Allowed

Indian Bank (Allahabad Bank) v. Sri Amarjeet Singh

DRT22 Jan 2026OA/514/2024

Case brief

AI extract

What is this about?

The Debt Recovery Tribunal allowed an application for recovery of a debt of Rs. 58,74,863.77 secured by loan accounts. The court held the application was filed within the limitation period, the debt was established via documentary evidence and banker's books, and issued a recovery certificate against the joint and several defendants.

What did the court decide?

Recovery certificate issued for Rs. 58,74,863.77 plus interest @ 10% p.a. from filing date and costs. Mortgaged assets attached and remaining liability to be recovered by sale.

Indian Bank (Allahabad Bank) versus Sri Amarjeet Singh — Banking and Recovery | DRT (2026)

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OA 514 of2024jJl

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DRT. PATN A

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Debts Recovery Tribunal, Patna

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Karpuri Thakur Sadan, Aashiana Digha Road Patna-800025

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Presiding Officer : Shri Kaushalendra Yadav

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OA Case No. 514 of 2024

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Indian Bank (erstwhile Allahabad Bank), Patna Sahen Branch, Patna

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. . . . . . .Applicant

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Sri Amarjeet Singh. Son of Late Sardar Mahendra Singh, resident of Mohalla- Bare Ki (3ali, Jhauganj, Chowk, Patna City, P.O + P.S.Khajekala, Patna 800008

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Also at- C/o- Kanwal General Store, Fulouriganj, Chowk, Patna City, P.O + P.S.- Khajekala. Patna 800008

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Sri Narendra Singh, Son of Late Sardar Mahendra Singh, resident of Mohalla- Bare Ki Gali, Jhauganj, Chowk, Patna City, P.O + P.S.Khajekala. Patna 800008

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. . . . . . . Defendants

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Present:

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For the Applicant : Shri Manoj Kumar, Advocate For the Defendants : Shri Md. Yunus, Advocate

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Dated: 22.01.2026

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JUDGMENT

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The Applicant bank has made this application u/s 19 of the Recovery of Debts and Bankruptcy Act. 1993 (here-in-after referred to as Act) on30.09.2024 against the defendants to recover its debts from defendants of Rs.58,74,863.77 as on 11.09.2024 along with pendente-lite and future interest at the contractual rate from 12.09.2024with costs till realization.

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The application has been filed with the contention that the applicant bank, is a body corporate, carries on the business and is competent to file the suit through various branches including the applicant.

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Defendant no.1 is a proprietorship firm of which defendant no.2 is the proprietor.Defendants approached the applicant bank for sanction of Cash Credit facility of Rs.18 Lakh, vide loan application dated 09.12.2009, which was sanctioned by the applicant bank on 15.12.2009on various terms and conditions, as stipulated in the sanction letter, which were duly accepted by the defendants. To secure the loan facilities defendants have executed various loan

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OA 514 of 20241 Jl

and security documents and also created mortgage in favour of the applicant bank, details of which are given in OA. At the request of the defendants, the applicant bank has also granted Rural Term Loan of Rs.1.90 Lakh.The defendants have also executed letters of acknowledgement of debt on 03.1 1 .201 8 and 3 1 .03.2020 respectively.

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After availing the sanctioned credit facilities, the defendants became irregular in repayment of their dues as per agreed terms and failed to adhere to the financial norms of the bank and avoiding the repayment of its dues to the bank. in spite of several assurances given by it to the applicant bank resulting in the account turning as NPA on 16.12.2018. Thereafter, the applicant bank sent demand notice on 21.03.2020 and also sent notices dated 26.11.2021 and 11.10.2022 issued by the National Lok Adalat for compromise but the defendants choose not to appear.

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Since. the defendants failed and neglected in spite of several reminders to make payment of the dues recoverable to the bank, hence this application has been filed by the bank.

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The total liability in the loan account is Rs.58,74,863.77 as on 11.09.2024 with pendente-lite and future interest contractual rate from 12.09.2024 till the realization.

