Allowed

State Bank of India v. Sh.Jatinder Singh

DRT28 Jan 2026OA/335/2025

Case brief

AI extract

What is this about?

Debts Recovery Tribunal allowed the applicant's application for recovery of a loan amount of Rs.33,66,279.00. The court reduced the claimed interest rate to a uniform 8% per annum and ordered the issuance of a recovery certificate and attachment of assets.

What did the court decide?

Recovery of Rs.33,66,279.00 with current and future simple interest @8% p.a. from filing till realization; Recovery Certificate issued.

State Bank of India versus Sh.Jatinder Singh — Execution and Attachment | DRT (2026)

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DEBTS RECOVERY TRIBUNAL-III, CHANDIGARH

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ORIGINAL APPLICATION NO.335/2025

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PRESIDED OVER BY MRIDULESH KUMAR SINGH

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DATE OF INSTITUTION: 04.02.2025

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DATE OF DECISION: 28.01.2026

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State Bank of India, a Body Corporate constituted under the State Bank of India Act 1955, carrying on the business of Banking and having Branches at different places including Ropar Road, Kurali, Tehsil Kharar, District Mohali through its Branch Manager.

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……..Applicant Versus Sh. Jatinder Singh S/o Sh. Santokh Singh, R/o Village Mehrauli, PO. Sialba, Sub-Tehsil Majri, Tehsil Kharar, Distt. Mohali, Punjab. …….Defendant

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Advocates:

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Argued by Sh. Rajeev Bhardwaj, Advocate for Applicant (through VC) Defendant already ex parte vide order dated 05.01.2026

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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.33,66,279.00 (Rupees Thirty Three Lacs Sixty Six Thousand Two Hundred Seventy Nine Only). The Original Application has been filed through Sh. Sartaj Singh, Branch Manager, of the applicant, who is competent to institute the Original Application vide Gazette Notification dated 02.05.1987, 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 KCC Limit of Rs.10.00 Lacs & Agriculture Term Loan of Rs.5.00 Lacs under KGC vide Loan Applications dated 25.09.2013, which are Annexures A2 & A3 to this OA. 3. The applicant sanctioned KCC Limit of Rs.10.00 Lacs Agriculture Term Loan of Rs.5.00 Lacs under KGC vide Arrangement letter dated

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2 OA/335/2025 STATE BANK OF INDIA VS. JATINDER SINGH

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25.09.2013 and 25.10.2013, which are Annexures A5 & A8 to this OA. 4. Defendant mortgaged his immovable properties i.e. land measuring 16Kanal-00Marla situated at Villaged Mehrauli, Hadbast No.143, Sub Tehsil Majri, Tehsil Kharar, Punjab vide Mortgage deed bearing vasika no. 1798 dated 20.09.2013, which is Annexure A10 to this OA; Lien verification dated 14.08.2021 by Advocate, which is Annexure A11 to this OA.

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Documents executed : Hypothecation agreements, letter of undertaking, all dated 25.09.2013, which are Annexures A4, A6 and A7 to this OA; Letter of undertaking dated 25.10.2013, which is Annexure A7 to this OA; Lien verification dated 14.08.2021,which is Annexure A11 to this OA; Collector rates, which is Annexure A12 to this OA; Written undertaking dated 23.09.2017, which is Annexure A13 to this OA; Notices dated 11.08.2021, 12.08.2021, 03.01.2022, 07.04.2022, 15.04.2022, 30.04.2022, 16.05.2022, 31.05.2022, 01.07.2023, 29.08.2023, 09.10.2023, 02.05.2024, 07.10.2024, which are Annexures A14 to A33 to this OA; Notice dated 20.09.2018 and 18.09.2021 with postal receipts, which are Annexures A34 to A37 to this OA and Account closure statements and certificate, which are Annexures A38 to A40 to this OA. 5. The loan accounts became irregular and were classified as NPA and after adjusting debit and credit entries in loan accounts there was a debit of Rs.33,66,279.00, which is recoverable and the defendant was served recall notice but he 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 notices to appear before this Tribunal but no one appeared on behalf of defendant and he was proceeded exparte vide order dated on 05.01.2026. 7. In support of the OA, affidavit of Sh. Sartaj Singh, Branch Manager, State Bank of India, has been filed. 8. Heard ex-parte arguments and perused record.

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3 OA/335/2025 STATE BANK OF INDIA VS. JATINDER SINGH

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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 A40 to this OA, it is proved that the defendant approached applicant for availing of the loan facilities which were granted to him and for that he had executed all the relevant documents in favour of the bank. The defendant failed to pay back the loans as per terms and conditions of the agreement between the parties. Subsequently, accounts of the defendant were classified as NPA. From the documentary evidence brought on record, it is proved that applicant is entitled to recover a sum of Rs.33,66,279.00 (Rupees Thirty Three Lacs Sixty Six Thousand Two Hundred Seventy Nine Only) along with interest from the defendant, from the date of filing of the present Original Application till realization of the accounts.

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In so far as pendent elite and future rate of interest is concerned, the applicant in relief clause has claimed interest @11.75%p.a. with 2% penal interest and half yearly rests in KCC Limit and interest @10.25%p.a. with 2% penal interest and half yearly rests in Term Loan from 08.12.2024 till the realization.

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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 defendant, quantum of loans 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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In the result, the application is allowed declaring that the defendant is liable to pay to the applicant a total sum of Rs.33,66,279.00 (Rupees Thirty Three Lacs Sixty Six Thousand Two

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4 OA/335/2025 STATE BANK OF INDIA VS. JATINDER SINGH

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Hundred Seventy Nine Only) 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 assets/mortgaged properties 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 10.02.2026.

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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: 28.01.2026.

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(MRIDULESH KUMAR SINGH) Presiding Officer,

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DRT-III, Chandigarh

State Bank of India v. Sh.Jatinder Singh

Case brief

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State Bank of India v. Sh.Jatinder Singh

Case brief

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