Allowed

Hdfc Bank Limited v. Sh. Kawaldeep Singh and Others

DRT8 Jun 2026OA/439/2026

Case brief

AI extract

What is this about?

The Debts Recovery Tribunal allowed an original application filed by HDFC Bank for recovery of loan amounts from three respondents. The Tribunal accepted the bank's evidence, classified the accounts as NPA, and issued a Recovery Certificate awarding principal arrears and interest at 8% p.a., allowing recovery via sale of hypothecated vehicles.

What did the court decide?

Recovery Certificate issued; defendants liable to pay principal amounts with 8% p.a. interest; applicant entitled to recover via sale of hypothecated vehicles and personal assets.

Hdfc Bank Limited versus Sh. Kawaldeep Singh and Others — Banking and Recovery | DRT (2026)

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DEBTS RECOVERY TRIBUNAL-III, CHANDIGARH

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ORIGINAL APPLICATION NO. 439/2026

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PRESIDED OVER BY MRIDULESH KUMAR SINGH

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DATE OF INSTITUTION: 16.03.2026

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DATE OF DECISION: 08.06.2026

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HDFC Bank Limited, having its Registered Office at Senapati Bapat Marg, Lower Parel –(West), Mumbai -400013. Also at Plot No 1-15, Sector 101, ALPHA IT City, SAS Nagar (Mohali), through its Authorised Representative, Sh. Deepak Sharda. Also, at HDFC Bank Limited, Pathankot (Punjab).

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……..Applicant

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Versus

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Sh. Kawaldeep Singh S/o Sh. Sukhwinder Singh, R/o H.No. 296,

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Model Town, Pathankot (Punjab) – 145001

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Also at: H.No. 65, Ward No. 16, Dhaki Road, B-22, Pathankot (Punjab) - 145001

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Smt. Surinder Kaur W/o Sh. Sukhwinder Singh, R/o House No. 66, Wad No. 25, Mohala Nehru Nagar, Gali No. 2, Pathankot (Punjab) – 145001

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Sh. Varinder Singh S/o Sh. Sukhwinder Singh, R/o House No. 66, Wad No. 26, Mohala Nehru Nagar, Gali No. 2, Pathankot (Punjab) – 145001

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.……Defendants

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Advocates:

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Argued by Ms. Dipti Toni, Advocate for applicant. (through VC)

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None for Defendants (already ex parte vide order dated 29.04.2026)

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2 OA/ 439/2026 HDFC BANK LIMITED VS SH. KAWALDEEP SINGH AND OTHERS

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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 defendants for recovery of Rs.45,92,489.11 (Rupees Forty Five Lacs Ninety Two Thousand Four Hundred Eighty Nine and Paise Eleven Only). The Original Application has been filed through Sh. Deepak Sharda, Authorised Representative , of the applicant, who is competent to institute the Original Application vide Copy of Board Resolution dated 21.08.2025, which is Annexure A1 to this OA.

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The brief facts of the OA are that the defendant nos. 1 & 2 approached the applicant for Car Loan of Rs. 12,52,463.00 vide Loan Application Form dated 12.06.2023, which is Annexure A2 to this OA. Thereafter, the defendant no. 1 approached the applicant for Commercial Vehicle Loan of Rs. 51,26,898.00 vide Loan Application dated 04.03.2024, which is Annexure A4 to this OA and Commercial Vehicle Loan of Rs. 2,01,542.00 for purchase of the body of vehicle vide Loan Application Form dated 20.03.2024, which is Annexure A6 to this OA. Defendant no. 3 stood as guarantor.

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The applicant sanctioned the Car Loan of Rs. 12,52,463.00 vide Agreement for Loan and Guarantee-cum-Hypothecation dated 14.06.2023, which is Annexure A3 to this OA and the terms and conditions were duly accepted by the defendants. Thereafter, the applicant sanctioned the Commercial Vehicle Loan of Rs. 51,26,898.00 vide Agreement for Loan & Guarantee dated 12.03.2024, which is Annexure A5 to this OA and Commercial Vehicle Loan of Rs. 2,01,542.00 for purchase of the body of vehicle, vide Agreement for Loan & Guarantee dated 20.04.2024, which is Annexure A7 to this OA.