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This Tribunal issued summons/notices copies of application & paper book to the defendants by registered/speed post on 14.11.2024, requiring them to show-cause within 30 days of the service U/s 19 (4) of the Act & Rule of the DRT [Procedure] Rules, 1993. Thereafter notice dated 21.12.2024 has also been issued by this Tribunal to the defendants which was served by way of affixation of notice to conspicuous part of the business unit of the defendants on 05.02.2025 and some photographs of the affixation of notice has also been filed along with the fresh service report filed on affidavit by Shri Guddu Vishal, Branch Manager of the applicant bank.

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In response to the notices, the defendants have appeared through their Id. Counsel by filing vakalatnama on 10.02.2025 but no written statement has been filed within the statutory period hence vide order dated 13.10.2025, opportunity for the same was closed

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To prove its case, the applicant Bank has referred various certified photocopies of documents before this Tribunal. The applicant bank has also

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given evidence on affidavit by way of affidavit by Shri Guddu Vishal, Branch Manager of the applicant bank of the applicant bank. The details of documents are as follows:

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SI.No	of Description Documents Photocopies	1 Date of Execution	1Amount I(in Lakh)	ISignatur 1Executa I	eof1Ex./ ntsIAnn. INo.
	Loan application	09.12.2009	e
	a	15.12.2009	a
	Acknowledgement ofsanction letter	15.12.2009	e
	DPNote	15.12.2009	e
	Agreementofloan	15.12.2009	e
	t agreement	15.12.2009	e
7	a confirming deposit of titledeeds	16.12.2009	e		7
8	Photocopy ofLease DeedAgreement	18.05.2009			8
9	Form of acknowledgementof debt	03.11.2018 31.03.2020		Defendants	9
	Demandnotice	21.03.2020		Bank
	Requestletter	01.11.2021		Defendants
	Noticeof Lok Adalat	26.11.2021 11.10.2022
13	Legal notice	20.05.2024 10.05.2024		Bank’sadv.	1 3
14	Statement of accounts			Bank	14

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Heard arguments and perused the case record.

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Ld. Counsel of applicant bank submitted that the defendants have taken the loan and utilized the same and also executed the various loan documents to secure the loan. Further, submitted that the claim of the bank has been proved by documentary evidence. All the transactions were entered in the ledger of the loan accounts in the name of the defendant duly maintained by the applicant bank in its usual course of business. The interest /compound interest has been charged at such rates, and capitalized at such periodical rests as are permitted by and do not run counter to the directives of Reserve Bank of India.

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It is further submitted by Id. Counsel of applicant bank that there is no stay granted by any Higher Court, in respect of the proceedings of the present OA and requested to issue recovery certificate, as claimed for, in OA.

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(baal Presidi8B OIDen O'’'’t’ RecoveR Tribunal PATh'A

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OA 514 of 20241 Jl

It has been established that defendants are living and carrying on their business in the state of Bihar. Cause of action also arose in the State of Bihar. The said claim on the date of filing of application exceeded Rs.20 lacs. The applicant bank is functioning within the jurisdiction of this Tribunal. Therefore, this Tribunal has territorial as well as pecuniary jurisdiction to adjudicate upon the present application.

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On the issue of Limitation. to prove it, the applicant bank has submitted that the applicant..bank has declared the account as NPA on 16.12.2018. The defendants have also executed letters of acknowledgement of debts lastly on 31.03.2020. Further the defendants have written a request letter to the applicant bank on 01.11.2021 with a request to grant 60 days’ time to operate the accounts regularly, whereas the present application has been filed on 30.09.2024.Even, it is counted for the purpose of Limitation, then it is established that the applicant bank has filed the case within the limitation period. As such, it is established that the prepent application has been filed well within the period of limitation.

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Shri Guddu Vishal, Branch Manager of the applicant bankof the applicant bank has filed the affidavit in support of contents of application and the documents as evidence and proved on oath the pleadings and documents of the applicant bank as stated above.

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Section 19(3) of the Recovery of Debts and Bankruptcy Act, 1993 provides that the application u/s S.19 (1) shall be accompanied with true copies of all the documents relied on in support of the claim.

