Allowed

Bank of Maharashtra v. Prakash Salvi

DRT23 Mar 2026OA/49/2022

Case brief

AI extract

What is this about?

The Debts Recovery Tribunal allowed the Bank of Maharashtra's original application for recovery of dues totaling approximately Rs. 2.46 crore. The Court reduced the claimed future interest rate to 9% p.a. and directed a mortgage adjudication over three parcels of land with a right to sell the properties to recover dues.

What did the court decide?

Debt of Rs. 2.46 crore to be paid by respondents with future interest at 9% p.a.; mortgage adjudication ordered; right to sell mortgaged land granted; Recovery Certificate to be issued.

Bank of Maharashtra versus Prakash Salvi — Specific Performance | DRT (2026)

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Presented on: 11.10.2021 Registered on: 10.02.2022 Decided on: 23.03.2026 Duration: Y M D

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04 05 12

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IN THE DEBTS RECOVERY TRIBUNAL AT PUNE

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(Before Shri Dilip G. Murumkar, Presiding Officer) ORIGINAL APPLICATION No.49/2022.

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Bank of Maharashtra ,

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A Body Corporate constituted under the Banking Companies (Acquisitions & Transfer of Undertakings) Act 1970 having its Head Office at “Lokmangal” 1501, Shivajinagar, Pune-5 and Branch amongst other places at Pawas Branch, Desai Building 494, Block No.2, Bazar Peth, Pawas, Taluka and District Ratnagiri-415 616.

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… Applicant

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Versus

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1. Mr. Prakash Shankar Salvi

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2 . Mr. Dattaram Ragho Tambe

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3 . Mr. Mangesh Shankar Salvi

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Smt. Parvati Shankar Salvi R/at & Post Golap, Tal.& Dist. Ratnagiri-415 616.

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… Defendants

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APPEARANCES

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For the Applicant For the Defendants

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Mr. Srinivas Y. - Advocate Ex-parte.

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TOTAL CLAIM AMOUNT – Rs.2,46,81,450/-.

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JUDGMENT

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(Delivered on 23^rd March, 2026)

(OA No.49/2022)

Page 1 of 8

[ANIL]

1 The Applicant Bank has filed present application for recovery of aggregate sum of Rs.2,46,81,450/- [i.e.Rs.1,38,02,291/- towards Agricultural Term Loan (Converted from MKCC) & Rs.1,08,79,159/towards Mahabank Kisan Credit Card Facility] together with future interest thereon at the rate of @11.75% p.a. respectively with monthly rests from the date of filing this application till actual realization of amount from Defendant Nos.1 to 4.

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2 Brief facts of the application are as under: - Defendant No.1 approached the applicant bank and requested for a Maharashtra Kisan Credit Card Facility of Rs.1,00,00,000/- for the purpose of cultivation and sell of mangoes. Defendant No.2 to 4 offered themselves as Guarantors for securing the loan availed by Defendant No.1.

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The applicant bank considered the request of defendant No.1 and thereby sanctioned Maharashtra Kisan Credit Card Facility of Rs.1,00,00,000/- on 16.08.2013 to Defendant No.1 for purpose of cultivation and sell of mangoes, on certain terms and conditions.

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In order to secure the aforesaid Loan facilities, the defendants have executed certain loan documents on 16.08.2013 in favour of the Applicant Bank, as mentioned in Para Nos.5.3.3 of the Original Application.

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Defendant No.1 also executed Declarative Mortgage on 03.08.2013 of the properties under the provisions of Maharashtra Provision of Facilities for Agricultural Credit by Banks Act, 1974, as per Section 5(1) of the said Act and charged the properties i.e. –

(OA No.49/2022)

Page 2 of 8

[ANIL]

