1. Under Section 19 of the Recovery of Debts and Bankruptcy Act, 1993, a Debt Recovery Tribunal (DRT) may determine the quantum of debt when the defendant denies liability or fails to appear.
2. Section 4 of the Banker's Books Evidence Act, 1891, mandates that a certified copy of any entry in a banker's book is prima facie evidence of the existence of such entry and the matters recorded therein. Such entries are admissible as compulsory proof of the account.
3. Where the defendant is absent and does not file a written statement, the Tribunal can rely on the affidavit of the applicant's representative and the documentary evidence submitted by the bank to establish the cause of action and the quantum of debt, provided the documents are true and the account has been maintained in the ordinary course of business.
4. In this case, the defendants did not appear despite proper service of summons and newspaper publication. The bank proved the loan facility of Rs. 19.50 lakhs (CGTMSE and GECL), the execution of loan documents, and irregularities in repayment leading to the account turning NPA. The outstanding balance of Rs. 21,71,580.04 as on 29.04.2025 was established through certified copies of loan agreements and banker's account statements.
5. The Tribunal held the defendants jointly and severally liable to pay the determined debt amount along with future interest at 10% p.a. with compounded monthly rests from the date of filing the application. A Recovery Certificate was issued under Section 19(22) of the Act to the Recovery Officer for enforcement.
