Allowed

State Bank of India v. Sh. Angrej Singh

DRT27 Jan 2026OA/1475/2022

Case brief

AI extract

What is this about?

The Tribunal allowed the applicant's recovery application filed under RDB Act 1993 against the defendant for outstanding loans. It deems it appropriate to grant uniform simple interest at 8% p.a. and ordered a Recovery Certificate while permitting execution against mortgaged or personal assets. Hears a final word count of this summary to ensure it meets the 60-word limit requirement for the output

What did the court decide?

Recovery of Rs.21,48,033.00 with costs and uniform simple interest @8% p.a., Recovery Certificate issued.

State Bank of India versus Sh. Angrej Singh — Banking and Recovery | DRT (2026)

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DEBTS RECOVERY TRIBUNAL-III, CHANDIGARH

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ORIGINAL APPLICATION NO.1475/2022

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PRESIDED OVER BY MRIDULESH KUMAR SINGH

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DATE OF INSTITUTION: 12.07.2022

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DATE OF DECISION: 27.01.2026

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State Bank of India, a body corporate constituted under the State Bank of India Act, 1955 and having its Corporate Centre at State Bank Bhawan, Madame Cama Road, Nariman Point, Mumbai and having one of its Local Head Office at Sector-17, Chandigarh, including one such Branch at Samana (ADB), District Patiala through its Chief Manager Sh. Sandeep Kumar Bajaj.

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……..Applicant Versus

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Sh. Angrej Singh S/o Sh. Kandhara Singh, R/o Village Bhagwanpura, Tehsil Samana, District, Patiala.

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….……Defendant

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Advocates:

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Argued by Sh. Gaurav Singla, Advocate for Applicant (through VC) Defendant already ex parte vide order dated: 30.04.2024

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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 and Bankruptcy Act,1993, against the defendant for recovery of Rs.21,48,033.00 (Rupees Twenty One Lacs Forty Eight Thousand Thirty Three Only). The Original Application has been filed through Sh. Sandeep Kumar Bajaj, Manager of the applicant, who is competent to institute the Original Application in terms of Gazette Notification published in Gazette of India dated 26.09.1959, 26.08.1972 and 02.05.1987 under Regulation no.76 and 77 of State Bank of India General Regulation framed in exercise of the powers conferred by Sub Section (3) of Section 50 of the State Bank of India, Act, 1955 with the previous sanction of the Central Government. 2. The brief facts of the OA that the defendant approached the applicant for the grant of KCC Limit of Rs.3.00 Lacs and Agriculture

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2 OA/1475/ 2022 STATE BANK OF INDIA VS. ANGREJ SINGH

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Term Loan of Rs.4.00 Lacs under KGC vide Loan Applications dated 22.11.2013 which are Annexures A2 and A3 to this OA. Thereafter, the defendant approached the applicant for grant of Agriculture Term Loan of Rs.4.50 Lacs and Term Loan Rs.1.00 Lac for Debt Swap vide Loan Application dated 11.12.2015 and 18.12.2015, which are Annexures A4 and A5 to this OA.

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The applicant sanctioned KCC Limit of Rs.3.00 Lacs and Agriculture Term Loan of Rs.4.00 Lacs under KGC vide Letters of arrangement dated 27.11.2013, which are Annexures A6 and A7 to this OA. Thereafter, the applicant sanctioned another Agriculture Term Loan of Rs.4.50 Lacs under Rural Infrastructure Scheme and Term Loan of Rs.1.00 Lac for Debt Swap vide Letters of arrangement dated 17.12.2015, which are Annexures A8 and A9 to this OA. The terms and conditions were duly accepted by the defendant.

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Defendant mortgaged his immovable property i.e. Land Measuring 27Kanal-15Marla Situated at Village Khatriwala @ Bhagwanpura, Tehsil Samana, District Patiala, Punjab vide Mortgage Deed bearing wasika No. 2254, dated 04.12.2013, along with translations, which is Annexure A14 and A14A to this OA; Declaration under section 4(1) dated 17.12.2015, which is Annexure A16 to this OA; Mutation Sanction Letter dated 04.12.2013, along with Translations, which are Annexures A15 and A15A to this OA.

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Documents executed: Gazette Notification dated 20.03.2017 which is Annexure A1 to this OA; Hypothecation Agreements dated 06.12.2013 and 18.12.2015 which are Annexures A10 to A13 to this OA; Legal Notice dated 17.06.2022, along with Postal Receipts which is Annexure A17 to this OA; Statement of Accounts with account closure inquiry and certificate, which are Annexures A18 to A25 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 loan accounts there was

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3 OA/1475/ 2022 STATE BANK OF INDIA VS. ANGREJ SINGH

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a debit of Rs.21,48,033.00 which is recoverable and the defendant was

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served recall notices but he did not repay the outstanding amount, therefore, the applicant requested to accept the application and to issue Recovery Certificate accordingly.

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The defendant was served with notices to appear before this Tribunal but no one appeared on behalf of defendant and he was proceeded ex-parte vide order dated 30.04.2024

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In support of the OA, affidavit of Sh. Sandeep Kumar Bajaj, Chief Manager, State Bank of India has been filed.

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Heard ex-parte arguments and perused record.

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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 A25 to this OA, it is proved that the defendant approached applicant for availing of the loan facilities which was granted to him and for that he had executed all the relevant documents in favor of the bank. The defendant failed to pay back the loans as per terms and conditions of the agreement between the parties. Subsequently, accounts of the defendant were classified as NPA. From the documentary evidence brought on record, it is proved that applicant is entitled to recover a sum of Rs.21,48,033.00 (Rupees Twenty One Lacs Forty Eight Thousand Thirty Three Only) along with interest from the defendant, from the date of filing of the present Original Application till realization of the accounts.

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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 in KCC Loan along with pendent elite and future interest @7%p.a. with 2% penal interest and half yearly rests in KCC, interest @13.20%p.a. with 2% penal interest and half yearly rests in KGC, interest @12.60%p.a. with 2% penal interest and half yearly rests in Term Loan under Rural Infrastructure Scheme, interest @11.40%p.a. with 2% penal interest

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4 OA/1475/ 2022 STATE BANK OF INDIA VS. ANGREJ SINGH

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and half yearly rests in Term Loan under Debt Swap, w.e.f. 24.06.2022 till 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 mortgaged property/hypothecated assets, undertaking of the defendant, 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 uniform simple interest @08.00%p.a. in all 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 defendant is liable to pay to the applicant a total sum of Rs.21,48,033.00 (Rupees Twenty One Lacs Forty Eight Thousand Thirty Three Only) with costs, current and future simple interest @08.00%p.a. in all 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 assets/mortgaged properties of the defendant 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 defendant. 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.

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Issue Recovery Certificate accordingly.

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Parties to appear before Learned Recovery Officer of this

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Tribunal on 06.02.2026.

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5 OA/1475/ 2022 STATE BANK OF INDIA VS. ANGREJ SINGH

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Copy of this order be given Dasti to the applicant and be sent to defendant 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:27.01.2026. (MRIDULESH KUMAR SINGH) Presiding Officer, DRT-III, Chandigarh

State Bank of India v. Sh. Angrej Singh

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State Bank of India v. Sh. Angrej Singh

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