Allowed

Canara Bank v. Nilesh

DRT6 May 2026OA/34/2024

Case brief

AI extract

What is this about?

Debts Recovery Tribunal at Pune allowed Canara Bank's original application for recovery of agricultural loans and credit facilities against defendants who failed to appear. The court adjusted future interest rates to just and reasonable levels and decreed payment of principal along with adjusted future interest, securing recovery via mortgage and recovery certificate. Defendant no. 3 was not proce

What did the court decide?

Defendants to pay Rs.99,83,037/- comprising principal amounts of three loans/agencies with future interest @9% and @8.85% per annum from date of application, secured by mortgage and recovery certifica

Canara Bank versus Nilesh — Contract and Commercial Disputes | DRT (2026)

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Presented on .. 04.02.2023 Registered on .. 09.01.2024 Decided on .. 06.05.2026 Duration .. Y—M—D 03--03--02

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IN THE DEBTS RECOVERY TRIBUNAL AT PUNE (Before Shri Dilip G. Murumkar, Presiding Officer) ORIGINAL APPLICATION No. 34/2024.

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Canara Bank,

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A Banking Company incorporated under the Banking Companies (Acquisition & Transfer of Undertakings) Act V of 1970 having its head office at M.G. Road, Bangalore and branch office at – Ranjangaon, Pune-Nagar Highway, Taluka Shirur, District Pune 412 210.

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… Applicant

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Versus

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1 Mr. Nilesh Ravindra Kolape, Age Adult, Occ. Agri./Business, R/at – At and Post Alegaon Paga, Taluka Shirur, District Pune 412 211.

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2 Mr. Ravindra Aaju Kolape, Age Adult, Occ. Agri./Business, R/at – At and Post Alegaon Paga, Taluka Shirur, District Pune 412 211.

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3 Mrs. Nanda Ravindra Kolape, Age Adult, Occ. Agri./Business, R/at – At and Post Alegaon Paga, Taluka Shirur, District Pune 412 211.

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… Defendants

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Sanap ( OA No. 34/2024 ) 1 of 7

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Appearances :- For Applicant Advocate Srinivas Y. For Defendants Ex parte.

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Total Claim Amount – Rs.35,73,037/-

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JUDGMENT (Delivered on 06^th May, 2026)

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The Applicant Bank has filed the present application for recovery of the sum of Rs.35,73,037/- together with future interest @11.50% per annum in respect of Agricultural Term Loan, @8.85% per annum in respect of Kisan Credit Card and @9.70% per annum in respect of Kisan Over Draft facility from the date of Application till realization of the entire dues from the defendant Nos.1 and 2.

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Brief facts of the application are as under :-

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As per the loan application of defendant Nos.1 and 2, the applicant Bank sanctioned and disbursed the Agricultural Loan facility of Rs.15,00,000/- for the purpose of lift irrigation, drip irrigation and land development to defendant Nos. 1 and 2 vide Sanction Letter dated 19.12.2018. Defendant No. 3 stood guarantor for the repayment of loan availed by defendant Nos. 1 and 2.

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Sanap ( OA No. 34/2024 ) 2 of 7

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Thereafter, again defendant Nos. 1 and 2 approached the applicant Bank for financial assistance for the purpose of agriculture and allied activities. After considering request of defendant Nos.1 and 2, the applicant Bank sanctioned and disbursed the following Loan facilities to them.

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Name of facility Amount Rs. Date of Sanction 1 Kisan Credit Card 3,00,000/29.08.2019 2 Kisan Overdraft facility 7,00,000/29.08.2019

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In order to secure the aforesaid loan facility, the defendants have executed necessary loan and security documents in favour of the applicant Bank. Defendant Nos. 1 and 2 have also executed simple mortgage dated 20.08.2018 and 29.08.2019 in favour of the applicant Bank in respect of all that piece and parcel of agricultural land Gat No. 730 admeasuring 1H 60R owned by Ravindra Kolape and Gat No. 731/2 admeasuring 1H and Gat No. 730 admeasuring 80R owned by Nilesh Ravindra Kolape, situated at village Nimgaon Mahalungi, Taluka Shirur, District Pune.

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Defendant Nos.1 and 2 have also executed Acknowledgment of Debt and Security on 29.03.2022 and confirmed the balance outstanding in loan account.