( A ) - All that piece and parcel of Agricultural Land lying and situated at village Golap, Tal. And District Ratnagiri bearing – (i)- S.No.242/2 admeasuring 00H 77R (ii)- S.No.333/15/1 admeasuring 01H 47R (iii)- S.No.334/18/1 admeasuring 02H 13 R (iv)- S.No.290/1A admeasuring 01H 17R (v)- S.No.333/2 admeasuring 00H 16R (vi)- S.No.333/6 admeasuring 00H 15R (vii)- S.No.333/1 admeasuring 01H 18 R (viii)- S.No.333/3 admeasuring 01H 16R (ix)- S.No.333/5 admeasuring 01H 36R (x)- 79/4/1 admeasuring 00H 91R (xi)- S.No.290/1B admeasuring 01H 16R (xii)- S.No.82/A/3A/1 admeasuring 00H 88R (xiii)- S.No.284/11 admeasuring 00H 24R (xiv)- S.No.284/3C admeasuring 00H 46R (xv)- S.No.334/10 admeasuring 00H 2R (xvi)- S.No.334/8 admeasuring 00H 28R (xvii)- S.No.283/4B admeasuring 01H 02R (xviii)- S.No.337/1 admeasuring 02H 00R

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( B )- All that piece and parcel of land lying and situated at village Kolambe, Tal. And District Ratnagiri bearing (i)- S.No.171/2A admeasuring 00H 12R; (ii)- S.No.171/1A admeasuring 00H 21R and (iii)- S.No.171/3A admeasuring 03H 61R;

(OA No.49/2022)

Page 3 of 8

[ANIL]

( C )- All that piece and parcel of the land bearing S.No.1527 admeasuring 00H 80 R and Potkharaba admeasuring about 01H 90R lying and situated at village Khanwali, Taluka Lanja, District Ratnagiri more particularly described in Para No.5.3.4 of the Original Application.

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3 Defendant No.1 again approached the applicant bank and requested to convert Mahabank Kisan Credit Card into Agricultural Term Loan on 14.08.2015. The applicant bank has considered the request of defendant No.1 and sanctioned the replacement of Mahabank Kisan Credit Card in the form of conversion into Agricultural Term Loan Facility of Rs.99,87,000/- i.e. total amount including ledger balance and unapplied interest at the time of conversion on 14.08.2015. Defendant No.1 availed the additional limit with ledger balance and availed the amount of Rs.1,00,00,000/-.

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Defendant No.1 was again in need of financial assistance and approached applicant bank for Maharashtra Kisan Credit Card Facility to the tune of Rs.1,00,00,000/-. The applicant bank considered and sanctioned Rs.1,00,00,000/- towards Mahabanbk Kisan Credit Card Facility to Defendant No.1 on 23.12.2015 for the purpose of cultivation and sell of mangoes.

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In order to secure the aforesaid Loan facility, the defendants have executed certain loan documents in favour of the Applicant Bank, as mentioned in Para Nos.5.4.3 of the Original Application.

(OA No.49/2022)

Page 4 of 8

[ANIL]

Defendant No.1 also executed additional Declarative Mortgage on 20.08.2013 of the properties under the provisions of Maharashtra Provision of Facilities for Agricultural Credit by Banks Act, 1974, as per Section 5(1) of the said Act and additionally charged the properties more particularly described in Para No.5.3.4 of the Original Application.

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4 Applicant Bank contended that after availing above said Loan Facilities, the defendants failed and neglected to pay outstanding amount and comply with the terms and conditions in which the said facilities were granted to them. Defendant No.1 has failed to pay the installments in Term Loan account and also failed to pay interest in MKCC and committed breach of the sanction terms and hence, account of Defendant No.1 with the applicant bank has become NPA dated 29.03.2021, as per Reserve Bank of India norms.

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Therefore, the applicant bank issued Recall Notice dated 13.09.2021 to all the defendants. However, in spite of sending and receipt of the notices, the defendants failed to pay the amount of their credit facilities and ignored his responsibility to pay the dues.

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Hence, this application is filed.

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5 Defendant Nos.1 to 4 have failed to appear despite service of summons. Hence, the application proceeded ex-parte against them vide Order dated 14.02.2024 passed below the Application (Exh.-01).

(OA No.49/2022)

Page 5 of 8

[ANIL]

6 The Applicant Bank has filed Claim Affidavit of Mr. Kishor Kulkarni, Chief Manager & produced on record the Loan Transaction documents (Exh.07) at Exhibits.AW-1 to AW-20, which corroborates the case of the Applicant Bank.

