Allowed

Union Bank of India (Corporation Bank) v. Santosh Birje

DRT25 Mar 2026OA/58/2022

Case brief

AI extract

What is this about?

Debts Recovery Tribunal allowed the bank's original application for recovery of Rs.25.42 lakh plus future interest @9% p.a. granted against non-appearing defendants who defaulted on a Kisan Credit Card loan secured by a mortgage on agricultural land.

What did the court decide?

Directs defendants to pay Rs.25,42,635 with future interest @9% p.a. from filing date; directs issue of Recovery Certificate; confirms mortgage security.

Union Bank of India (Corporation Bank) versus Santosh Birje — Specific Performance | DRT (2026)

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Presented on .. 28.08.2021 Registered on .. 15.02.2022 Decided on .. 25.03.2026 Duration .. Y—M—D 04--06--27

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IN THE DEBTS RECOVERY TRIBUNAL AT PUNE (Before Shri Dilip G. Murumkar, Presiding Officer) ORIGINAL APPLICATION No. 58/2022.

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Union Bank of India, (Erstwhile Corporation Bank,)

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A body corporate constituted under the Banking Companies (Acquisition & Transfer of Undertakings) Act, 1980, having its head office at 239, Vidhan Bhavan Marg, Nariman Point, Mumbai – 400 021 and having one of its branch at – Office No. 2, D Wing, 1^st Floor, Javakar Plaza, Main Road, Ratnagiri 415 612.

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… Applicant

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Versus

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1 Mr. Santosh Yashwant Birje, Age Adult, Occ. Agri. & Business, R/at – 402, Birje Wadi, Gawade Ambere, Taluka and District Ratnagiri 415 626.

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2 Mr. Manoj Yashwant Gawali, Age Adult, Occ. Agri. & Business, R/at – Newkhol, Konkan Garjana Press, Near Parvati Niwas, Taluka and District Ratnagiri 415 626.

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Sanap ( OA No. 58/2022 ) 1 of 5

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3 Mr. Salim Sharif Kazi, Age Adult, Occ. Agri. & Business, R/at – H. No.334, Khariwada, Gawade Ambere, Taluka and District Ratnagiri 416 626.

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… Defendants

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Appearances :- For Applicant Advocate Sriniwas Y. For Defendants Ex parte.

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Total Claim Amount – Rs.25,42,635/-

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JUDGMENT

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(Delivered on 25^th March, 2026)

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The Applicant Bank has filed the present application for recovery of the sum of Rs.25,42,635/- together with future interest @11.65% per annum from the date of Application till realization of the entire dues from the defendants.

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Brief facts of the application are as under :-

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As per the loan application of defendant No.1, the applicant Bank sanctioned the Kisan Credit Card facility of Rs.13,00,000/- to defendant No.1 for the purpose of Mango crops cultivation vide Sanction Letter dated 05.09.2015. Defendant Nos. 2 and 3 stood guarantors for the repayment of loan availed by defendant No.1 from the applicant Bank.

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In order to secure the aforesaid loan facility, the defendants have executed necessary loan and security

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Sanap ( OA No. 58/2022 ) 2 of 5

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documents in favour of the applicant Bank. Defendant No.1 has also executed simple mortgage dated 04.09.2015 in favour of the applicant Bank in respect of all that piece and parcel of the agricultural land bearing S.No. 116 Hissa No. 5 admeasuring 93R and Pot Kharaba admeasuring 8R situated at village Gawade Ambere, Tal. & Dist. Ratnagiri. 3. Thereafter, on the request of defendant No.1 for enhancement of limits of said Kisan Credit Card facility from Rs.13,00,000/- to Rs.16,00,000/-, the applicant Bank reviewed/renewed the said facility on 09.08.2016.

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Defendant No.1 has also executed Letter of Acknowledgment of Debt and Security on 04.09.2018 in favour of the applicant Bank and thereby confirmed the balance outstanding in loan account.

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The applicant Bank contended that the defendants committed defaults in payment of installments and failed to regularize the accounts. Hence, on 30.09.2019, the applicant Bank has classified the account of the defendants as Non-Performing Asset in accordance with guidelines of Reserve Bank of India. Thereafter, on 30.07.2020, the applicant Bank issued legal Notice to the defendants. Despite service of Notice, the defendants failed and neglected to pay the outstanding dues of the applicant Bank. Hence, this application is filed.

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Sanap ( OA No. 58/2022 ) 3 of 5

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The defendants failed to appear despite service of summons. Hence, the application proceeded ex-parte against the defendants as per Order dated 04.07.2024 passed below Application (Exhibit-1).

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The applicant Bank has filed Claim Affidavit of evidence (Exhibit-6) of Mr. Veeresh, Branch Manager and Principal Officer of the applicant Bank, and has produced on record the original loan transaction documents at Sr. Nos. AW-1 to AW-13 along with list (Exhibit 9), which corroborates the case of the applicant Bank.

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I have heard arguments of the learned Advocate for the applicant Bank.

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

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The applicant Bank has claimed future interest @11.65% per annum. However, considering the facts of the case, I am of the opinion that if future interest is granted @9% per annum (simple), it would be just and reasonable rate of interest.

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Hence, I pass the following order.

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O R D E R

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A} Original Application No. 58/2022 is allowed with costs.

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Sanap ( OA No. 58/2022 ) 4 of 5

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B} Defendant Nos.1 to 3 either jointly or severally shall pay to the applicant Bank the sum of Rs.25,42,635/- (Rupees Twenty Five Lakh Forty Two Thousand Six Hundred Thirty Five only) along with future interest @9% per annum from the date of filing of the Original Application i.e. 28.08.2021 till full payment/realization of the amount mentioned in this operative order.

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C} The aforesaid adjudicated amount is secured by the valid and subsisting mortgage in respect of all that piece and parcel of the agricultural land bearing S.No. 116 Hissa No. 5 admeasuring 93R and Pot Kharaba admeasuring 8R situated at village Gawade Ambere, Taluka and District Ratnagiri, more particularly described in the Para No. 5.7 of the Original Application.

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D} The applicant Bank is entitled to sell the mortgaged property to recover its dues.

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E} Issue Recovery Certificate.

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F} The Registrar is directed to send the copy of Judgment and Recovery Certificate to the applicant and defendants.

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Sd/( Dilip G. Murumkar ) Place : Pune Presiding Officer Date : 25.03.2026 Debts Recovery Tribunal, Pune.

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Sanap ( OA No. 58/2022 ) 5 of 5

Union Bank of India (Corporation Bank) v. Santosh Birje

Case brief

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Union Bank of India (Corporation Bank) v. Santosh Birje

Case brief

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