Allowed

State Bank of India v. Mahesh Ayar Viswanathan

DRT21 Apr 2026OA/282/2023

Case brief

AI extract

What is this about?

The Debts Recovery Tribunal allowed the bank's application for recovery of dues arising from Home and Suraksha loans. Defaulting respondents were set ex-parte. The Tribunal awarded recovery of principal and further interest, permitting sale of the mortgaged property.

What did the court decide?

Recovery of principal and further interest amounts from respondents and permission to realize dues by sale of mortgaged immovable properties.

State Bank of India versus Mahesh Ayar Viswanathan — Consumer Protection | DRT (2026)

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O.A. No. 282 of 2023

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21.04.2026

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IN THE DEBTS RECOVERY TRIBUNAL-III, CHENNAI

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Dated this the 21^st day of April, 2026

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Present: SMT. S.V. GOWRAMMA Presiding Officer

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ORIGINAL APPLICATION No. 282 of 2023

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State Bank of India, Represented by its Chief Manager Retail Assets Central Processing Centre MRC Nagar, 82, High Gates, Level-2, Santhome High Road, MRC Nagar, Chennai-600 028 ….Applicant

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-Vs-

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Mahesh Ayar Viswanathan,

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S/o Ayar Viswanathan

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1239A, Plot 84^th street

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Velachery, Chennai- 600 042

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Also at

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Mahesh Ayar Viswanathan QRS C/207, Sector 18, Rourkela-03, PS Sector 15, Sundargarh, Odisha- 769003

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K.Anila, W/o Mahesh Ayar Viswanathan 1239A, Plot 84^th street Velachery, Chennai- 600 042

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Also at K.Anila QRS C/207, Sector 18, Rourkela-03, PS Sector 15, Sundargarh, Odisha- 769003 …..Defendants

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Counsels on record / appeared:

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Counsel for Applicant : M/s. B. Siva Kollapan Defendants 1 and 2 were set ex-parte on 20.03.2024

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O.A. No. 282 of 2023

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21.04.2026

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: - FINAL ORDER- :

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This Original Application is filed on 07.07.2023 by the applicant bank under Section 19 of Recovery of Debts and Bankruptcy Act, 1993 (formerly Recovery of Debts Due to Banks and Financial Institutions Act, 1993) against the defendants 1 and 2, jointly and severally for recovery of a total sum of Rs.51,92,847/- (Rupees Fifty One Lakhs Ninety Two Thousand Eight Hundred and Forty Seven only) as follows:

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(i) A sum of Rs.49,53,455/- due in respect of Home Loan (A/c No. 37262524273) repayable together with further interest @ 8.3% p.a. with monthly rests from the date of Application till the date of realization in full;

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(ii) A sum of Rs.2,39,392/- due in respect of Suraksha Loan (A/c No.37296378322) repayable together with further interest @ 8.3% p.a. with monthly rests from the date of Application till the date of realization in full;

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for sale of immovable property morefully detailed in the Schedule to the OA and for costs of this OA.

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Brief Facts of the case:

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The Applicant submits that the application is filed within the period of limitation as prescribed under Section 24 of the Recovery of Debts and Bankruptcy Act, 1993, and the subject recovery claim falls within the jurisdiction of this Tribunal.

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It is the case of the Applicant Bank that the defendants had

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O.A. No. 282 of 2023

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approached the Applicant bank and requested for the sanction of Home Loan by submitting their loan application dated 05.10.2017. Pursuant to the request of the defendants, the applicant bank has sanctioned “Home loan” facility to the tune of Rs.45,00,000/- to the defendants vide Sanction Letter dated 10.10.2017 and Arrangement Letter dated 27.10.2017 subject to the terms and conditions as envisaged under the Memorandum of Loan Agreement for Home loan dated 27.10.2017 executed by the defendants. An additional facility in terms of Suraksha Loan was also sanctioned in favour of the defendants to the tune of Rs.2,21,700/- on 13.11.2017 which is evidenced by the statement of accounts filed along with the OA. The defendants have executed a Deed of Undertaking and agreement to mortgage in favour of the applicant bank at the time of sanction upon a promise to create with Equitable Mortgage and Memorandum of deposit of Title Deeds.

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It is submitted by the applicant bank that the Home Loan was repayable in Equated Monthly Instalments of Rs.34,124/- each with floating rate of interest being agreed upon at the time of sanction i.e., at the rate of 0.35% above the 1 year Marginal costs of funds based Lending rate (MCLR) which was 8.00% p.a. and effective rate of interest being 8.35% p.a. calculated on daily balance of the loan amount at monthly rests. The loan was sanctioned for purchase of property being residential individual house known as Villa no. Atlas 12 in plot no 68C, measuring 937 sq.ft., in the "ANNAI PADMAVATHI NAGAR" Layout comprised in S. No. 1/4-C then S.No.1A/4C, on subdivision, it is identified as S. No.1A-4C2 (Part) situated

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in PERUMALTHANGAI, VILLAGE (Village No.59), Chengalpattu Taluk, Kanchipuram District, which is more fully described in the Schedule of the property.

