Allowed

State Bank of India v. Ms. Simran Bhardwaj and Another

DRT27 Mar 2026OA/1756/2025

Case brief

AI extract

What is this about?

This Original Application under RDB Act allowed State Bank of India to recover Rs.34,84,207.19 from a defendant who defaulted on a home loan. The tribunal granted recovery via sale of mortgaged property or attachment of assets and fixed interest at 07.40% p.a.

What did the court decide?

Recovery of Rs.34,84,207.19 with interest @07.40% p.a. via sale of mortgaged property or attachment of personal assets; Recovery Certificate issued.

State Bank of India versus Ms. Simran Bhardwaj and Another — Banking and Recovery | DRT (2026)

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DEBTS RECOVERY TRIBUNAL-III, CHANDIGARH

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ORIGINAL APPLICATION NO.1756/2025

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PRESIDED OVER BY MRIDULESH KUMAR SINGH

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DATE OF INSTITUTION: 17.12.2025

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DATE OF DECISION: 27.03.2026

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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) and having its Central Office at Madame Cama Road, Nariman Point, Mumbai and one of its Local Head Office at Sector 17B, Chandigarh and one of its branches known as Retail Assets Centralized Processing Centre at Sector 5, Panchkula, through its Deputy Manager, Sh. Deepak Chand.

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……..Applicant

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Versus

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Ms. Simran Bhardwaj, D/o Sh. Madan Bhardwaj, R/o Flat no. 710, 1^st Floor, Dashmesh Enclave, Tehsil Zirakpur, District SAS Nagar- 140603

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2^nd Address: House no. 3452/2, Sector 35D, Chandigarh– 160036

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3^rd Address: Flat no. A-21, 2^nd Floor, Block A, Sector 127, Sukhmani Enclave, Village Chhajumajra, Tehsil Kharar, District SAS Nagar- 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 Ms. Seerat Sharma, Advocate proxy for Sh. Abhineet Taneja, Advocate for applicant

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Defendants already ex-parte vide order dated 11.03.2026

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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 defendant for recovery of Rs.34,84,207.19 (Rupees Thirty

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OA/1756/2025

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STATE BANK OF INDIA VS. SIMRAN BHARDWAJ AND ANOTHER

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Four Lacs Eighty Four Thousand Two Hundred Seven and Paise Nineteen Only). The Original Application has been filed through Sh. Deepak Chand, Deputy Manager, o f the applicant, who is competent to institute the Original Application in the terms of 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 and under Regulations no. 76 & 77 of State Bank of India General Regulations made by the Reserve Bank of India in exercise of 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.

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The brief facts of the OA that the defendant no. 1 had approached the applicant for the grant of Home Loan of Rs.36.00 Lacs vide Loan Application dated 29.01.2024 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 Home Loan of Rs. 35.20 Lacs vide Arrangement Letter dated 31.01.2024, which is Annexure A2 to this OA and the terms and conditions were duly accepted by the defendant. 4. Defendant no. 1 mortgaged her immovable property i.e. Residential Flat no. A21, Block A, 2^nd Floor, Sukhmani Enclave measuring 1050 sq. ft. situated at Village Chhajjumajra, Hadbast no. 33, Kharar, Punjab vide Sale Deed bearing vasika no. 17191, dated 01.02.2024 along with its translation, which is Annexure A5 to this OA; Fard Jamabandi of the year 2017-2018 along with its translation, which is Annexure A6

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3 OA/1756/2025

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STATE BANK OF INDIA VS. SIMRAN BHARDWAJ AND ANOTHER

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to this OA and Agreement to Mortgage dated 31.01.2024, which is Annexure A4 to this OA.

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Documents executed : Memorandum of Loan Agreement dated 31.01.2024, which is Annexure A3 to this OA; Legal Notice dated 25.11.2024, which is Annexure A7 to this OA and Statement of Account with certificate, which is Annexure A8 to this OA.

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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.34,84,207.19 (Rupees Thirty Four Lacs Eighty Four Thousand Two Hundred Seven and Paise Nineteen Only), which is recoverable and the defendant no. 1 was served recall notices but she did not repay the outstanding amount, therefore, the applicant bank 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 on 11.03.2026.

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In support of the OA, affidavit of Sh. Deepak Chand, Deputy Manager, State Bank of India h as been filed.

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Heard ex-parte arguments and perused record.

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It was argued by learned proxy 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 Annexure A1 to A8 to this OA, it is proved that the defendant no. 1 approached applicant for availing of the Home Loan which was granted to her and for that she 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 is entitled to recover a sum of Rs.34,84,207.19 (Rupees

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4 OA/1756/2025

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STATE BANK OF INDIA VS. SIMRAN BHARDWAJ AND ANOTHER

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Thirty Four Lacs Eighty Four Thousand Two Hundred Seven and Paise Nineteen Only) along with interest from 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 bank in relief clause has claimed interest @7.40% p.a. with monthly rests and penal interest @ 2% from 08.11.2025 till actual and final 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 @07.40%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.34,84,207.19 (Rupees Thirty Four Lacs Eighty Four Thousand Two Hundred Seven and Paise Nineteen Only) with costs, current and future simple interest @07.40%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 entitled to recover aforesaid amount from the sale of mortgaged property 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 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.

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5 OA/1756/2025

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STATE BANK OF INDIA VS. SIMRAN BHARDWAJ AND ANOTHER

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10. Any other application pending stands disposed of. 11. Issue Recovery Certificate accordingly. 12. Parties to appear before Learned Recovery Officer of this Tribunal on 17.04.2026. 13. 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.

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Pronounced by me in the open Tribunal . Dated: 27.03.2026

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

State Bank of India v. Ms. Simran Bhardwaj and Another

Case brief

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State Bank of India v. Ms. Simran Bhardwaj and Another

Case brief

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