Allowed

Axis Bank Ltd. v. Sardar Ahmed Khan

DRT10 Jul 2026OA/290/2025

Case brief

AI extract

What is this about?

The Debts Recovery Tribunal allowed the bank's application for recovery of a personal loan of Rs. 28,13,327.85 plus future interest at 9% p.a. The defendant appeared ex-parte. The court secured the decree against hypothecated assets and ordered the issuance of a recovery certificate.

What did the court decide?

Recovery of Rs. 28,13,327.85 with future interest at 9% p.a., security against hypothecated assets, and issuance of Recovery Certificate.

Axis Bank Ltd. versus Sardar Ahmed Khan — Company and Corporate | DRT (2026)

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Presented on: 05.04.2025 Registered on: 20.05.2025 Decided on: 10.07.2026 Duration: Y M D 01 03 05

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IN THE DEBTS RECOVERY TRIBUNAL AT AURANGABAD (Before Shri Dr. J. R. Chauhan Presiding Officer) ORIGINAL APPLICATION No. 290/2025

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TOTAL CLAIM AMOUNT – Rs. 28,13,327.85/-

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AXIS BANK LTD.,

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A Body Corporate, constituted and established under the Companies Act 1956, and having its Registered Office at “Trishul” 3^rd Floor, Opp. Samartheshwar Temple, Law Garden, Ellis Bridge, Ahmedabad, Having its Office situated at “Shrivastava”, 65, Sarang Housing Society, Near Gajanan Maharaj Mandir, Garkheda, Aurangabad- 431005. Through its Authorised Representative Pramod Manohar Landge, Age: 35 Years, Occupation: Service, having his address for communication at c/o Axis Bank Ltd., “Shrivastava”, 65, Sarang Housing Society, Near Gajanan Maharaj Mandir, Garkheda, Aurangabad- 431005.

… Applicant

Versus

(OA No. 290-2025)

Page 1 of 7

[Ambadas]

Sardar Ahmed Khan, … Defendant

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Age: 43 Years, Occ: Business, R/o: Plot No. 13, Silk Mill Colony, Paithan Road, Aurangabad- 431005.

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APPEARANCES For the Applicant Mr. Dabholkar M. M. - Advocate For Defendant Ex-parte

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J U D G M E N T

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Delivered on (10.07.2026)

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The Applicant Bank has filed the present application for recovery of the sum of Rs. 28,13,327.85/- (Rs. Twenty-Eight Lakhs, Thirteen Thousand, Three Hundred Twenty-Seven and Eighty-Five Paisa Only) together with further interest with monthly rests upon Term Loan from 05.04.2025 till the full realization of the entire dues and costs from the Defendant.

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Brief facts of the application are as under:

(OA No. 290-2025)

Page 2 of 7

[Ambadas]

That the Defendant approached the Applicant Bank and requested for the sanction of a Personal Loan. Upon considering the Defendant’s representations, request, and financial needs, the Applicant Bank sanctioned a Personal Loan of Rs. 29,40,000/- under Personal Power BRE Scheme vide sanction letter dated 28.06.2023 on certain terms & conditions.

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The agreed rate of interest for the Personal Loan was @10.99% per annum with monthly rests.

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In order to secure the aforesaid Term Loan facility, the Defendant executed loan documents in favour of the Applicant Bank namely sanction letter, demand promissory note, request letter, hypothecation agreement, letter of undertaking etc.

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The Applicant Bank contended that, in order to secure the Term Loan facility, defendant executed a Agreement for Personal Power Loan dated 15.04.2013 in favour of the Applicant Bank.

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The Applicant Bank further contended that the Defendant failed to keep his promises and commitments agreed by him with

(OA No. 290-2025)

Page 3 of 7

[Ambadas]

regard to the due repayment of the loan amount. The Defendant failed to operate the loan account properly and failed to pay the agreed rate of interest as per terms and conditions of the sanction letter. Thereafter the Applicant Bank repeatedly made demand of loan amount and called upon the Defendant to pay with the agreed rate of interest thereon, but the Defendant failed and neglected to pay the same. The loan account of the Defendant became irregular and classified as NPA. Therefore on 11.01.2024, the Applicant Bank issued demand legal notice to the Defendant through their Advocate. Despite service of Notice, the Defendant failed and neglected to repay the outstanding dues of the Applicant Bank. Hence, this application is filed.

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Despite service of summons, the defendant neither appeared nor filed WS. Hence, Defendant proceeded ex-parte vide Order dated 14.01.2026.

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The Applicant Bank has filed Claim Affidavit of evidence at Exhibit-4 of Mr. Pramod Manohar Landge, Officer of the Applicant Bank and has produced on record the original loan

(OA No. 290-2025)

Page 4 of 7

[Ambadas]

transaction documents as Exh. A-01 to A-14 along-with list of documents Exh.5, which corroborates the case of the Applicant Bank.

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I have heard arguments of the learned Advocate for the Applicant Bank.

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Since the Defendant failed to file written statement and did not contest the application, I find no reason to disbelieve the unrebutted evidence of the Applicant Bank. Therefore, the Applicant Bank is entitled for the reliefs as claimed.

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The Applicant Bank has claimed future interest at @10.99% per annum with monthly rests from 05.04.2025 till the full realization of the entire dues and costs from the Defendant. However, considering the facts of the case, I am of the opinion that awarding future interest at @9% per annum (simple) on outstanding amount, it would be just and reasonable.

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Hence, I pass the following order.

(OA No. 290-2025)

Page 5 of 7

[Ambadas]

ORDER

(A) Original Application No. 290/2025 is allowed with

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costs.

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(B) The Defendant shall pay to the Applicant Bank a sum of Rs. 28,13,327.85/- (Rs. Twenty-Eight Lakhs, Thirteen Thousand, Three Hundred Twenty-Seven and EightyFive Paisa Only) along-with future interest at @9% per annum (simple) from the date of filing of the Original Application, i.e., 05.04.2025, till full payment/ realization of the said amount.

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(C) The aforesaid adjudicated amount is secured by hypothecated assets in favour of the Applicant Bank vide document as Exh. A-03 and A-04 in list of documents Exh.5.

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(D) The Applicant Bank is entitled to sell the hypothecated assets/articles/goods etc., to recover its dues.

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(E) Issue Recovery Certificate accordingly.

(OA No. 290-2025)

Page 6 of 7

[Ambadas]

(F) The Registrar is directed to send the copy of the Judgment and Recovery Certificate to the applicant and Defendant.

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(G) File be consigned to the record room.

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Sd/-

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Place : Aurangabad Date : 10.07.2026

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(Dr. J. R. Chauhan) Presiding Officer Debts Recovery Tribunal, Aurangabad

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(OA No. 290-2025)

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Page 7 of 7

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[Ambadas]

Axis Bank Ltd. v. Sardar Ahmed Khan

Case brief

What is this about?

What did the court decide?

Axis Bank Ltd. v. Sardar Ahmed Khan

Case brief

What is this about?

What did the court decide?

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