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7 I have heard arguments of the learned Advocate for the Applicant Bank.

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8 Since the defendants failed to appear and contest the application, I find no reason to disbelieve the evidence of the Applicant Bank. Therefore, the Applicant Bank is entitled for reliefs as claimed.

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9 The Applicant Bank has claimed future interest @12.00% p.a . for the Term loan facility & @14.25 p.a. for MKCC Loan Facility. However, considering the facts of the case, I am of the opinion that if future interest is granted @9% p.a. (simple), it would be just and reasonable rate of interest.

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10 Hence, I pass the following order :-

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(A) Original Application No.49/2022 is allowed with costs.

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(B) Defendant Nos. 1 to 4 either jointly or severally shall pay an aggregate sum of Rs.2,46,81,450/ -(Rupees Two Crore Fourty Six Lakhs Eighty One Thousand Four Hundred Fifty only) [i.e. Rs.1,38,02,291 /- (Rupees One Crore Thirty Eight Lakhs Two Thousand Two Hundred Ninety One) towards Agricultural Term Loan Facility and Rs . 1,08,79,159 /- (Rupees One Crore Eight Lakhs Seventy Nine Thousand One Hundred Fifty Nine only) towards Mahabank Kisan Credit Card

(OA No.49/2022)

Page 6 of 8

[ANIL]

Facility] to the applicant bank with future interest @ 9% p.a. (Simple) from the date of filing of the Original Application i.e.11.10.2021 till payment/ realization of the amount mentioned in this operative order.

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( A ) - All that piece and parcel of Agricultural Land lying and situated at village Golap, Tal. And District Ratnagiri bearing –

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(i)- S.No.242/2 admeasuring 00H 77R (ii)- S.No.333/15/1 admeasuring 01H 47R (iii)- S.No.334/18/1 admeasuring 02H 13 R (iv)- S.No.290/1A admeasuring 01H 17R (v)- S.No.333/2 admeasuring 00H 16R (vi)- S.No.333/6 admeasuring 00H 15R (vii)- S.No.333/1 admeasuring 01H 18 R (viii)- S.No.333/3 admeasuring 01H 16R (ix)- S.No.333/5 admeasuring 01H 36R (x)- 79/4/1 admeasuring 00H 91R (xi)- S.No.290/1B admeasuring 01H 16R (xii)- S.No.82/A/3A/1 admeasuring 00H 88R (xiii)- S.No.284/11 admeasuring 00H 24R (xiv)- S.No.284/3C admeasuring 00H 46R (xv)- S.No.334/10 admeasuring 00H 2R (xvi)- S.No.334/8 admeasuring 00H 28R (xvii)- S.No.283/4B admeasuring 01H 02R (xviii)- S.No.337/1 admeasuring 02H 00R

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( B )- All that piece and parcel of land lying and situated at village Kolambe, Tal. and District Ratnagiri bearing (i)- S.No.171/2A admeasuring 00H 12R; (ii)S.No.171/1A admeasuring 00H 21R and (iii)- S.No.171/3A admeasuring 03H 61R.

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( C )- All that piece and parcel of the land bearing S.No.1527 admeasuring 00H 80 R and Potkharaba admeasuring about 01H 90R lying and situated at village Khanwali, Taluka Lanja, District Ratnagiri

(OA No.49/2022)

Page 7 of 8

[ANIL]

more particularly described in Para No.5.3.4 of the Original Application.

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(D) The Applicant Bank is entitled to sell the mortgaged immovable properties to recover its dues.

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(E) Issue Recovery Certificate. (F) The Registrar is directed to send the copy of Judgment and Recovery Certificate to the Applicant Bank and the defendants.

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Sd/Place : Pune (Dilip G. Murumkar) Date: 23.03.2026 Presiding Officer, Debts Recovery Tribunal, Pune.

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(OA No.49/2022)

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Page 8 of 8

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[ANIL]

Bank of Maharashtra v. Prakash Salvi

Case brief

What is this about?

What did the court decide?

Bank of Maharashtra v. Prakash Salvi

Case brief

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