Allowed

Idbi Bank v. Sri Kommu Kishore Kumar

DRT31 Jul 2026OA/1878/2024

Case brief

AI extract

What is this about?

In an original application under Section 19 of the RDB Act 1993, the Tribunal allowed the bank's claim for a recovery certificate of ₹71,31,507.68 plus interest at 8% p.a. against an absent defendant due to loan default.

What did the court decide?

Recovery certificate for Rs. 71,31,507.68 with interest at 8% p.a. allowed to be recovered from defendants jointly, severally and personally, and against schedule properties.

Idbi Bank versus Sri Kommu Kishore Kumar — Banking and Recovery | DRT (2026)

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IN THE DEBTS RECOVERY TRIBUNAL II, KARNATAKA AT BENGALURU

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Dated this 31^st Day of July, 2026

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Present: Sri. T. RAJESH Presiding Officer

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OA.No.1878/2024

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BETWEEN:

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IDBI Bank Limited Retail Recovery -Rbg, No. 58, IDBI House, Mission Road, Bangalore-560027. Represented by its, Deputy General Manager, Sri. G Basanth Chakravarthy. …APPLICANT

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AND:

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Sri. Kommu Kishore Kumar, S/o Sri. Yerrayya, Aged about 33 years, No. 28. Anmol, Opp. Aurobindo School, Canara Bank Layout, Kodigehalli, Bangalore North-560092.

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...DEFENDANTS

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Counsel on record/appeared for:

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Applicant : T P Muthanna and H C Srinivasa Murthy Defendants : Exparte

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FINAL ORDER

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The present Original Application in short (OA) has been filed under section 19 of Recovery of Debts and Bankruptcy Act 1993 seeking issuance

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of Recovery Certificate against the defendants for Rs. 71,31,507.68/(Rupees Seventy One Lakh Thirty One Thousand Five Hundred and Paise Sixty Eight Only) with further interest thereon from the date of filing the Application till realization.

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It is the case of the applicant that the defendants availed the following credit facilities from the applicant bank:-

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I. Home Loan of a sum of Rs. 56,00,000/- (Rupees Five lakh Only) on 12.12.2022.

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II. Loan for insurance premium of sum of Rs. 1,85,788/- (Rupees On e Lakh Eighty Five Thousand Seven Hundred Eighty Eight Only) on 12.12.2022

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III. Home loan for extension renovation of sum of Rs. 10,00,000/(Rupees Ten Lakh Only) on 14.02.2023.

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It is also the case of the applicant that, in view of the above availed loans, the defendants executed necessary loan documents along with Home Loan Agreement, power of Attorney, Sale Deed, indemnity bond.

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It is further contended that, despite availing the credit facilities, agreeing to service the loan account promptly and regularly, the defendants failed in complying the same, resulting in default in repayment and consequentially turning the loan accounts as NPA.

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In the above circumstances, the applicant approached this Tribunal by filing this OA seeking issuance of Recovery Certificate for the amount due in the account.

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Despite, taking out summons the defendants failed to appear, resulting the defendants being set exparte on 23.07.2026.

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The applicant had let in evidence through AW-1, who filed Proof Affidavit reiterating the contentions taken in the OA and also produced Exhibits A-1 to A-23 and got the same marked in evidence.

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Heard the Ld. Counsel for the Applicant and considered the contentions as taken in the OA in the light of documentary evidence and proof affidavit.

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The following issues arise for consideration in this matter:

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i) Whether the applicant had succeeded in proving the OA claim as against the defendants?

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ii) What order are to be passed?

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Both these issues are gone into and decided together.

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The case put forth by the applicant in the Application remains unrebutted as defendants remained exparte. The evidence tendered by

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the applicant remains uncontroverted and undisputed. The evidences put forth by the applicant were found admissible and are sufficient to prove availment of credit facilities as stated in the OA, creation of Mortgage as claimed by the applicant bank and the defaults committed in the accounts. The liability of the defendants and the claim of the amount due are also

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proved by the above documents. The claim of the applicant is well within

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the limitation.

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Hence in view of the findings arrived herein above, the Tribunal find both these issues in favour of applicant and hence, this Tribunal is of the view that OA is to be allowed.

