The Tribunal allowed an application under Section 19 of the RDB Act for a recovery certificate. It reduced the interest rate to 12% simple and directed recovery jointly and severally from the defendants.
Recovery Certificate for Rs. 1,65,02,881/- with interest at 12% p.a. simple from date of OA till realization, recoverable jointly and severally from defendants.
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.
IN THE DEBTS RECOVERY TRIBUNAL II, KARNATAKA AT BENGALURU
Dated this 30th Day of June, 2026
Present: Sri. T. RAJESH Presiding Officer OA.No.1279/2023
BETWEEN:
Canara Bank No. 6, Temple Street, Jayalakshmipuram, Mysore – 570 012
Represented by its Chief Manager Mrs. Usha K K …APPLICANT
AND:
Counsel on record/appeared for:
Applicant : Prakasha Hegde K Defendants : Ex parte
,FINAL ORDER
under section 19 of Recovery of Debts and Bankruptcy Act 1993
2 OA-1279/2023
seeking issuance of Recovery Certificate against the defendants for Rs. 1,65,02,881/- (Rupees One Crore Sixty-Five Lakhs Two Thousand Eight Hundred and Eighty-One Only) with further interest thereon from the date of filing the Application till realization.
3 OA-1279/2023
claim as against the defendants?
ii) What order are to be passed?
Both these issues are gone into and decided together.
due are also proved by the above documents. The claim of the applicant is well within the limitation.
4 OA-1279/2023
find both these issues in favour of applicant and hence, this Tribunal
is of the view that OA is to be allowed.
Rs. 1,65,02,881/- (Rupees One Crore Sixty-Five Lakhs Two Thousand Eight Hundred and Eighty-One Only) with further interest @12.00% p.a.(simple) from the date of filing OA till the realization, from the defendants jointly, severally and personally, after giving credit to all the amount 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.
ii) If the sale proceeds are not found sufficient to cover the amount due and payable to the applicant bank, the defendants jointly, severally and personally and their assets are liable for balance amounts due under the loan accounts.
iii) The applicant bank is allowed cost of the proceedings
5 OA-1279/2023
which applicant to file cost memo within 7 days from the date of
receipt of the order
iv) The Recovery Certificate to be drawn in terms of this order
and transferred to Recovery for execution.
v) Interim application pending, if any, stands disposed of in
terms of this final order.
terms of Section 19(21)(i) of the RDB Act, read with Rule 16 of DRT
(Procedure) Rules, 1993.
[Dictated to the Stenographer (HS), transcribed by her, corrected and signed and pronounced by me in the Open Court, this the 30th Day of June, 2026].
Sd/-
ANNEXURES
WITNESSES EXAMINED FOR THE APPLICANT BANK:
AW-1: Mr. Srikanth D K, S/o. Srinivasa Murthy D K, Branch Manager, of Applicant Bank.
Exhibits on the part of the Applicant:
| Exhibit | Particulars |
|---|---|
| A1 | Loan application dated 15.09.2014 |
| A2 | Sanction letter dated 14.11.2014 |
| A3 | Demandpromissorynote dated 14.11.2014 |
| A4 | Request for overdraft facilities dated 14.11.2014 |
| A5 | Guarantee agreement dated 14.11.2014 |
| A6 | Letter of equitable deposit of title deed dated 14.11.2014 |
| A7 | Loan application |
| A8 | Letterof renewaldated10.02.2016 |
| A9 | Letter of revival dated 10.02.2016 |
6 OA-1279/2023
| A10 | Loan application dated 03.06.2017 |
|---|---|
| A11 | Officenote dated 03.07.2017 |
| A12 | Demand promissory note dated 03.07.2017 |
| A13 | Link letter in respect of enhancement of credit facilities dated 03.07.2017 |
| A14 | Supplemental agreement dated 03.07.2017 |
| A15 | Request for overdraft facilities dated 03.07.2017 |
| A16 | Guaranteeagreement dated 03.07.2017 |
| A17 | Letter of equitable deposit of title deed dated 03.07.2017 |
| A18 | Officenote dated18.07.2018 |
| A19 | Letter of renewal dated 18.07.2018 |
| A20 | Demand promissorynote dated18.07.2018 |
| A21 | Link letter in respect of enhancement of credit facilities dated 18.07.2018 |
| A22 | Request for overdraft facilities dated 18.07.2018 |
| A23 | Supplemental agreement dated 18.07.2018 |
| A24 | Guarantee agreement dated 18.07.2018 |
| A25 | Letterofequitable deposit oftitle deed dated18.07.2018 |
| A26 | Letter of revival dated 18.07.2018 |
| A27 | Loan application dated 23.10.2019 |
| A28 | Letter of renewal dated 24.10.2019 |
| A30 | Link letter in respect ofenhancement ofcreditfacilities dated 24.10.2019 |
| A31 | Supplemental agreement dated 24.10.2019 |
| A32 | Guaranteeletterdated 24.10.2019 |
| A33 | Letter of equitable deposit of title deed dated 24.10.2019 |
| A34 | Loan application for re construction dated 28.06.2019 |
| A35 | Debt restructuring agreement dated 28.06.2019 |
| A36 | Debtor creditor agreement dated 28.06.2019 |
| A37 | Loan applicationdated 09.07.2020 |
| A38 | Agreement cum deed of hypothecation dated 06.07.2020 |
| A39 | Offer letter forguaranteed emergency creditline (GECL) dated 09.07.2020 |
| A40 | Letter of guarantee dated 09.07.2020 |
| A41 | Letterofequitable deposit oftitle deed dated 09.07.2020 |
| A42 | Statement of account |
| A43 | Statement of account |
| A44 | Statement of account |
| A45 | Statement of account |
| A46 | Legal notice |
| A47 | Returned covers |
Witness Examined for the Defendants:
-Nil -
List of Documents Exhibited for the Defendants:
-Nil -
Sd/-
2 issues framed by the court
Whether the applicant succeeded in proving the claim against the defendants?
What order is to be passed in the Original Application?
Canara Bank
M/s. Star Horizon Consulting
Dr. Srinivasa Burra
As recorded by the court registry
Judgements on the same questions, provisions and authorities, from every court
