Allowed

State Bank of India v. Sh. Gopal and Another

DRT24 Mar 2026OA/1754/2025

Case brief

AI extract

What is this about?

This tribunal, sitting ex-parte, allowed an original application for the recovery of loan dues of Rs. 30.84 lakhs. The court ordered the issue of a recovery certificate and directed the recovery of the amount from the mortgaged flat or the respondent's personal assets upon failure to pay.

What did the court decide?

Issued Recovery Certificate and directed recovery of Rs.30,84,015.06 with interest via sale of mortgaged property or attachment of personal assets.

State Bank of India versus Sh. Gopal and Another — Execution and Attachment | DRT (2026)

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DEBTS RECOVERY TRIBUNAL-III, CHANDIGARH

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ORIGINAL APPLICATION NO.1754/2025

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PRESIDED OVER BY MRIDULESH KUMAR SINGH

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DATE OF INSTITUTION: 16.12.2025

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DATE OF DECISION: 24.03.2026

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State Bank of India, a body corporate constituted under the provisions of The State Bank of India Act, 1955 (23 of 1955) having its Central

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office at Madame Cama Road, Nariman Point, Mumbai and one of its Local Head office at Sector-17В, Chandigarh and one of its branches known as Retail Assets Centralized Processing Centre at Sector 5,

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Panchkula through its Deputy Manager Sh. Deepak Chand.

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……..Applicant

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Versus

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Sh. Gopal son of Sh. Kedar Singh, Resident of Village Chaunra Fagu, Shimla, Himachal Pradesh - 171209.

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2^nd Address: Village Sitta, Har Nuhran Ukhar, Kanhgra, Himachal Pradesh - 177104.

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3^rd Address: Flat no. B-102, 1st Floor, Sukhmani Enclave, Sector 127, Village Chhajumajra, Tehsil Kharar, District SAS Nagar Mohali - 140301.

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Sh. Joga Singh s/o Sh. Ujagar Singh, R/o House no. 63, Village Mankheri, Ropar, Tehsil Morinda, District Rupnagar, Punjab140143.

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.………. Defendants

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Advocates:

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Argued by Sh. Abhineet Taneja, Advocate for the applicant

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Defendants are ex-parte vide order dated 07.03.2026.

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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 defendants for recovery of Rs.30,84,015.06 (Rupees Thirty Lacs Eighty Four Thousand Fifteen & Paise Six Only). The Original

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2 OA/1754/2025 STATE BANK OF INDIA VS. GOPAL AND ANOTHER

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Application has been filed through Sh. Deepak Chand, Deputy Manager of the applicant, who is competent to institute the Original Application vide in term of the Gazette notification dated 26.09.1959, 02.05.1987 and 29.10.2005 issued by the Executive Committee of the Central Board in exercise of powers conferred on it under Regulation No. 76 and 77 of State Bank of India General Regulations, made by the RBI in exercise of powers conferred by the sub section 3 of Section 50 of the State Bank of India Act, 1955 with the previous sanction of the Central Government.

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The brief facts of the OA are that the defendant no.1 had approached the applicant for the grant of Home Loan of Rs.36.00 Lacs for purchasing a flat vide Loan application dated 23.10.2023, which is Annexure A1 to this OA.

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As per the OA defendant no. 2 removed the standard signage on the flats after execution of the Sale Deed, therefore, defendant no. 2 is impleaded as party in the present case with prayer to issue appropriate directions to him for putting up proper signage and for providing proper identification of the flats.

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The applicant sanctioned the Home Loan of Rs.35.20 Lacs vide arrangement letter dated 31.10.2023, which is Annexure A2 to this OA and terms and conditions were duly accepted by the defendants. 4. Defendant no.1 mortgaged his immovable property i.e. Residential Flat No. B-102 (share in area 0.75 Marla i.e. 1050 sq. ft.), 1^st Floor, Block B, situated at Sukhmani Enclave, Village Chhajumajra, Hadbast no. 33, Tehsil Kharar, District SAS Nagar, Mohali through equitable mortgage of sale deed no. 2023-24/15/1/13353 dated 17.11.2023, along with its translation, which is Annexure A5 to this OA; Jamabandi for the year 2017-18, along with its translation, which

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3 OA/1754/2025 STATE BANK OF INDIA VS. GOPAL AND ANOTHER

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is Annexure A6 to this OA; Agreement to mortgage dated 31.10.2023, which is Annexure A4 to this OA.

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Documents executed: Memorandum of loan agreement, dated 31.10.2023, which is Annexure A3 to this OA; Legal Notice Dated 25.11.2024, Which is Annexure A7 to this OA and Statement of Account along with certificate, which is Annexure A8 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.30,84,015.06, which is recoverable and the defendant no. 1 was 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 defendants were served notices to appear before this Tribunal but no one appeared on behalf of defendants and they were proceeded ex-parte vide order dated 07.03.2026.

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Thereafter, ex-parte arguments were heard on 11.03.2026 and case was posted for final order. Later, Sh. Shivpartap Singh Thakur, Advocate filed his Power of Attorney on behalf of defendant no. 1 on 19.03.2026 and also filed an IA no. 545/2026 on 19.03.2026 for recalling/setting aside order dated 07.03.2026 and 11.03.2026. Sh. Shivpratap Singh Thakur, Advocate appeared on behalf of defendant no. 1 today. The above IA was heard and vide separate order, the IA was dismissed today. 7. In support of the OA, affidavit of Sh. Deepak Chand, Deputy Manager, State Bank of India, has been filed. 8. Heard ex-parte arguments and perused record. 9. It was argued by learned counsel 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 A8 to this OA, it is proved that the defendant no. 1

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4 OA/1754/2025 STATE BANK OF INDIA VS. GOPAL AND ANOTHER

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approached applicant for availing of the loan facility which was granted to him and for that he had executed all the relevant documents in favour of the bank. The defendant no. 1 failed to pay back the loan as per terms and conditions of the agreement between the parties. Subsequently, account of the defendant no. 1 was classified as NPA. From the documentary evidence brought on record, it is proved that applicant bank is entitled to recover a sum Rs.30,84,015.06 (Rupees Thirty Lacs Eighty Four Thousand Fifteen & Paise Six Only), along with interest from the defendant no. 1, from the date of filing of the present Original Application till realization of the account.

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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 @7.40%p.a. with 2% penal interest and monthly rests from 08.11.2025 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 instant case including nature of the mortgaged property, undertaking of the defendant, 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 uniform simple interest @7.40%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.

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In the result, the application is allowed declaring that the defendant no. 1 is liable to pay to the applicant a total sum of Rs.30,84,015.06 (Rupees Thirty Lacs Eighty Four Thousand Fifteen & Paise Six Only), with costs, current and future simple interest @7.40%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

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5 OA/1754/2025 STATE BANK OF INDIA VS. GOPAL AND ANOTHER

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entitled to recover aforesaid amount from the sale of mortgaged property 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 defendant no. 1. 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 16.04.2026. 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: 24.03.2026

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(MRIDULESH KUMAR SINGH) Presiding Officer, DRT-III, Chandigarh

State Bank of India v. Sh. Gopal and Another

Case brief

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State Bank of India v. Sh. Gopal and Another

Case brief

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