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The rule 12 (10) of the Debt Recovery Tribunal (Procedure) Rules, 1993, provides that if the defendant denies his liability to pay the claim made by the applicant, the tribunal may act upon the affidavit of the applicant who is acquainted with the facts of the case or who has on verification of the record sworn the affidavit in respect of the contents of the application and the documents as evidence.

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The rule 12 (11) of the aforesaid Rules, provides that the provisions contained in section 4 of the Banker’s Books evidence that Act, 1891 (18 of 1891) shall apply to a certified copy of an entry in a Banker’s Books furnished along with application filed under sub section 1 of section 19 by the applicant.

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Section 4 of Banker’s Books evidence Act, 1891 runs as underS.4. Mode of proof of entries in bankers’ books.–Subject to the provisions of this Act, a certifIed copy of any entry in a banker’s book shall in all legal proceedings be received as primafacie evidence of the

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uwe.' ..,_,,ely TxWaBI PATHA

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existence of such entry. and shall be adnritted as evidence of the matters, transactions cmd accounts therein recorded in every case where, and to the same extent as, the original entry itself is now by law' adnrissible, but not further or otherwise.

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As such the certified true copies of the documents are admissible in evidence. The statement of account maintained in the ordinary course of business is not only admissible but shall be taken as the correct statement of account, more so since the entries in the statement of account have not been challenged.

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On perusal of the application, documents, affidavit and on consideration of the arguments, it is proved that the defendants have applied for loan and the bank had sanctioned the loan and to secure the loan and for repayment of loan amount with interests etc., the defendants have executed various loan documents, as stated in the application and proved by aforesaid evidence. Defendants have neither denied the utilization of funds advanced by applicant bank nor have pointed out any specific error and discrepancy in the Statement of Account.

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The evidence discussed above goes to establish that the amount of loan as mentioned in the O. A., was availed by the borrower under the agreed terms and conditions for repayment with interest. The balance amount till 11.09.2024has been proved to be Rs.58,74,863.77 only by way of statement of accounts. There is nothing to prove the amount more than that disclosed in the aforementioned statement. As such this amount is recoverable till full and final realization of the claim.

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In my view, facts of the case stand proved by evidence of the applicant bank. Accordingly, the applicant bank is entitled to recover from defendants jointly and severally of Rs.58,74,863.77 along with pendente-lite and fbture interest @10% p.a. simplefrom 30.09.2024 (The date of filing of this OA) till realization. So the final order may be passed accordingly, to meet the ends of justlce.

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ORDER

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In the result, the application of the applicant bank is allowed and debt is determined with costs against the defendants. The defendants are hereby jointly and severally, ordered to pay the applicant bank its debt amounting toRs.58,74,863.77 along with pendente-lite and future interest @ 10% p.a.

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simple from 30.09.2024 (The date of filing of this OA) till realization of the entire sum due and recoverable with costs.

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It is made clear that any amount deposited by the defendants, be deducted in the claim amount. if not deducted.

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Defendants are debarred from transferring, alienating encumbering or otherwise dealing with or disposing of the mortgaged or hypothecated or any other properties and assets without paying the aforesaid adjudicated dues to the applicant bank to secure the ends of justice. The mortgaged or hypothecated assets to secure the loan in question are hereby attached and shall be subject to the final order under the recovery proceedings in pursuance of the Recovery certificate issued under Section 19(22) of Recovery of Debts and Bankruptcy Act 1993. The applicant may submit the certified copy of this Judgment and the Recovery Certificate before the Registrar/Sub- Registrar to endorse the charge over the secured assets.

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Let a certificate of recovery be drawn up forthwith and put up for signatures in terms of provisions contained in Section 19(22) of the Act to be issued. on the basis of the order of the Tribunal to the Recovery Officer. The Recovery Officer shall realize the amount as per the certificate in the manner and mode prescribed under the Act from the defendants, by sale of mortgaged/ hypothecated assets as well as other personal movable/immovable assets of the defendants. The Recovery Officer will issue demand notice to the Certificate debtors only after the proof of compliance under rule 16 of DRT (Procedure) Rules 1993, is submitted. The copy of this judgment be uploaded in the website of the Tribunal.

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Parties are directed to appear before the Recovery Officer, DRT, Patna on 27.02.2026. The order be communicated accordingly.

