Allowed

Punjab National Bank v. Smt. Gurjeet Kaur

DRT21 Apr 2026OA/307/2025

Case brief

AI extract

What is this about?

The tribunal allowed an original application filed by Punjab National Bank against Smt. Gurjeet Kaur under the RDB Act for recovery of a defaulted loan of Rs. 30,20,434.67, granting uniform simple interest at 8% per annum.

What did the court decide?

Declaration of liability to pay Rs. 30,20,434.67 with costs and future simple interest @8% p.a. from the filing date until realization.

Punjab National Bank versus Smt. Gurjeet Kaur — Banking and Recovery | DRT (2026)

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DEBTS RECOVERY TRIBUNAL-III, CHANDIGARH

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ORIGINAL APPLICATION NO.307/2025

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PRESIDED OVER BY MRIDULESH KUMAR SINGH

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DATE OF INSTITUTION: 24.02.2025

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DATE OF DECISION: 21.04.2026

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The Punjab National Bank, a body corporate duly constituted under the Banking Companies (Acquisition and Transfer of Undertakings) Act, 1970, having its Head Office at Plot No.4, Sector-10, Dwarka, New Delhi-110075 and Circle Sastra at SCO-146, 1^st Floor, Improvement Trust Complex, Chhoti Baradari, Patiala, Punjab through its Sh. Vikramjeet Dehran, Senior Manager, General Power of Attorney Holder of the Applicant.

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……..Applicant

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Versus

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Smt. Gurjeet Kaur W/o Sh. Karamjit Singh Shergill, R/o Village Alluna, District Patiala, Punjab-140401.

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……..Defendant

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Advocates:

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Argued by Sh. Dhruv Khanna, Advocate for the applicant None for Defendant (Already ex-parte vide order dated 16.04.2026)

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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 and Bankruptcy Act, 1993, against the defendant for recovery of Rs.30,20,434.67 (Rupees Thirty Lakh Twenty Thousand Four Hundred Thirty Four and Paise Sixty Seven Only). The Original Application has been filed through Sh. Vikramjeet Dehran, Senior Manager of the applicant, who is competent to institute the Original Application vide General Power of Attorney dated 05.01.2007, which is Annexure A1 to this OA.

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The brief facts of the OA are that the defendant approached the applicant for grant of Term Loan for purchase of Car of Rs.6,65,000.00 vide Application cum Appraisal/Sanction form for Car Loan dated 06.09.2019 and Kishan Gold Card limit of Rs.20,00,000.00 vide Loan

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OA/307/2025 PUNJAB NATIONAL BANK VS SMT. GURJEET KAUR

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Application Form for Agricultural Credit dated 06.09.2019, which are Annexures A2 & A3 to this OA.

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The applicant sanctioned the Term Loan for purchase of Car of Rs.6,65,000.00 vide Sanction Letter dated 09.09.2019 and Kishan Gold Credit Limit of Rs.20,00,000.00 vide Sanction Letter dated 20.09.2019, which are Annexures A4 & A5 to this OA and the terms and conditions were duly accepted by the defendant. 4. Defendant hypothecated her movable asset i.e., Car namely Maruti Suzuki Swift VDi bearing Registration no. PB11CU9111 vide copy of Registration Certificate, which is Annexure A8 to this OA. Further mortgaged her immovable property i.e., Total Land measuring 37 Kanal 16 Marla situated at Village Jeonpur, Hadbast no. 265, Tehsil and District Fatehgarh Sahib, Punjab vide declaration u/s 4(1) registered with the office of Sub-Registrar Fatehgarh Sahib along with request letter for creation of charge in revenue record dated 13.09.2019, which is Annexure A9 to this OA; Documents executed: Letter of Hypothecation for Car Loan dated 13.09.2019 which is Annexure A6 to this OA; Hypothecation Agreement dated 20.09.2019, which is Annexure A7 to this OA; Irregular Notices dated 01.11.2021, 30.12.2021, 17.09.2022, 05.09.2023, 01.03.2024 along with postal receipts, which are Annexures A10 to A14 to this OA; Balance & Security Confirmation Letter dated 24.03.2022 which is Annexures A15 to this OA; Recall Notices dated 02.04.204, which are Annexure A16 & A17 to this OA; Request letter dated 18.04.2024, which is Annexure A18 to this OA; Statement of Accounts, which are Annexures A19 & A20 to this OA; 5. The loan accounts became irregular and were classified as NPA and after adjusting debit and credit entries in the loan accounts there was a debit of Rs.30,20,434.67 which is recoverable and the defendant was served recall notices but she did not repay the outstanding amount, therefore, the applicant requested to accept the application and to issue Recovery Certificate accordingly. 6. The defendant was served summons to appear before this Tribunal but no one appeared on behalf of defendant and she was proceeded ex-parte vide order dated 16.04.2026.

