In an ex-parte hearing, the Tribunal allowed the applicant's Original Application filed under RDB Act. The court declared the respondents jointly and severally liable to pay Rs. 28,24,839.00 plus simple interest at 8% p.a.
Judgment in favour of the applicant in a sum of Rs.28,24,839.00 plus costs and simple interest at 8% p.a.
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.
DEBTS RECOVERY TRIBUNAL-III, CHANDIGARH
ORIGINAL APPLICATION NO. 156/2026
PRESIDED OVER BY MRIDULESH KUMAR SINGH
DATE OF INSTITUTION: 15.01.2026
DATE OF DECISION: 01.07.2026
Bank of Baroda, a body corporate, constituted under the Banking Companies (Acquisition and Transfer of Undertakings) Act, 1980, having its Head Office at Mandvi, Baroda, carrying on its business of banking throughout India and inter-alia, one of its Branch at Pakhowal Road, District Ludhiana, through its Authorized Officer and duly Constituted Power of Attorney Holder, Sh. Palvinder Singh, presently posted at Gurdev Nagar Branch of the Applicant Bank.
……..Applicant
Versus
Advocates:
Argued by Sh. Bhavya Sagar, Advocate for Applicant.
None for Defendants (already ex-parte vide order dated 25.06.2026)
FINAL ORDER
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OA/156/2026 BANK OF BARODA VS. M/S DEEP GARMENTS AND ANOTHER
vide General Power of Attorney of Sh. Palvinder Singh, which is Annexure A1 to this OA.
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OA/156/2026 BANK OF BARODA VS. M/S DEEP GARMENTS AND ANOTHER
From the perusal of all the Annexures A1 to A20 to this OA, it is proved that the defendant no.1, through its proprietor defendant no.2, approached the applicant for availing of the loan facility, which was granted to them. They had executed all the relevant documents in favour of the bank. The defendants failed to pay back the loan as per terms and conditions of the agreement between the parties. Subsequently, account of the defendants was classified as NPA. From the documentary evidence brought on record, it is proved that applicant is entitled to recover a sum of Rs.28,24,839.00 (Rupees Twenty Eight Lac Twenty Four Thousand Eight Hundred Thirty Nine 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. 10. In so far as pendente lite and future rate of interest is concerned, the applicant in relief clause has claimed interest @10.35% p.a. plus 2.00% p.a. penal interest with monthly rests from 31.12.2025 till the realization.
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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OA/156/2026 BANK OF BARODA VS. M/S DEEP GARMENTS AND ANOTHER
instant case including nature of the hypothecated assets, undertaking of the defendants, quantum of loan 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 the loan account 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.28,24,839.00 (Rupees Twenty Eight Lac Twenty Four Thousand Eight Hundred Thirty Nine Only), jointly and severally, with costs, current and future simple interest @08.00%p.a. in the loan account 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 of the 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.
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 16.07.2026 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: 01.07.2026.
(MRIDULESH KUMAR SINGH) Presiding Officer, DRT-III, Chandigarh
1 issue framed by the court
Whether the recovery debtor's failure to repay the sanctioned loan makes them liable to pay the outstanding amount with interest.
1 provisions across 1 enactments
Bank of Baroda
M/s Deep Garments
Sh. Deep Lal Mehto
MRIDULESH KUMAR SINGH
As recorded by the court registry
Judgements on the same questions, provisions and authorities, from every court
