The Debts Recovery Tribunal allowed the bank's application for recovery of outstanding dues. Judging that market rates had declined, the court awarded simple interest at 8% p.a. and ordered joint and several liability for repayment.
Defendants declared liable to pay Rs. 37,39,267.36 with simple interest @8% p.a. Recovery Certificate issued.
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. 169/2026
PRESIDED OVER BY MRIDULESH KUMAR SINGH
DATE OF INSTITUTION: 20.01.2026
DATE OF DECISION: 23.07.2026
Bank of Baroda (erstwhile Vijaya Bank), a Body Corporate constituted under the Banking Companies (Acquisition and Transfer of Undertakings) Act, 1970 having its Head Office at Mandvi, Baroda and one of its Branches known as Sunder Nagar Branch, Ludhiana, Punjab through its Constituted Attorney, Sh. Narendra Mehra, Branch Manager, Bank of Baroda, Sunder Nagar Branch, Ludhiana, Punjab and who is also the Principal Officer
……..Applicant
Versus
Advocates:
Argued by Sh. Ashok Kumar Verma, Advocate for applicant
None for defendants (already ex-parte vide order dated 21.07.2026)
FINAL ORDER
2 OA/169/2026 BANK OF BARODA VS. M/S BANSAL INDUSTRIES AND OTHERS
Thirty Six Only). The Original Application has been filed through Sh. Narendra Mehra, Branch Manager of the applicant, who is competent to institute the Original Application vide Power of Attorney dated 18.08.2015, which is Annexure A2 to this OA. 2. The brief facts of the OA are that defendant no. 1 through its Proprietor defendant no. 2 approached the applicant for grant of CC Limit of Rs. 15.00 Lacs. 3. The applicant sanctioned CC Limit of Rs. 15.00 Lacs vide Sanction Letter dated 19.12.2017, which is Annexure A3 to this OA and the terms and conditions were duly accepted by the defendants. Defendant nos. 3 and 4 stood as guarantors. 4. Defendant no. 2 mortgaged her immovable property i.e. Land measuring 123 11/18 Sq. Yards situated at Dholewal, Ram Nagar, Tehsil and District Ludhiana, Punjab vide Title Deed bearing vasika no. 13206 dated 13.09.2012 along with its translation, which is Annexure A11 to this OA. Defendant no. 1 through its Proprietor defendant no. 2 hypothecated their stock of fabricated metals, machinery and raw materials vide Loan Agreement cum Hypothecation Deed dated 19.12.2017, which is Annexure A8 to this OA. Documents Executed: Notification dated 02.01.2019, which is Annexure A1 to this OA; DP Note, Letter of Repayment, Letter of Authorization, Agreement for Demand and Letters of Guarantee, all dated 19.12.2017, which are Annexure A4 to A7, A9 and A10 to this OA; Acknowledgment of Liability dated 21.12.2019, which is Annexure A12 to this OA; Acknowledgment of Debt dated 13.04.2022 and 03.04.2025, which are Annexure A13 and A14 to this OA and Statement of Account, which is Annexure A15 to this OA. 5. The loan account became irregular and was classified as NPA and after adjusting debit and credit entries in loan account there was a debit of Rs. 37,39,267.36 which is recoverable and the defendants were served recall notice but they did not repay the outstanding amount, therefore, the applicant requested to accept the application and to issue Recovery Certificate accordingly.
3 OA/169/2026
BANK OF BARODA VS. M/S BANSAL INDUSTRIES AND OTHERS
4
OA/169/2026
BANK OF BARODA VS. M/S BANSAL INDUSTRIES AND OTHERS
realization of the amount ordered vide this final order. It is ordered accordingly.
12. Any other application pending stands disposed of.
Pronounced by me in the open Tribunal . Dated: 23.07.2026
(MRIDULESH KUMAR SINGH)
Presiding Officer, DRT-III, Chandigarh
3 issues framed by the court
Whether the applicant is entitled to recover the outstanding dues of Rs. 37,39,267.36 from the defendants jointly and severally.
Whether the Tribunal can vary the rate of claimed interest to 8% per annum in its discretion.
Whether a Recovery Certificate can be issued against the defendants in execution proceedings.
1 provisions across 1 enactments
Bank of Baroda, Sunder Nagar Branch, Ludhiana
M/s Bansal Industries, Ludhiana
Smt. Kulwinder Kaur
Sh. Gurpreet Singh
Sh. Gurdeep Singh
Mridulesh Kumar Singh
As recorded by the court registry
Judgements on the same questions, provisions and authorities, from every court
