Allowed

Yes Bank Limited v. M/S Samrat Trading Co. and Others

DRT22 Jun 2026OA/1287/2025

Case brief

AI extract

What is this about?

The Tribunal allowed the recovery application filed by Yes Bank against the defaulting borrowers and their guarantors, declaring them liable to pay the outstanding principal amount with costs and a reduced simple interest rate of 8% per annum.

What did the court decide?

Order for recovery of Rs.44,94,707.65 with costs and simple interest @8% p.a.; issuance of Recovery Certificate.

Yes Bank Limited versus M/S Samrat Trading Co. and Others — Banking and Recovery | DRT (2026)

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DEBTS RECOVERY TRIBUNAL-III, CHANDIGARH

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ORIGINAL APPLICATION NO.1287/2025

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PRESIDED OVER BY MRIDULESH KUMAR SINGH

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DATE OF INSTITUTION: 15.09.2025

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DATE OF DECISION: 22.06.2026

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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 B-XXX/2427/928, 1^st Floor, Gobind Nagar, Ferozepur Road, Ludhiana, Punjab - 141001 through its Senior Manager, Sh. Aashiv Bhayana.

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……..Applicant

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Versus

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M/s Samrat Trading Co. through its proprietor Sh. Amandeep, Near RTO Office, Champa Puri, Charkhi Dadri, District Bhiwani, Haryana-127306.

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Sh. Amandeep S/o Sh. Hari Om, proprietor M/s Samrat Trading Co., R/o Village Mandoli (80), Charkhi Dadri, District Bhiwani, Haryana - 127306.

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Sh. Hari Om S/o Sh. Sawat Ram, R/o Village Mandoli (80), Charkhi Dadri, District Bhiwani, Haryana - 127306.

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……. .Defendants

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Advocates:

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Argued by Sh. Rahul Garg, Advocate for the applicant (through VC) None for Defendants (Already ex-parte vide order dated 15.05.2026).

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FINAL ORDER

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Present Original Application was instituted by the applicant bank under Section 19 of the Recovery of Debts and Bankruptcy Act 1993, against the defendants for recovery of Rs.44,94,707.65 (Rupees Forty Four Lacs Ninety Four Thousand Seven Hundred Seven and Paise Sixty Five Only). The Original Application has been filed through Sh. Aashiv Bhayana, Senior Manager of the applicant bank, who is competent to

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2 OA NO.1287/2025 YES BANK LTD. VS M/S SAMRAT TRADING COMPANY AND OTHERS 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 defendant no. 1 through its proprietor defendant no. 2 and defendant no. 3 approached the applicant for grant of Term Loan Facility for purchase of Commercial Vehicle of Rs.46,80,000.00 vide Loan Application Form dated 08.02.2022, which is Annexure A2 to this OA. Thereafter, the defendant no. 1 through its proprietor defendant no. 2 and defendant no. 3 approached the applicant for grant of Term Loan Facility for purchase of Commercial Vehicle of Rs.48,60,000.00 vide Loan Application Form dated 20.06.2023, which is Annexure A5 to this OA. 3. The applicant sanctioned the Term Loan Facility for purchase of Commercial Vehicle of Rs.48,09,453.00 and terms and conditions were duly accepted by the defendants vide Agreement dated 12.04.2022, which is Annexure A4 to this OA. Thereafter, the applicant sanctioned the Term Loan Facility for purchase of Commercial Vehicle of Rs.48,96,346.00 and terms and conditions were duly accepted by the defendants vide Agreement dated 03.07.2023, which is Annexure A7 to this OA.

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Defendant no. 1 through its proprietor defendant no.2 hypothecated its Movable Assets i.e.,

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(i) TATA SIGNA 5530 bearing Registration No. HR846002, Chassis No. MAT828016N3A02841, Engine No. B6.7B6A300D02122A64189796 vide Tax Invoice dated 08.04.2022, which is Annexure A3 to this OA and Virtual Registration Copy filed on 30.05.2026 in compliance of order dated 30.05.2026.

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(ii) TATA SIGNA 5530 bearing Registration No. HR845210, Chassis No. MAT828045P2F14826, Engine No. B6.7B62300D02132F64301162 vide Tax Invoice dated 30.06.2023, which is Annexure A6 to this OA and Virtual Registration Copy filed on 30.05.2026 in compliance of order dated 30.05.2026.

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Documents executed : Recall Notices dated 03.09.2024, 07.10.2024, which is Annexure A8 to this OA; Statement of accounts along with certificates, which are Annexures A9 & A10 to this OA.

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3 OA NO.1287/2025

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YES BANK LTD. VS M/S SAMRAT TRADING COMPANY AND OTHERS

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The loan accounts became irregular and were classified as NPA and after adjusting debit and credit entries in loan accounts, there was a debit of Rs.44,94,707.65, 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 the defendants and they were proceeded ex-parte vide order dated 15.05.2026. 7. In support of the OA, affidavit of Sh. Aashiv Bhayana, Senior Manager, YES Bank Ltd. h as been filed.

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Heard ex-parte arguments and perused record. 9. 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 A10 to this OA, it is proved that the defendant no. 1 through its proprietor defendant no. 2 and defendant no. 3 approached applicant for availing of the 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.44,94,707.65 (Rupees Forty Four Lacs Ninety Four Thousand Seven Hundred Seven and Paise Sixty Five 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 in the loan accounts from 05.07.2025 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

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4 OA NO.1287/2025

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YES BANK LTD. VS M/S SAMRAT TRADING COMPANY AND OTHERS

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instant case including nature of the hypothecated assets, 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 @08.00%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. 11. In the result, the application is allowed declaring that the defendants are liable to pay to the applicant a total sum of Rs.44,94,707.65 (Rupees Forty Four Lacs Ninety Four Thousand Seven Hundred Seven and Paise Sixty Five Only), jointly and severally, with costs, current and future simple interest @8.00%p.a. in both the loan accounts 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 vehicles 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 07.07.2026. 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: 22.06.2026 (MRIDULESH KUMAR SINGH) Presiding Officer, DRT-III, Chandigarh

Yes Bank Limited v. M/S Samrat Trading Co. and Others

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Yes Bank Limited v. M/S Samrat Trading Co. and Others

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