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OA/307/2025 PUNJAB NATIONAL BANK VS SMT. GURJEET KAUR

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In support of the OA, affidavit of Sh. Vikramjeet Dehran, Senior Manager, Punjab National Bank has been filed. 8. Heard ex-parte arguments and perused record. 9. It was argued by counsel for applicant 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 A20 to this OA, it is proved that the defendant approached applicant for availing of the loan facilities which were granted to her and for that she had executed all the relevant documents in favour of the bank. The defendant failed to pay back the loan as per terms and conditions of the agreement between the parties. Subsequently, loan accounts were classified as NPA. From the documentary evidence brought on record, it is proved that applicant is entitled to recover a sum of Rs.30,20,434.67 (Rupees Thirty Lakh Twenty Thousand Four Hundred Thirty Four and Paise Sixty Seven Only(Rs.4,11,109.07 in Car Loan Account no. 489900NV00000019 & Rs.26,09,325.60 in Kishan Gold Credit Account no. 4899008800000808)) along with interest from the defendant, from the date of filing of the present Original Application till realization of the accounts. 10. In so far as pendente lite and future rate of interest is concerned, the applicant has claimed interest @8.65%p.a. with penal interest @2% in Car Loan and interest @10.45%p.a. in Kishan Gold Credit Account 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 hypothecated assets/mortgaged property, undertaking of the defendant, quantum of loan and prevalent market rates of interest which have gone drastically downhill in yester years, while exercising the discretion vested in this Tribunal, this Tribunal deems it just and appropriate to grant uniform simple interest @08.00%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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OA/307/2025 PUNJAB NATIONAL BANK VS SMT. GURJEET KAUR

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In the result, the application is allowed declaring that the defendant is liable to pay to the applicant a total sum of Rs.30,20,434.67 (Rupees Thirty Lakh Twenty Thousand Four Hundred Thirty Four and Paise Sixty Seven Only(Rs.4,11,109.07 in Car Loan Account no. 489900NV00000019 & Rs.26,09,325.60 in Kishan Gold Credit Account no. 4899008800000808)) with costs, current and future simple interest @08.00%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 from the sale of hypothecated car/mortgaged property of the defendant in execution proceedings if not sold earlier under the provisions of the SARFAESI Act, 2002. If the dues of the applicant still remain unsatisfied, it shall be entitled to recover the same by attachment and sale of personal assets of the defendant. 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.

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Issue Recovery Certificate accordingly.

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Parties to appear before Learned Recovery Officer of this Tribunal on 12.05.2026.

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Copy of this order be given dasti to the applicant and be sent to defendant through registered/speed post and this order be also uploaded on the official website of this Tribunal and record be consigned.

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Pronounced by me in the open Tribunal . Dated: 21.04.2026

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(MRIDULESH KUMAR SINGH)

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Presiding Officer, DRT-III, Chandigarh

Punjab National Bank v. Smt. Gurjeet Kaur

Case brief

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Punjab National Bank v. Smt. Gurjeet Kaur

Case brief

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