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Judgment signed, sealed, dated and pronounced in the open court on 22ND day of January, 2026.

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Dictated &corrected by me.

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;(,& a'b' ~r\ q/y [KaushaendraYadav] Presiding Officer Debts Recovery Tribunal, Patna

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Pr88lawt Often O©bts ReGove IY Tdbwl& rATNA

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EQBNLNh!

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DEBTS RECOVERY TRIBUNAL PATNA

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[See Regulation 24( 1 )]

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2nd Floor, (A. B & F Wing) Karpud Thakur Sadan, Kendiya Karamchari Parisar (GPOA), Ashiana Digha Road, Patna-800025.

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RECOVERY (,'ERTIFI(,ATE UNDER SECTION 19(7) READ WITH SECTION 19(O2 QF THE RE(,'OVERY OF DEBTS a BANKRUPTCY ACT1 19939 AS AMENDED FROM TIME TQ TIME-

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R£EgJIZ2a26 IN Case No: OA/514/2024

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In the Matter on

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(CH- 1) INDIAN BANK (ALLAHABAD BANK) PATNA SAHEB BRANCH, PATNA ,BIHAR -800008

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Applicant(s)

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–-– Versus -----

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To (CD- 1) SRI AMARJEET SINGH Late Sardar Mahendra Singh Resident ofMohalla- Bare Ki GaIL Jhauganj, Chowk, Panta City, P.O. and RS.- Khajekala, Patna ,BIHAR -800008

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Also At

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C/0- KANWAL GENERAL STORE, FULOURIGANJ. CHOWK PATNA CITY. PO+PSKHAJEKALA, PATNA PIN- 800008

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Defendant(s)

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(CD- 2) SRI NARENDRA SINGH SON OF LATE SARDAR MAHENDRA SINGH, RESIDENT OF MOHALLA- BARE Kl GALI. JHAUNGANJ. CHOWK PATNA CITY, P.0. + P.S.-

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KHAJEKALA, PATNA- 800008

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R€govery C€rtifjgate fQr R$ 5874863#77 i RPpe$$ Fifty_Ught Laklls $W9pty FQur ThQY$and; Eight Hundred Sixty Three And Pai$9 Stvtrlty $$v$n Q11lyJ

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In terms of final order dated 22/01/2026 passed by this Tribunal in the above mentioned case, it is ordered that the Applicant Certificate Holder Bank is entitled to recover a sum of Rs. 5874863.77 along with cost, expenses and interest from the 30/09/2024 i.e. date of filing / with effective date of the OA/5 14/2024 and future interest from order date till the date of realisation in full, jointly or severally from the Certificate Debtors, hereinafter referred to as:-

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r.noICDName	Loan !Type	Int. It. I npc/Mode IRate	I Effective I Date
			1/2026	g5874863.77	lintly ,nd y	lerest IAs on	15874863.77
		le Interest 'early)	>1/202	6g5874863.77	ointly HAnd rerally

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In case of failure to pay the aforementioned adjudicated amount within 30 days, same shall be recovered from the sale of the mortgaged/hypothecated assets as well as other personal movable/ Inunovable assets of the certificate debtors.

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The mortgaged or hypothecated assets to secure the loan in question are hereby attached and shall be subject to the final order under the recovery proceeding in pursuance of the Recovery certificate issued under Section 19(22) of Recovery of Debts and Bankruptcy Act 1993. Parties are directed to appear before ASHISH KUMAR , Recovery OfTicer1 DEBTS RECovERy TRiBUNAL PATNA on 27/02/2026

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The Recovery Officer shall realize the amount as per this Certificate in the manner and mode prescribed under Sections 25 to 28 of the Recovery of Debts Due to Banks and Fhancial Institutions Acl 1993 (as amended from time to time) from the above named Certificate Debtors.

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This Certificate has been issued under my signature and seal of the Tribtmal on this 04/02/2026

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C 11:1!>
Registrar
Debts Recovery Tribunal
Pat na

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PRESIDING OFFICER DEBTS RECOVERY TRIBUNAL PATNA

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Presiding Often Debts Recovery Tribwrd PATNA

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FORM NO. 10

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