Allowed

State Bank of India v. Late Sh. Gurbachan Singh @Bachan Singh

DRT27 Mar 2026OA/470/2024

Case brief

AI extract

What is this about?

The Debts Recovery Tribunal allowed the SBI's application for recovery of ₹35,82,087/- with interest from the legal heirs of the deceased borrower. The court observed that the bank proved the loan advance and outstanding dues via affidavit and documents. A recovery certificate was issued directing sale of mortgaged properties.

What did the court decide?

Application allowed; recovery certificate issued; direction to sale proceeds of mortgaged land.

State Bank of India versus Late Sh. Gurbachan Singh @Bachan… — Banking and Recovery | DRT (2026)

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IN THE DEBTS RECOVERY TRIBUNAL-I, CHANDIGARH

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BEFORE: A S NARANG, PRESIDING OFFICER

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OA No: 470/2024

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Date of Institution: 21.03.2024 Date of Decision: 27.03.2026

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SBI having its branches all over India and a branch at G T Road. Kartarpur

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District Jalandhar, Punjab.

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……..Applicant

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Vs.

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Late Sh. Gurbachan Singh @Bachan Singh s/o Sh. Bawa Singh, r/o Village Rahimpur, Distt. Jalandhar, Punjab, through defendant Nos.(i) to (iv), known legal heir to the estate of deceased.

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(i) Smt. Surinder Kaur w/o Sh. Late Sh. Gurbachan Singh, Legal heir to the Estate of Late Sh. Gurbachan Singh, r/o Village Rahimpur, District Jalandhar, Punjab.

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(ii) Sh. Amrik Singh s/o Late Sh. Gurbachan Singh, Legal heir to the Estate of Late Sh. Gurbachan Singh, r/o Village Rahimpur, District Jalandhar, Punjab.

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(iii) Sh. Gurvinder Singh s/o Late Sh. Gurbachan Singh, Legal heir to the Estate of Late Sh. Gurbachan Singh, r/o Village Rahimpur, District Jalandhar, Punjab.

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(iv) Smt. Baljit Kaur d/o Late Sh. Gurbachan Singh, Legal heir to the Estate of Late Sh. Gurbachan Singh, r/o Village Rahimpur, District Jalandhar, Punjab.

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(v) Smt. Manjeet Kaur d/o Late Sh. Gurbachan Singh, Legal heir to the Estate of Late Sh. Gurbachan Singh, r/o Village Rahimpur, District Jalandhar, Punjab.

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(vi) Smt. Rajveer Kaur d/o Late Sh. Gurbachan Singh, Legal heir to the Estate of Late Sh. Gurbachan Singh, r/o Village Rahimpur, District Jalandhar, Punjab.

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……….Defendants

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Advocates

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Ms. Lovedeep Kaur proxy counsel for Ms. Puja Sharma, Counsel for the applicant bank.

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Defendants - ex parte vide order dated 13.08.2025 .

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OA for the Recovery of ₹35,82,087/- with interest @12.10% per annum with half-yearly rests from 21.03.2024.

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ORDER

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SBI has filed this application under Section 19 of the Recovery of Debts and Bankruptcy Act, 1993 (RDB Act) for the recovery of ₹35,82,087/- with interest against Late Sh. Gurbachan Singh and others (defendants).

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Bank’s case is that on 21.03.2015, it had granted a loan of ₹20.00 Lacs to defendant i.e. Sh. Gurbachan Singh (since deceased now survived through his legal heirs) in the form of K.C.C Limit for agricultural purpose. To secure the loan, Defendant i.e. Sh. Gurbachan Singh had mortgaged his land (fully detailed in para No.3A of the application). The loan was chargeable to interest @12.10% per annum with half-yearly rests. Defendants had duly acknowledged their liability towards the debt on 16.03.2017, 20.02.2020 and 29.11.2021. On 09.10.2023, a sum of ₹35,82,087/- was due from the defendants. Despite repeated requests, defendants did not make the repayment. Hence, this application.

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On 04.04.2024, summonses were sent to the defendants by registered post, which were duly served. However, defendants did not put in appearance. Vide order dated 13.08.2025, they were proceeded ex parte .

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In order to prove its case, the Bank has placed on record the affidavit of Ms. Mansi Chugh, Chief Manager along with the loan and security documents and marked them as Exhibit A-1 to A-11.

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I have perused the evidence on the record. I am of the considered view that the Bank has proved its case that it had advanced the loan of ₹20.00 Lacs and on 09.10.2023, a sum of ₹35,82,087/- was due.

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Accordingly, the application of the bank for the recovery of ₹35,82,087/- (Rupees Thirty Five Lacs Eighty Two Thousand Eighty Seven Only) with interest @12.10% per annum with half-yearly rests from 21.03.2024, till the date of payment is hereby allowed with costs. The liability of the legal heirs of Late Sh. Gurbachan Singh would be limited upto the extent of the property inherited by them from him. Bank can recover its dues by the sale of mortgaged land fully detailed in para No.3A of the application as well as from the movable and immovable property(ies) inherited by the legal heirs from Sh. Gurbachan Singh (now deceased).

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Pending IAs, if any, stand disposed of. 8. Recovery Certificate be issued accordingly. 9. Parties are directed to appear before Recovery Officer on 05.05.2026, who is directed to distribute the sale proceeds of the mortgaged land and standing crops as per the provisions of Section 19(20-AB) of the Act . 10. A Copy of this order along with Recovery Certificate be sent to the Recovery Officer as well as the parties. Pronounced in the open Court. (A S Narang) Dated: 27.03.2026 Presiding Officer DRT-1, Chandigarh MANOJ KALRA

State Bank of India v. Late Sh. Gurbachan Singh @Bachan Singh

Case brief

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State Bank of India v. Late Sh. Gurbachan Singh @Bachan Singh

Case brief

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