Allowed

Punjab Gramin Bank v. Sh. Sarwan Kumar

DRT27 Aug 2026OA/584/2025

Case brief

AI extract

What is this about?

The Debts Recovery Tribunal allowed an application by Punjab Gramin Bank for recovery of Rs.25,06,704.29p with interest against respondent Sarwan Kumar. The court held the bank proved its case of default and ordered recovery through sale of mortgaged assets and other properties.

What did the court decide?

Application allowed; recovery of Rs.25,06,704.29p with interest directed against mortgaged assets, hypothecated assets, and respondent's personal property.

Punjab Gramin Bank versus Sh. Sarwan Kumar — Insolvency and Bankruptcy | 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: 584/2025 Date of Institution: 02.04.2025 Date of Decision: 27.08.2026

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Punjab Gramin Bank, a branch at Chak Sukar, Distt. Fazilka.

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.....Applicant Vs.

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Sh. Sarwan Kumar S/o. Sh. Harditta Ram R/o. H.no.86, Village Bagge Ke Utarh, Distt. Fazilka.

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……Defendant

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Advocates

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Ms. Seerat Sharma proxy counsel for Ms. Puja Sharma, Counsel for the applicant bank. Defendants – ex parte.

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OA for the Recovery of Rs.25,06,704.29p with interest @13.50% per annum with half-yearly rests from 02.04.2025.

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ORDER

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On 02.04.2025, Punjab Gramin Bank filed this application under Section 19 of the Recovery of Debts and Bankruptcy Act, 1993 (RDB Act) for the recovery of Rs.25,06,704.29p with interest against Sh. Sarwan Kumar (defendant).

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Bank’s case is that on 25.04.2017, it had granted an Agricultural KGC Loan of Rs.20 lacs to the defendant for agricultural purpose. To secure the loan, Defendant had hypothecated moveable secured assets, Live Stocks and standing crops (fully detailed in para No.5.4 of the application) and mortgaged his agricultural land measuring 48 Kanals (fully detailed in para No.5.5 of the application). The loan was chargeable to interest @13.50% per annum with half-yearly rests. The defendant submitted Balance and Security Confirmation Letters dated 07.05.2019 and O4.04.2022. Bank issued Recall notices dated

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07.10.2022 and 15.03.2024 instructing the borrower to repay the outstanding amount. On 02.04.2025, a sum of Rs.25,06,704.29p was due from the defendant. Despite repeated requests, defendants did not make the repayment. Hence, this application.

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On 21.04.2025, summons was sent to the defendant by registered post, which was duly served. However, defendant did not put in appearance. Vide order dated 05.03.2026, defendant was proceeded ex parte .

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In order to prove its case, the Bank has placed on record the affidavit of Mr. Rajinder Arora, Branch Manager, along with the loan and security documents.

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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 Rs.20 lacs and on 02.04.2025 a sum of Rs.25,06,704.29p was due. 6. Accordingly, the application of the bank for the recovery of Rs.25,06,704.29p (Rupees Twenty Five Lacs Six Thousand Seven Hundred Four and Paise Twenty Nine Only) with interest @13.50% per annum with half-yearly rests from 02.04.2025, till the date of payment is hereby allowed with costs. Bank can recover its dues by the sale of the hypothecated moveable secured assets, Live Stocks and standing crops (fully detailed in para No.5.4 of the application) and mortgaged agricultural land measuring 48 Kanals (fully detailed in para No.5.5 of the application) as well as from the personal movable and immovable property(ies) of the defendant.

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Pending IAs, if any, stand disposed of.

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Recovery Certificate be issued accordingly.

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Parties are directed to appear before Recovery Officer on 28.09.2026, who is directed to distribute the sale proceeds of the mortgage land and standing crops as per the provisions of Section 19(20AB) of the Act .

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A Copy of this order along with Recovery Certificate be sent to the Recovery Officer as well as the parties.

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Pronounced in the open court. (A S Narang) Dated: 27.08.2026 Presiding Officer DRT-1, Chandigarh HARSH

Punjab Gramin Bank v. Sh. Sarwan Kumar

Case brief

What is this about?

What did the court decide?

Punjab Gramin Bank v. Sh. Sarwan Kumar

Case brief

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What did the court decide?

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