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Taking into consideration the facts that the credit facilities was availed for Housing purpose and also that the OA claim is arrived at by calculating interest at the agreed rate, this Tribunal in view of the OA can be allowed with a reduced interest of 8.00% (simple).

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In the result, OA.No.1878/2024, stands allowed,

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i) The applicant is allowed to recovery an aggregate sum of Rs. 71,31,507.68/- (Rupees Seventy One Lakh Thirty One Thousand Five Hundred Seven and Paise Sixty Eight Only) with further interest @8.00 % p.a.(simple) from the date of filing OA till the realization, from the defendants jointly, severally and personally, after giving credit to all the amount recovered and received during the pendency of the OA and allowed the same to be recovered by proceeding against schedule property. Schedule Properties to the OA be the schedule to the recovery certificate.

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ii) If the sale proceeds are not found sufficient to cover the amount due and payable to the applicant bank, the defendants jointly,

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severally and personally and their assets are liable for the amounts due

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under the loan accounts.

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iii) The applicant bank is allowed cost of the proceedings which

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applicant to file cost memo within 7 days from the date of receipt of the order.

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iv) The Recovery Certificate to be drawn in terms of this order and

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transferred to Recovery for execution.

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v) Interim application pending, if any, stands disposed of in terms of this final order.

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14. Communicate a copy of the order to the parties concerned in terms

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of Section 19(21)(i) of the RDB Act, read with Rule 16 of DRT (Procedure)

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Rules, 1993.

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[Dictated to the Stenographer (DV), transcribed by her, corrected and signed and pronounced by me in the Open Court, this the 31^st Day of July, 2026].

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Sd/-

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(T. RAJESH)

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PRESIDING OFFICER

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ANNEXURES

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WITNESSES EXAMINED FOR THE APPLICANT BANK:

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AW-1: P. Prem Swaroop, Manager of the applicant Bank

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Exhibits on the part of the Applicant:

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Annexure	Date	List of Documents
A1	02.12.2022	Copy of the Home Loan Application

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A2	09.12.2022	Copy of the Loan for Insurance Premium Application Form
A3	12.12.2022	Copy of the Loan Sanction Letter
A4	23.12.2022	Copy of Home Loan Agreement
A5	23.12.2022	Copy of the Power of Attorney
A6	23.12.2022	Copy of the Affidavit
A7	23.12.2022	Copy of the Indemnity Bond
A8	23.12.2022	Copy of Declaration and undertaking
A9	28.12.2022	Copy of the MOE
A10	28.12.2022	Copy of the Sale Deed
A11	28.12.2022	Copy of the Loan for Insurance Premium Agreement
A12	28.12.2022	Copy of the MODTD
A13	12.01.2023	Copy of the Loan Application
A14	14.02.2023	Copy of the Sanction Letter
A15	16.02.2023	Copy of the Home Loan Agreement
A16	16.02.2023	Copy of the Power of Attorney
A17	16.02.2023	Copy of the Indemnity Bond
A18	16.02.2023	Copy of the Declaration and Undertaking
A19	16.02.2023	Copy of the MOE
A20	20.01.2024	Copy of the Loan Recall Notice to the defendant
A21	--	Copy of the Statement of Account certificate under Banker’s Book of Evidence Act- showing the outstanding liability under Home Loan Account No. 2023675100002714
A22	--	Copy of the Statement of Account certificate under Banker’s Book of Evidence Act- showing the outstanding liability under Loan for Insurance Premium Account No. 2023675100002745
A23	--	Copy of the Statement of Account certificate under Banker’s Book of Evidence Act- showing the

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outstanding liability under Home Loan Account No. 2023675100002837

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Witness Examined for the Defendants: -Nil - List of Documents Exhibited for the Defendants: -Nil –

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-Nil -

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Sd/- (T. RAJESH) PRESIDING OFFICER

Idbi Bank v. Sri Kommu Kishore Kumar

Case brief

What is this about?

What did the court decide?

Idbi Bank v. Sri Kommu Kishore Kumar

Case brief

What is this about?

What did the court decide?

What the court decided

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Issues for consideration

Statutes considered

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Case details

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