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Defendant no. 1 hypothecated his vehicles as under:

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i. VERNA 1.6 CRDI SX-O bearing Registration No. PB35AD7713, Engine no. D4FBJM657185, Chassis no. MALC841DLJM089704.

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3 OA/ 439/2026 HDFC BANK LIMITED VS SH. KAWALDEEP SINGH AND OTHERS

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ii. BHARAT BENZ 4828 R BS VI bearing Registration No.
PB06BG6513, Engine no. 926956D0162657, Chassis no. MEC909FFARP156625. Registration Certificate of Vehicles were filed on 04.06.2026 vide Dairy no. 10267 in compliance of order dated 06.05.2026.
Documents executed: Statement of Accounts dated 11.02.2026, which areAnnexure A8 to A10to this OA; Legal Notice along with postal receipts dated 14.02.2026, which areAnnexures A11 to A15to 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.45,92,489.11 (Rupees Forty Five Lacs Ninety Two Thousand Four Hundred Eighty Nine and Paise Eleven Only), which is recoverable and the defendants were served recall notices but they did not repay the outstanding amount, therefore, the applicant requested to accept the application and to issue Recovery Certificate accordingly.
6. The defendants were served summons to appear before this
Tribunal but no one appeared on behalf of defendants and they were proceeded ex-parte vide order dated 29.04.2026.
7. In support of the OA, affidavit of Sh. Deepak Sharda,Authorised
Representative, HDFC Bank Limited,has been filed.
8. Heard ex-parte arguments and perused record.
9. It was argued by learned proxy counsel for applicant 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 theAnnexures A1 to A15to this OA, it
is proved that the defendant nos. 1 & 2 approached applicant for availing of the Car Loan, which was granted to them. Thereafter, the defendant no. 1 approached applicant for availing of the Commercial Vehicle loans, which were granted to him. Defendant no. 3 stood as guarantor. They
had executed all the relevant documents in favour of the applicant. The
defendants failed to pay back the loans as per terms and conditions of
the agreement between the parties. Subsequently, all the accounts of
the defendants were classified as NPA. From the documentary evidence

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4 OA/ 439/2026 HDFC BANK LIMITED VS SH. KAWALDEEP SINGH AND OTHERS

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brought on record, it is proved that applicant is entitled to recover a sum of Rs.3,10,479.47 (Rupees Three Lac Ten Thousand Four Hundred Seventy Nine and Paise Forty Seven Only), along with interest from the defendant nos. 1 & 2 and Rs.42,82,009.64 (Rupees Forty Two Lac Eighty Two Thousand Nine and Paise Sixty Four Only), along with interest from the defendant nos. 1 & 3, jointly and severally, from the date of filing of the present Original Application till realization of the amount. 10. In so far as pendent elite and future rate of interest is concerned, the applicant has claimed interest @15.50%p.a. from 12.02.2026 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 hypothecated vehicles, undertaking of the defendants, 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 simple interest @8.00% p.a. in all 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 nos. 1 & 2 are liable to pay to the applicant a total sum of Rs.3,10,479.47 (Rupees Three Lac Ten Thousand Four Hundred Seventy Nine and Paise Forty Seven Only) and the defendant nos. 1 & 3 are liable to pay to the applicant a total sum of Rs.42,82,009.64 (Rupees Forty Two Lac Eighty Two Thousand Nine and Paise Sixty Four Only), jointly and severally, with costs, current and future simple interest @8.00% p.a. in all 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 vehicles of the defendant no. 1 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 defendants. The applicant is at liberty to enforce the claim through due process of law.

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5 OA/ 439/2026

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HDFC BANK LIMITED VS SH. KAWALDEEP SINGH AND OTHERS

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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 01.07.2026

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Copy of this order be given dasti to the applicant and be sent to defendants through registered/speed post and this order be also uploaded on the official website of this Tribunal and record be consigned. Pronounced by me in the open Tribunal .

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Dated: 08.06.2026

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(MRIDULESH KUMAR SINGH)

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Presiding Officer, DRT-III, Chandigarh

Hdfc Bank Limited v. Sh. Kawaldeep Singh and Others

Case brief

What is this about?

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Hdfc Bank Limited v. Sh. Kawaldeep Singh and Others

Case brief

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