex parte on 24.03.2025.

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The applicant had let in evidence through AW-1, who filed Proof Affidavit reiterating the contentions taken in the OA and also produced Exhibits A-1 to A-9 and got the same marked in evidence.

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Heard the Ld. Counsel for the Applicant and considered the contentions as taken in the OA in the light of documentary evidence and proof affidavit.

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The following issues arise for consideration in this matter:

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i) Whether the applicant had succeeded in proving the OA

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OA-1250/2024

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claim as against the defendant?

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ii) What order are to be passed?

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Both these issues are gone into and decided together.

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The case put forth by the applicant in the Application remains

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unrebutted as defendant remained ex parte. The evidence tendered by the applicant remains uncontroverted and undisputed. The evidences put forth by the applicant were found admissible and are sufficient to prove availment of credit facility as stated in the OA, creation of the security interest and the defaults committed in the accounts. The liability of the defendant and the claim of the amount

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due are also proved by the above document. The claim of the applicant is well within the limitation.

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Hence in view of the findings arrived herein above, the Tribunal

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find both these issues are in favour of applicant and hence, this

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Tribunal is of the view that OA is to be allowed.

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Taking into consideration the facts that the credit facility is availed for Agricultural purpose and also that the OA claim is arrived at by calculating interest at the agreed rate, this Tribunal is the view

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that the OA can be allowed with a reduced interest of 6.00% (simple).

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In the result, OA.No.1250/2024 stands allowed,

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ii) The applicant is allowed to recover an aggregate sum of

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OA-1250/2024

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Rs. 20,35,700.64/- (Rupees Twenty Lakhs Thirty-Five Thousand Seven Hundred and Paisa Sixty-Four Only) with further interest @6.00 % p.a.(simple), from the date of filing OA till the realization, from the defendant personally, after giving credit to all the amounts recovered and received during the pendency of the OA and allowed the same to be recovered by proceeding against the schedule properties. Properties schedule to the OA be the schedule to the recovery certificate.

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ii) If the sale proceeds are not found sufficient to cover the amount due and payable to the applicant bank, the defendant personally and his assets are liable for all such amounts due under the loan accounts.

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iii) The applicant bank is allowed cost of the proceedings

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which applicant to file cost memo within 7 days from the date of receipt of the order.

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iv) The Recovery Certificate to be drawn in terms of this order and transferred to Recovery for execution.

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v) 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

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terms of Section 19(21)(i) of the RDB Act, read with Rule 16 of DRT

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OA-1250/2024

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(Procedure) Rules, 1993.

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[Dictated to the Stenographer (HS), transcribed by her, corrected and signed and pronounced by me in the Open Court, this the 09^th Day of September, 2026].

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Sd/-

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(T. RAJESH) PRESIDING OFFICER

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ANNEXURES

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WITNESSES EXAMINED FOR THE APPLICANT BANK:

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AW-1 Sri. Nitin Kumar, S/o. Shankar Lal, Manager, of Applicant Bank.

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Exhibits on the part of the Applicant:

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ANN EXU RES	Date	DESCRIPTION
A1	24.03.2015	Common application cum appraisal form credit facilities for agricultural loan
A2	24.03.2015	Sanction memorandum for agricultural short/long term loans
A3	24.03.2015	Memorandum of agreement for agricultural loans
A4	19.03.2015	Simple mortgage deed for agricultural adv advances
A5	24.01.2018	Letter of revival
A6	08.01.2021	Letter of revival
A7	05.12.2023	Letter of revival
A8	17.01.2024	Legal notice sent by RPAD
A9	10.01.2024	Statement of account along with 2A certificate no. 0475891000008
W	itness Exam	ined for the Defendant: -Nil

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List of Documents Exhibited for the Defendant:

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-Nil -

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Sd/-

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(T. RAJESH) PRESIDING OFFICER

Canara Bank v. Anjinamma

Case brief

What is this about?

What did the court decide?

Canara Bank v. Anjinamma

Case brief

What is this about?

What did the court decide?

What the court decided

A compact analysis

Issues for consideration

Statutes considered

Parties & counsel

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Case details

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