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The applicant bank submits that the defendants herein have executed the following loan documents thereby the defendants acknowledged the said loan amount availed from the applicant bank. The defendants undertook to repay the loan amounts, on time without committing any default. The defendants have also assured for the repayment of the due to the aforesaid loan amounts.

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In evidence of availing the credit facilities and as security thereof the defendants have executed the following loan documents in favour of applicant bank:

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a) Loan application for Housing loan dated 05.10.2017

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b) Sanction letter dated 10.10.2017

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c) Arrangement letter dated 27.10.2017

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d) Memorandum of loan agreement for home loan dated 27.10.2017

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e) Affidavit dated 27.10.2017

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f) Deed of undertaking dated 27.10.2017

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g) Agreement to mortgage dated 27.10.2017

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h) Memorandum of deposit dated 20.07.2018

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i) Confirmation letter dated 20.07.2018

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The applicant bank submitted that the defendants have executed a Memorandum of Deposit of Title Deeds dated 17.07.2018 registered as Document No.7830 of 2018 at S.R.O. Chengalpattu (Joint-II) in favour of

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the applicant bank, securing the Home Loan facilities availed by the defendants for the purchase of the property described in the schedule of the property in Annexure-I, thereby depositing all the relevant original title deeds with the applicant bank.

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The applicant submits that after availing the aforesaid loan facility, the defendants were irregular in repayment of installments and servicing the monthly interest from the date of sanction towards the loan accounts of defendants. The applicant further submits that it could not succeed in its efforts in recovering dues from the defendants even after making a demand through various letters advising and cautioning the defendants to regularize the loan accounts by repaying the entire loans dues through the aforesaid notice from the defendants. Infact the defendants had remained with callous and supine attitudes without taking any serious steps to settle the loan dues to the applicant bank.

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The applicant bank states that in spite of repeated demands and several reminders made the defendants failed to repay the balance of the liability owed by them to the applicant bank under the aforesaid credit facility. Consequently, the loan accounts of the defendants have been classified as Non- performing Assets (NPA) on 23.06.2022 in terms of the directives of Reserve Bank of India. All the efforts taken by the applicant bank to recover the loan dues to the applicant bank from the aforesaid defendants did not yield the desired results. Hence, the present Original Application (OA) has been filed by the applicant bank for recovery of its dues from the defendants.

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After the filing of the OA, summons were sent to the Defendants 1 and 2 through Registered Post with Acknowledgment Due, which was returned with remark “Door locked” in respect of D-1 and “No such person” in respect of D-2. Applicant Bank had caused paper publication of the notice and filed proof thereof. When OA was taken up on 20.03.2024 even after giving sufficient time, there was no appearance or representation from the defendants. Hence, Defendants 1 and 2 were placed ex-parte on 20.03.2024.

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Heard the submissions of Applicant Bank and perused the

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record s.

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To prove the case of the Applicant Bank, Mr. R. Nani Kumar, city Case Officer of the Applicant Bank, has filed his Affidavit by way of evidence and same was considered as evidence of AW-1 and list of documents came to be marked as Ex A-1 to A-14 .

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A careful examination of the pleadings in the Proof Affidavit and documents Exhibits A-1 to A-14 evidence that the borrowal of credit facilities and execution of loan and security documents are true, in terms of averments made in Original Application as well as Proof Affidavit filed by applicant bank establishing its claim. Applicant bank filed Statement of Accounts duly certified under Bankers’ Book Evidence Act, evidencing the amount claimed against defendants.

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The defendants were set ex-parte on 20.03.2024, but till this day they did not take any action to set aside the ex-parte order and did not choose to contest the claim. Further, a careful scrutiny of records makes it

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clear that present application is filed well within limitation and this Tribunal possesses necessary and proper jurisdiction to entertain and adjudicate the claim. No oral or documentary evidence on the side of defendants are produced or filed to dispute the claim of applicant bank. Hence, it can be concluded that applicant bank has proved its claim against defendants.

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With regard to the amount advanced, the interest applied the conduct and operations in the account and the default committed, this Tribunal comes to the conclusion that the applicant bank is entitled for a final order on the following terms:

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: O R D E R :

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The OA is allowed with costs,

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(a) The applicant bank is allowed to recover from the Defendants 1 and 2 jointly and severally, sum of Rs.51,92,847/- (Rupees Fifty One Lakhs Ninety Two Thousand Eight Hundred and Forty Seven only) as follows:

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(i) A sum of Rs.49,53,455/- due in respect of Home Loan

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(A/c No. 37262524273) repayable together with further interest @ 8.3% p.a. with monthly rests from the date of Application till the date of realization in full;

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(b) In the event of failure of the Defendants to pay the aforesaid amount, the bank is at liberty to recover the amount by sale of the schedule mentioned immovable property morefully detailed in the OA schedule.

