Allowed

State Bank of India v. Mr. Balu Ramkisan Kakde

DRT7 Jul 2026OA/388/2025

Case brief

AI extract

What is this about?

Debts Recovery Tribunal allowed an application filed by State Bank of India for recovery of Rs. 25.44 lakhs from a defaulting borrower. The court granted the principal amount, reduced future interest to 9%, and approved sale of hypothecated assets.

What did the court decide?

Direction to pay Rs. 25,44,962/- with future interest at 9% p.a. simple and permission to sell hypothecated assets.

State Bank of India versus Mr. Balu Ramkisan Kakde — Contract and Commercial Disputes | DRT (2026)

¶1

Presented on: 09.06.2025 Registered on: 07.07.2025 Decided on: 07.07.2026 Duration: Y M D 01 00 28

¶2

IN THE DEBTS RECOVERY TRIBUNAL AT AURANGABAD (Before Dr. J. R. Chauhan Presiding Officer) ORIGINAL APPLICATION No. 388/2025

¶3

TOTAL CLAIM AMOUNT – Rs. 25,44,962/-

¶4

The State Bank of India, A body corporate constituted under the State Bank of India Act, 1955, having its Local Head office at Bandra-Kurla Complex, Mumbai, one of its office at Stressed Assets Recovery Branch (SARB), at CIDCO, Aurangabad and acting through its one of principal officer i.e. Dy. Manager, Mr. Bashir Mahammadhanif Kazi, Age: 51 years, Occupation: Service as Manager, State Bank of … Applicant India, SARB, Aurangabad

¶5

Versus

¶6

Mr. Balu Ramkisan Kakde, Age: 36 Occ.: Business, Prop. of Vibhuti Tractors, Business at, S. No. 334/4/1/B/25, Shankar Nagar, Pathardi, Tq. Pathardi, Dist. Ahmednagar – 414102.

¶7

And

¶8

R/o. 198, Nirmal Nagar, Near Police Colony, Gadekar Chowk, Sawadi, Ahmednagar. 414003.

…Defendant.

(OA No.388/2025)

Page 1 of 7

[AMBADAS]

APPEARANCES

For the Applicant For Defendant

¶15

Mr. Sachin S. Katariya -Advocate Ex-parte

¶16

JUDGMENT

¶17

Delivered on 07.07.2026

¶18

The Applicant Bank has filed the present application for the recovery of a sum of Rs. 25,44,962/- (Rupees Twenty Five Lacs, Forty Four Thousand, Nine Hundred and Sixty Two only), along with further interest from the date of filing of the Original Application, i.e., 09.06.2025, until the date of realization of the entire outstanding dues from the Defendant.

¶19

Brief facts of the application are as under:

¶20

The Applicant Bank states that the Defendant had approached and requested the Applicant Bank for Working Capital Loan as E- DFS Segment. Upon considering the request and financial needs of the Defendant, the Applicant Bank Sanctioned Working Capital Loan as E-DFS Segment of Rs. 30,00,000/-, vide arrangement letter dated 26.12.2023 on certain terms and conditions. The

(OA No.388/2025)

Page 2 of 7

[AMBADAS]

agreed rate of interest for aforesaid loan facility was @ 10% per annum with monthly rests. The Defendant also agreed to pay additional interest @ 2% by way of liquidated damages in the event of any default in repayment.

¶25

In order to secure the aforesaid loan facility, the Defendant executed various loan documents in favor of the Applicant Bank. These included arrangement letter, Agreement of Loan cum Hypothecation dated 26/12/2023 etc., in favor of applicant bank.

¶26

The Applicant Bank further contends that, in order to secure the aforesaid loan facility, the Defendant executed hypothecation agreement thereby hypothecating stock of ACE tractors, book debts and receivables available on site or any other place own by defendant.

¶27

The applicant bank contended that the defendant has failed to keep his promise and commitments agreed by him with regard to due repayment of the loan amount. The defendant failed to operate the loan account properly and failed to pay the agreed

(OA No.388/2025)

Page 3 of 7

[AMBADAS]

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 12.05.2025 the applicant bank issued legal Notice to the defendant. The defendant failed and neglected to repay the outstanding dues of the applicant Bank. Hence, this application is filed.

¶32

The defendant failed to appear in matter though he was duly served. Hence, the defendant was proceeded ex-parte as per Order dated 19.05.2026.

¶33

The applicant Bank has filed Claim Affidavit of evidence at Exhibit-4 of Mr. Bashir Mahammadhanif Kazi, Manager of the applicant Bank, and has produced on record the original loan transaction documents as Exh. A-1 to A-11 along with list of documents Exh.5 which corroborates the case of the applicant Bank.

(OA No.388/2025)

Page 4 of 7

[AMBADAS]

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

¶38

Since the defendant failed to appear 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.

¶39

The applicant Bank has claimed charge over hypothecated properties.

¶40

The applicant Bank has claimed future interest at @ 10% p.a. with monthly rests from the date of filing i.e. 09.06.2025 of this application till realization of the claim amount. However, considering the facts of the case, I am of the opinion that if future interest is granted @ 9% per annum (simple) on outstanding amount, it would be just and reasonable rate of interest.

¶41

ORDER

¶42

(A) Original Application No. 388/2025 is allowed with costs.

(OA No.388/2025)

Page 5 of 7

[AMBADAS]

(B) The defendant shall pay to the applicant Bank a sum of

¶47

Rs. 25,44,962/- (Rupees Twenty Five Lacs, Forty Four Thousand, Nine Hundred and Sixty Two only), along with future interest @ 9% per annum (simple) from the date of filing of the Original Application i.e. 09.06.2025 till full payment/realization of the amount mentioned in this operative order.

¶48

(C) The aforesaid adjudicated amount is secured by the hypothecation of stock of ACE tractors, book debts and receivables available on site or any other place own by defendant vide documents at Exh A-4 in list of documents Exh. 5.

¶49

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

(OA No.388/2025)

Page 6 of 7

[AMBADAS]

(E) Issue Recovery Certificate accordingly.

¶54

(F) The Registrar is directed to send the copy of the

¶55

Judgment and Recovery Certificate to the applicant and defendant.

¶56

(G) File be consigned to the record room.

¶57

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

¶58

Pronounced in open court. Place: Aurangabad Date:.07.07.2026

¶59

(OA No.388/2025)

¶60

Page 7 of 7

¶61

[AMBADAS]

State Bank of India v. Mr. Balu Ramkisan Kakde

Case brief

What is this about?

What did the court decide?

State Bank of India v. Mr. Balu Ramkisan Kakde

Case brief

What is this about?

What did the court decide?

What the court decided

A compact analysis

Issues for consideration

Parties & counsel

Coram

Case details

Similar cases

Bank of India versus Mrs. Aasha Rajendra Vazarkar

Axis Bank Limited versus Mr. Dhananjay Shamrao Bhise

Bank of Maharashtra versus Mr. Rameshawar So Damodar Galdhar

Bank of Baroda versus M/S Riddhi Logistics and Multi Services

Union Bank of India versus Vasant Punju Patil

State Bank of India versus Devendra Bhatu Bagul