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Sanap ( OA No. 34/2024 ) 3 of 7

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The applicant Bank contended that the defendants committed defaults in payment of installments and failed to regularize the accounts. Hence, on 22.07.2022, the applicant Bank has classified the account of the defendants as Non-Performing Asset in accordance with guidelines of Reserve Bank of India. Thereafter, on 01.09.2022, the applicant Bank issued legal Notice to the defendants. Despite service of Notice, the defendants failed and neglected to pay the outstanding dues of the applicant Bank.

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Hence, this application is filed.

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The defendants failed to appear despite service of summons. Hence, the application proceeded ex-parte against the defendants as per Order dated 11.08.2025 passed below Application (Exhibit-1).

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The applicant Bank has filed Claim Affidavit of evidence (Exhibit-6) of Mr. Shon Sharad Wadmare, Manager and Principal Officer of applicant Bank, and has produced on record the original loan transaction documents at Sr. Nos. AW-1 to AW-7 along with list (Exhibit 9), 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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Sanap ( OA No. 34/2024 ) 4 of 7

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Since the defendants failed to appear and contest the application, I find no reason to disbelieve evidence of the applicant Bank. Therefore, the applicant Bank is entitled for reliefs as claimed against defendant Nos.1 and 2. The applicant Bank has not claimed any relief against defendant No. 3, therefore, no order is passed against defendant No. 3.

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The applicant Bank has claimed future interest @11.50% per annum in respect of Agricultural Term Loan, @8.85% per annum in respect of Kisan Credit Card and @9.70% per annum in respect of Kisan Over Draft facility. However, considering the facts of the case, I am of the opinion that if future interest is granted @9% per annum (simple) in respect of Agricultural Term Loan and Kisan Over Draft facility and @8.85% per annum in respect of Kisan Credit Card, it would be just and reasonable rate of interest.

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Hence, I pass the following order.

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O R D E R

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A} Original Application No. 34/2024 is allowed with costs against defendant Nos. 1 and 2.

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B} Defendant Nos.1 and 2 either jointly or severally shall pay to the applicant Bank the sum of Rs.22,68,274/-

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Sanap ( OA No. 34/2024 ) 5 of 7

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(Rupees Twenty Two Lakh Sixty Eight Thousand Two Hundred Seventy Four Only) in respect of Agricultural loan facility along with future interest @9% per annum from the date of filing of the Original Application i.e. 04.02.2023 till full payment/realization of the amount mentioned in this operative order.

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C} Defendant Nos.1 and 2 either jointly or severally shall pay to the applicant Bank the sum of Rs.3,79,415/(Rupees Three Lakh Seventy Nine Thousand Four Hundred Fifteen only) in respect of Kisan Credit Card facility along with future interest @8.85% per annum from the date of filing of the Original Application i.e. 04.02.2023 till full payment/realization of the amount mentioned in this operative order.

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D} Defendant Nos.1 and 2 either jointly or severally shall pay to the applicant Bank the sum of Rs.9,25,348/(Rupees Nine Lakh Twenty Five Thousand Three Hundred Forty Eight only) in respect of Kisan Overdraft facility along with future interest @9% per annum from the date of filing of the Original Application i.e. 04.02.2023 till full payment/realization of the amount mentioned in this operative order.

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Sanap ( OA No. 34/2024 ) 6 of 7

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E} The aforesaid adjudicated amount is secured by the valid and subsisting mortgage in respect of all that piece and parcel of agricultural land Gat No. 730 admeasuring 1H 60R owned by Ravindra Kolape and Gat No. 731/2 admeasuring 1H and Gat No. 730 admeasuring 80R owned by Nilesh Ravindra Kolape, situated at village Nimgaon Mahalungi, Taluka Shirur, District Pune, more particularly described in the Para No. 5.3.4 and 5.4.4 of the Original Application.

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F} The applicant Bank is entitled to sell the mortgaged property to recover its dues.

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G} No relief is claimed against defendant No.3, therefore, no order against her.

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H} Issue Recovery Certificate. I} The Registrar is directed to send the copy of Judgment and Recovery Certificate to the applicant and defendants.

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Sd/( Dilip G. Murumkar ) Place : Pune Presiding Officer Date : 06.05.2026 Debts Recovery Tribunal, Pune.

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Sanap ( OA No. 34/2024 ) 7 of 7

Canara Bank v. Nilesh

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Canara Bank v. Nilesh

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