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(d) The applicant bank shall file the latest memo of calculation of OA amount together with interest, costs etc., to be paid by the Defendants duly considering the amounts, if any, paid by the Defendant and/or amount realized by sale of assets etc., during the intervening period after the filing of the OA, enabling the Registry to prepare Recovery Certificate for the amount to be paid by Defendants to the applicant bank.

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(e) The applicant bank shall file memo of costs within ten days from the date of this final order.

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(f) Recovery Certificate shall be drawn up and issued to the Recovery Officer in terms of the final order.

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A copy of this order be communicated to the parties concerned.

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Sd/(S.V. GOWRAMMA) PRESIDING OFFICER, DRT-III, CHENNAI

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(Dictated to Roshnee, transcribed by her, corrected, signed and pronounced by me on this the

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21^st day of April, 2026)

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ANNEXURES

WITNESSES EXAMINED FOR THE APPLICANT BANK :

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AW-1: Sh. R. Nani Kumar, City Case Officer of the Applicant Bank

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Exhibits on the part of the Applicant:

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Sl. No.	Date	Description of Documents	Exhibit No.
1.	05.10.2017	Loan application for availing Home loan submitted by defendants.	A-1
2.	10.10.2017	Sanction letter for availing Home loan issued by the applicant bank acknowledged by defendants	A-2
3.	27.10.2017	Sanction letter for availing Home loan issued by the applicant bank acknowledged by the defendants.	A-3
4.	27.10.2017	Memorandum of loan agreement for Home loan executed by the defendants	A-4
5.	27.10.2017	Affidavit for availing Home loan executed by the defendants.	A-5
6.	27.10.2017	Deed of undertaking for availing home loan executed by the defendants.	A-6
7.	27.10.2017	Agreement to mortgage for availing Home loan executed by the defendants.	A-7
8.	27.10.2017	Memorandum of deposit executed by the defendants in favour of applicant bank.	A-8
9.	20.07.2018	Confirmation letter executed by the defendants	A-9
10	25.08.2017	Construction agreement entered by the 1^stdefendant with the developer.	A-10
11.	18.06.2018	Sale deed in favour of 1^stdefendant.	A-11
12.	17.07.2018	Memorandum relating to deposit of title deeds in favour of applicant bank executed by the defendants.	A-12
13.	27.10.2017 to 01.06.2023	Statements of accounts for the Suraksha Loan A/c No.37296378322	A-13
14.	13.11.2017 to 01.06.2023	Statements of accounts for the Suraksha Loan A/c No.37296378322	A-13

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Witness Examined for the Defendants: -Nil-

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List of Documents Exhibited for the Defendants: -Nil –

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SCHEDULE OF PROPERTY

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SCHEDULE A (Entire property)

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All that piece and parcel of Plot bearing No.68C, measuring 937 sq.ft, in the "ANNAI PADMAVATHI NAGAR" Layout approved vide D.T.C.P No. LP/DTCP 177/88 vide LR No.ROC.21811/88 LA, situated in PERUMALTHANGAL VILLAGE ( Village No.59), Chengalpattu Taluk, Kanchipuram District, forming part of the land measuring 7 acres, out of 7 acres and 16 cents in S. No.1/4-C, then S.No.1A/4C. On subdivision, it is identified as S.No.IA-4C2 (Part)

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BOUNDED ON THE:

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North: Plot No: 67C

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South: 23 Feet Wide Road East: Plot No: 68B & 16 Feet wide Road

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West by: Plot No.63C

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MEASURING:

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East West on Northern Side: 20'-4.0" Sq. Feet

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East West on Southern Side: 20'-4.0" Sq.Feet

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North South on Eastern Side: 40'-0.0" Sq. Feet

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North South on Western Side: 40'-0.0" Sq. Feet

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Totaling 937 Sq. feet along with right of access in common pathway measuring 124 Sq.feet.

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SCHEDULE-B (Property Given As Security)

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Residential individual House known as Villa No. Atlas 12 in Plot No.

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68C having super built up area of 937 Sq.feet which includes common area along with one Car Park to be constructed on the land more particularly mentioned in the ‘A’ Schedule property.

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Sd/(S.V. GOWRAMMA) PRESIDING OFFICER, DRT-III, CHENNAI

State Bank of India v. Mahesh Ayar Viswanathan

Case brief

What is this about?

What did the court decide?

State Bank of India v. Mahesh Ayar Viswanathan

Case brief

What is this about?

What did the court decide?

What the court decided

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