Allowed

State Bank of India v. Vishnu v Kumar

DRT28 Jan 2026OA/2417/2024

Case brief

AI extract

What is this about?

In an Original Application under S. 19 of the RDB Act, the Debts Recovery Tribunal allowed the applicant bank's claim for recovery of dues arising from a housing loan default. The defendant appeared ex parte. The Tribunal found the evidence sufficient and directed recovery of the principal amount with interest reduced to 8% p.a.

What did the court decide?

Issuance of Recovery Certificate for Rs. 48.62 lakhs with interest @8% p.a. simple from filing date; enforcement against defendant personally and schedule properties.

State Bank of India versus Vishnu v Kumar — Money Laundering | DRT (2026)

¶1

IN THE DEBTS RECOVERY TRIBUNAL II, BENGALURU

¶2

Dated this 28^th Day of January, 2026

¶3

Present: Sri. T. RAJESH Presiding Officer OA.No.2417/2024

¶4

BETWEEN:

¶5

State Bank of India, Branch office at: SARB, 3^rd Floor, Near Old Shivaji Theatre, J.C Road, Bangalore

¶6

…APPLICANT

¶7

AND:

¶8

Sri. Vishnu V Kumar S/o. A.M Vijayakumar No.14, Sri Sai Residency, 1^st Cross, Munireddy Layout, Padmanabhanagar, Chikkalasandra, Bengaluru- 560061

¶9

¶10

II.

¶11

Also at: Flat No. B-015, Ground Floor, B Block, Celebrity Square, Bidaraguppe Village, Attibele Hobli, Bengaluru- 560107

¶12

Work Place at: S.S Premium Cars, 65/1, 6^th Cross, Sarvabhoumanagar, Chikkalasandra, Bengaluru- 560061 ...DEFENDANTS

¶13

Counsel on record/appeared for:

¶14

Applicant : G.N. Satyamurthy Defendants : Exparte

¶15

FINAL ORDER

¶16

The present Original Application in short (OA) has been

¶17

¶18

OA 2417-2024

¶19

filed under section 19 of Recovery of Debts and Bankruptcy Act 1993 seeking issuance of Recovery Certificate Rs.48,62,771/- (Rupees forty eight lakh sixty two thousand seven hundred seventy one only) with further interest thereon from the date of filing the Application till realization from the Defendant.

¶20

It is the case of the applicant that the defendant availed the Housing loan credit facilities of Rs.44,00,000/- (Rupees forty four lakh only) from the applicant bank.

¶21

It is also the case of the applicant that, in view of the above amount financed, the defendant executed necessary loan documents along with arrangement letter, memorandum of deposit, agreement to mortgage and sale deed in favor of the applicant bank.

¶22

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

¶23

In the above circumstances, the applicant approached this

¶24

Tribunal by filing this OA seeking issuance of Recovery Certificate for the amount due in the account.

¶25

¶26

OA 2417-2024

¶27

Despite, service of summons on the defendant, he failed to appear, resulting the defendant being set exparte on 24.07.2025.

¶28

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-13 and got the same marked in evidence.

¶29

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

¶30

The following issues arise for consideration in this matter:

¶31

i) Whether the applicant had succeeded in proving the

¶32

OA claim as against the defendant?

¶33

ii) What order are to be passed?

¶34

Both these issues are gone into and decided together.

¶35

The case put forth by the applicant in the Application

¶36

remains unrebutted as defendant remained exparte. The

¶37

evidence tendered by the applicant remains uncontroverted and

¶38

undisputed. The evidences put forth by the applicant were found

¶39

admissible and are sufficient to prove availment of credit

¶40

OA 2417-2024

¶41

¶42

facilities as stated in the OA, creation of mortgage as claimed by

¶43

the applicant bank and the defaults committed in the accounts. The liability of the defendants and the claim as the amount due is also proved by the above documents. The claim of the applicant is well within the limitation.

¶44

Hence in view of the finding arrived herein above, this

¶45

Tribunal find both these issues in favour of applicant and hence

¶46

this Tribunal is of the view that OA is to be allowed.

¶47

Taking into consideration the facts that the credit facilities are availed by defendant for housing loan purpose and also that OA claim is arrived at by calculating interest at the agreed rate,

¶48

this Tribunal, in view of the OA can be allowed with a reduced interest @8% p.a.(Simple).

¶49

In the result, OA.No.2417/2024, stands allowed,

¶50

i) The applicant is allowed to recovery an aggregate

¶51

sum of Rs.48,62,771/- (Rupees forty eight lakh sixty two

¶52

thousand seven hundred seventy one only) with further interest @8% p.a. (Simple),

¶53

from the date of filing OA till the realization, from the defendant

¶54

OA 2417-2024

¶55

¶56

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 proceedings against the schedule property. Properties schedule to the OA be the schedule to the recovery certificate.

¶57

(ii) If the sale proceeds are not sufficient, the defendant personally and his other assets are liable to be proceeded against for the balance amount.

¶58

iii) The applicant bank is allowed cost of the proceedings

¶59

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

¶60

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

¶61

order and transferred to Recovery for execution.

¶62

v) Interim application pending, if any, stands disposed of

¶63

in terms of this final order.

¶64

Communicate a copy of the order to the parties concerned

¶65

in terms of Section 19(21)(i) of the RDB Act, read with Rule 16 of DRT (Procedure) Rules, 1993.

¶66

[Dictated to the Stenographer (JV), transcribed by him, corrected and signed and pronounced by me in the Open Court, this the 28^th day of January, 2026].

¶67

Sd/ (T. RAJESH) PRESIDING OFFICER

OA 2417-2024

ANNEXURES

WITNESSES EXAMINED FOR THE APPLICANT BANK:

¶72

AW-1: Vivek Raina, Chief Manager, of Applicant Bank.

¶73

Exhibits on the part of the Applicant:

¶74

Exhibit Nos.	Date	Particulars of Documents
A1	12.07.2023	Application for loan
A2	24.07.2023	Arrangement letter
A3	26.07.2023	Agreement for home loan granted to public
A4	26.07.2023	Agreement to mortgage
A5	26.07.2023	Deed of undertaking
A6	12.10.2023	Memorandum of deposit of title deeds
A7	12.10.2023	Sale deed
A8	31.07.2023	Certificate of Insurance
A9	17.01.2024	Demand notice
A10	15.10.2024	Certified Accounts extract
A11	15.10.2024	Certified Accounts extract
A12	15.10.2024	Account closure summary
A13	15.10.2024	Account closure summary

¶75

Witness Examined for the Defendant: -Nil -

¶76

List of Documents Exhibited for the Defendant: -Nil -

¶77

Sd/ (T. RAJESH) PRESIDING OFFICER

State Bank of India v. Vishnu v Kumar

Case brief

What is this about?

What did the court decide?

State Bank of India v. Vishnu v Kumar

Case brief

What is this about?

What did the court decide?

What the court decided

A compact analysis

Issues for consideration

Statutes considered

Parties & counsel

Coram

Case details

Similar cases

Punjab National Bank versus M/S First Engineer

Bank of Maharashtra versus Ram Sidhari

Icici Bank Limited versus Shaikh Ayub

Jitendra Singh versus Punjab National Bank

Icici Bank Limited versus Sucha Singh

Canara Bank versus Manga Singh Aulakh