Allowed

State Bank of India v. Ashok J S

DRT17 Aug 2026OA/429/2025

Case brief

AI extract

What is this about?

Debts Recovery Tribunal allowed the applicant bank’s original application for issuance of a Recovery Certificate against the defendant for outstanding housing loan dues. The Tribunal allowed the claim with reduced interest of 8% simple p.a. and directed recovery from personal assets and mortgage properties.

What did the court decide?

Issued Recovery Certificate for Rs. 37,90,689/- plus 8% simple interest; directed recovery from personal assets and schedule properties.

State Bank of India versus Ashok J S — Banking and Recovery | DRT (2026)

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IN THE DEBTS RECOVERY TRIBUNAL II, KARNATAKA AT BENGALURU

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Dated this 17^th Day of August, 2026

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Present: Sri. T. RAJESH Presiding Officer OA.No.429/2025

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BETWEEN:

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State Bank of India SARB J C Road, Bangalore – 560 002 Represented by its Chief Manager …APPLICANT

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AND:

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Sri. Ashok J S S/o. Siddappashetty J T Santhosh Nilaya, Lakshmpura Extension, Javagal Petebeedi, Javagal Hobli, Hassan Dist., Arasikere Taluk, Pin – 573 125

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Also, at: Doddagatta Road, Janatha Badavane, Arasikere Tq, Hassan Dist. – 573 125 ...DEFENDANT

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Counsel on record/appeared for:

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Applicant : K S Venkataramana Defendant : Ex parte

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FINAL ORDER

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The present Original Application in short (OA) has been filed under section 19 of Recovery of Debts and Bankruptcy Act 1993 seeking for issuance of Recovery Certificate against the defendant for

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OA-429/2025

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Rs 37,90,689/- (Rupees Thirty-Seven Lakhs Ninety Thousand Six Hundred and Eighty-Nine Only) with further interest thereon from the date of filing the Application till realization.

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It is the case of the applicant that, the defendant is availed the following credit facilities are:

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Housing loan of Rs. 19,25,000/- (Rupees Nineteen Lakhs Twenty-Five Thousand Only).

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Housing loan of Rs. 20,00,000/- (Rupees Twenty Lakhs Only).

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It is also the case of the applicant that, in view of the above availed loans, the defendant executed the necessary loan document along with Registered Mortgage deed & deposit of title deeds.

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It is further contended that, despite availing the credit facilities, agreeing to service the loan amount promptly and regularly, the defendant failed in complying the same, resulting in default in repayment and consequentially turning the loan accounts as NPA.

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In the above circumstances, the applicant approached this Tribunal by filing this OA seeking issuance of Recovery Certificate for the amount due in the account.

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Despite, service of summons on the defendant, he failed to appear, resulting the defendant being set ex parte on 31.07.2025.

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The applicant had let in evidence through AW-1, who filed Proof Affidavit reiterating the contentions taken in the OA and also produced Exhibits A-1 to A-10 and got the same marked in evidence.

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Heard the Ld. Counsel for the Applicant and considered the

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OA-429/2025

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contentions as taken in the OA in the light of documentary evidence and proof affidavit.

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The following issues arise for consideration in this matter:

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i) Whether the applicant had succeeded in proving the OA claim as against the defendant?

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ii) What order are to be passed?

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Both these issues are gone into and decided together.

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The case put forth by the applicant in the Application remains unrebutted as defendant remained ex parte. The evidence tendered by the applicant remains uncontroverted and undisputed.

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The evidences put forth by the applicant were found admissible and are sufficient to prove availment of credit facilities as stated in the OA, and the defaults committed in the accounts. The liability of the defendant and the claim of the amount due is also proved by the above documents. The claim of the applicant is well within the limitation.

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Hence in view of the finding arrived herein above, the Tribunal

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finds that both these issues are in favour of applicant and hence, this Tribunal is of the view that OA is to be allowed.

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Taking into consideration the facts that the credit facilities is

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availed for Housing purpose and also that the OA claim is arrived at

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OA-429/2025

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by calculating interest at the agreed rate, this Tribunal is of the view that the OA can be allowed with a reduced interest of 8.00% (simple).

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In the result, OA.No.429/2025, stands allowed,

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i) The applicant is allowed to recover an aggregate sum of Rs. 37,90,689/- (Rupees Thirty-Seven Lakhs Ninety Thousand Six Hundred and Eighty-Nine Only) with further interest @8.00% p.a.(simple) from the date of filing OA till the realization, from the defendant personally, after giving credit to all the amount recovered and received during the pendency of the OA and allowed the same to be recovered by proceeding against the schedule properties. Properties schedule to the OA be the schedule to the recovery certificate.

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ii) If the sale proceeds are not found sufficient to cover the amount due and payable to the applicant bank, the defendant personally and his assets are liable for all such amounts due under the loan accounts.

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iii) The applicant bank is allowed cost of the proceedings which applicant to file cost memo within 7 days from the date of receipt of the order.

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iv) The Recovery Certificate to be drawn in terms of this order and transferred to Recovery for execution.

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OA-429/2025

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v) Interim application pending, if any, are disposed of with this

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Final Order.

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Communicate a copy of the order to the parties concerned in

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terms of Section 19(21)(i) of the RDB Act, read with Rule 16 of DRT

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(Procedure) Rules, 1993.

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[Dictated to the Stenographer (HS), transcribed by her, corrected and signed and pronounced by me in the Open Court, this the 17^th Day of August, 2026].

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Sd/-

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(T. RAJESH) PRESIDING OFFICER

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ANNEXURES

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WITNESSES EXAMINED FOR THE APPLICANT BANK:

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AW-1: Syed M D Eliyas, S/o. Late. S A Razack, Chief Manager, of

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Applicant Bank.

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Exhibits on the part of the Applicant:

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Exhi	Documents
bits
A1	Copyof the home loan application
A2	Copyof the sanction letter dated 09.06.2014
A3	Copyof the memorandum relatingto deposit of title deeds dt. 24.05.2014
A4	Copyof the arrangement letter dated 29.03.2019
A5	Copyof the loan agreement dated 29.03.2019
A6	Copyof the regmortgage dated 29.03.2019
A7	Copyof the demand notice dated 02.02.2024
A8	Copies ofpostal ack
A9	Copyof the statement of account and closure menu of 64143141635
A10	Copyof the statement of account and closure menu of 38359001084
	Witness Examined for the Defendant: -Nil -

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List of Documents Exhibited for the Defendant: -Nil -

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Sd/-

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(T. RAJESH) PRESIDING OFFICER

State Bank of India v. Ashok J S

Case brief

What is this about?

What did the court decide?

State Bank of India v. Ashok J S

Case brief

What is this about?

What did the court decide?

What the court decided

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Issues for consideration

Statutes considered

Parties & counsel

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