Allowed

Idfc First Bank Ltd. v. Sh. Vijay Kumar and Another

DRT11 Feb 2026OA/242/2024

What the court decided

AI extract

Outcome

Recovery certificate issued; Defendants directed to pay Rs.32,55,767.70 with costs and future simple interest @8.00%p.a.

Idfc First Bank Ltd. versus Sh. Vijay Kumar and Another — Banking and Recovery | DRT (2026)

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DEBTS RECOVERY TRIBUNAL-III, CHANDIGARH

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ORIGINAL APPLICATION NO.242/2024

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PRESIDED OVER BY MRIDULESH KUMAR SINGH

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DATE OF INSTITUTION: 26.10.2023

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DATE OF DECISION: 11.02.2026

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IDFC First Bank Ltd, erstwhile Capital First Limited, inter alia having its Registered Office at KRM Towers, 7^th Floor, No.1, Harrington Road, Chetpet, Chennai-600031 and having its Branch Office at SCO-24, 1^st Floor, SCO-47, Madhya Marg, Setor-26, Chandigarh through its Authorized Representative Sh. Farid Ahmed, Manager Legal.

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……..Applicant

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Versus

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Sh. Vijay Kumar S/o of Ayodia Magoto, R/o H.No.212/27/2411, Street No.1, Prem Nagar, Lohara, Ludhiana, Punjab-141007.

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Ms. Parmila Devi D/o of Sh. Jagdev Mehtoayodha Magoto, R/o H. No. 212/27/2411, Street No.1, Prem Nagar, Lohara, Ludhiana, Punjab-141007.

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……. Defendants

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Advocates:

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Argued by Sh. Abhishek Bhateja, Advocate for the applicant (through VC)

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Defendants already ex-parte vide order dated 05.12.2025

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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 & Bankruptcy Act, 1993, against the defendants for recovery of Rs.32,55,767.70 (Rupees Thirty Two Lacs Fifty Five Thousand Seven Hundred Sixty Seven and Paise Seventy Only). The Original Application has been filed through Sh. Farid Ahmed, Manager Legal of the applicant, who is competent to institute the Original Application vide Authority Letter dated 04.02.2019, which is Annexure A1 to this OA.

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OA NO. 242/2024 IDFC FIRST BANK LIMITED VS. VIJAY KUMAR AND ANOTHER

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The brief facts of the OA are that the defendants approached the applicant for grant of Loan against property of Rs.12.00 Lacs and Rs.8.00 Lacs vide Loan Application dated 16.02.2017 which is Annexure A2 to this OA. 3. The applicant sanctioned Term Loan against property of Rs.12.00 Lacs vide Sanction Letter dated 25.02.2017, which is Annexure A3 to this OA and sanctioned another Term Loan against property of Rs.6.34 Lacs on 19.04.2017. The terms and conditions were duly accepted by the defendants. 4. Defendants mortgaged their immovable property consisting at Khasra no. 991/2, 992 Khata no. 64/65 Village Lohara Abadi, Prem Nagar, Tehsil and District Ludhiana. However, this property stands sold by the applicant in proceedings under SARFAESI Act. Sale Certificate dated 22.06.2023, is Annexure A6 to this OA. Documents executed: Mortgaged Loan Agreement dated 25.02.2017, which is Annexure A4 to this OA; Demand Notice dated 08.03.2019 and 15.07.2019 u/s 13 (2) of SARFAESI Act, along with newspaper publication, which are Annexure A5 to this OA; Legal Notice dated 26.10.2023, which is Annexure A7 to this OA; Calculation Sheet, Statement of Accounts, which are Annexure A8 to this OA.

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The loan accounts became irregular and was classified as NPA and after adjusting debit and credit entries in the loan accounts there was a debit of Rs. 32,55,767.70 which is recoverable and the defendants were served recall notices but they did not repay the outstanding amount, therefore, the applicant requested to accept the application and to issue Recovery Certificate accordingly.

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OA NO. 242/2024 IDFC FIRST BANK LIMITED VS. VIJAY KUMAR AND ANOTHER

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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 05.12.2025. 7. In support of the OA, affidavit of Sh. Farid Ahmed, Manager Legal, IDFC First Bank Ltd has been filed. 8. Heard ex-parte arguments and perused record. 9. It was argued by learned counsel through video conferencing 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 defendants approached applicant for availing of the loan facilities which were granted to them and for that they had executed all the relevant documents in favour of the bank. The defendants failed to pay back the loans as per terms and conditions of the agreement between the parties. Subsequently, accounts of the defendants were classified as NPA. From the documentary evidence brought on record, it is proved that applicant is entitled to recover a sum of Rs.32,55,767.70 (Rupees Thirty Two Lacs Fifty Five Thousand Seven Hundred Sixty Seven Paise Seventy Only) along with interest from the defendants, jointly and severally, from the date of filing of the present Original Application till realization of the accounts.

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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 @24.00%p.a. from 01.10.2023 till the realization. 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/hypothecated assets, undertaking of the defendants, quantum of loans and prevalent market rates of interest which have gone drastically downhill in yester

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OA NO. 242/2024 IDFC FIRST BANK LIMITED VS. VIJAY KUMAR AND ANOTHER

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years, while exercising the discretion vested in this Tribunal, this Tribunal deems it just and appropriate to grant uniform simple interest @8.00%p.a. in both the loan accounts 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 defendants are liable to pay to the applicant a total sum of Rs.32,55,767.70 (Rupees Thirty Two Lacs Fifty Five Thousand Seven Hundred Sixty Seven and Paise Seventy Only) jointly and severally, with costs, current and future simple interest @8.00%p.a. in both the loan accounts 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 by attachment and sale of personal assets of the defendants. The applicant is at liberty to enforce the claim through due process of law.

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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 25.02.2026. 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: 11.02.2026. (MRIDULESH KUMAR SINGH) Presiding Officer, DRT-III, Chandigarh

Idfc First Bank Ltd. v. Sh. Vijay Kumar and Another

What the court decided

Idfc First Bank Ltd. v. Sh. Vijay Kumar and Another

What the court decided

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