Allowed

Axis Bank v. Ms Robin Oil and Agro Products and Another

DRT23 Jun 2026OA/712/2026

Case brief

AI extract

What is this about?

The Debts Recovery Tribunal allowed an application by Axis Bank Ltd. for recovery of Rs. 39.63 lakhs from two borrowers after an ex-parte hearing. The Tribunal awarded 8% simple interest and ordered recovery from hypothecated assets under the SARFAESI Act.

What did the court decide?

Recovery of Rs. 39,63,782.00 jointly and severally with simple interest at 8% p.a. from the date of filing the Original Application until realization.

Axis Bank versus Ms Robin Oil and Agro Products and Another — Banking and Recovery | DRT (2026)

¶1

DEBTS RECOVERY TRIBUNAL-III, CHANDIGARH

¶2

ORIGINAL APPLICATION NO. 712/2026

¶3

PRESIDED OVER BY MRIDULESH KUMAR SINGH

¶4

DATE OF INSTITUTION: 13.05.2026

¶5

DATE OF DECISION: 23.06.2026

¶6

Axis Bank Ltd., a Banking Company carrying on the Banking Business under the Banking Regulation Act, 1949 incorporated under the Companies Act, 1956 and having its Registered Office at Trishul, 3^rd Floor, Opposite Samartheshwar Temple, Law Garden, Ellis Bridge, Ahmedabad, Gujarat- 380006 and Branches at different places throughout India including one at Mukatsar through its Attorney, Sh. Hari Om, Senior Manager

¶7

……..Applicant

¶8

Versus

¶9

M/S Robin Oil and Agro Products, Shop no. 152B, New Grain Market, Mukatsar, Punjab- 152026 through its Proprietor, Sh. Robin

¶10

Sh. Robin, S/o Sh. Rajiv Saluja, sole Proprietor of M/S Robin Oil and Agro Products, R/o House no. 1242, Raj Girdhar Street, Near Gill Pump, Mukatsar, Punjab- 152026

¶11

….……Defendants

¶12

Advocates:

¶13

Argued by Sh. J.S. Sehgal, Advocate for applicant

¶14

None for defendants (already ex-parte vide order dated 20.06.2026)

¶15

FINAL ORDER

¶16

Present Original Application was instituted by the applicant under Section 19 of the Recovery of Debts and Bankruptcy Act, 1993, against the defendants for recovery of Rs. 39,63,782.00 (Rupees Thirty Nine Lacs Sixty Three Thousand Seven Hundred Eighty Two Only). The Original Application has been filed through Sh. Hari Om, Senior Manager of the applicant, who is competent to institute the Original Application vide Power of Attorney dated 23.04.2025, which is Annexure A1 to this OA.

¶17

2 OA NO. 712/2026 AXIS BANK LIMITED VS. M/S ROBIN OIL AND AGRO PRODUCTS AND ANOTHER

¶18

The brief facts of the OA are that defendant no. 1 through its Proprietor defendant no. 2 approached the applicant for grant of CC Limit of Rs. 100.00 Lacs vide Application Form dated 05.12.2023, which is Annexure A2 to this OA. 3. The applicant sanctioned CC Limit of Rs. 40.00 Lacs vide Sanction Letter dated 16.02.2024, which is Annexure A3 to this OA and the terms and conditions were duly accepted by the defendants. 4. Defendant no. 1 through its Proprietor defendant no. 2 hypothecated their stock and book debts vide Deed of Hypothecation dated 22.02.2024, which is Annexure A4 to this OA.

¶19

Documents executed: Working Capital Loan Agreement, DP Note, Waiver Letter and Deed of Guarantee, all dated 22.02.2024, which are Annexure A5 to A8 to this OA; Notice dated 24.11.2025 along with postal receipts, which are Annexure A9 to A11 to this OA and Statement of Account, which is Annexure A12 to this OA. 5. The loan account became irregular and was classified as NPA and after adjusting debit and credit entries in the loan account there was a debit of Rs. 39,63,782.00 which is recoverable and the defendants were served recall notice but they did not repay the outstanding amount, therefore, the applicant requested to accept the application and to issue Recovery Certificate accordingly.

¶20

The defendants were served summons to appear before this Tribunal but no one appeared on behalf of defendants and they were proceeded ex-parte vide order dated 20.06.2026.

¶21

In support of the OA, affidavit of Sh. Hari Om, Senior Manager, Axis Bank Limited, has been filed. 8. Heard ex-parte arguments and perused record. 9. It was argued by learned counsel that in view of the documentary evidence brought on record which had gone unrebutted, the applicant bank had proved its case.

¶22

From the perusal of all the Annexure A1 to A12 to this OA, it is proved that defendant no. 1 through its Proprietor defendant no. 2 approached the applicant for availing of the loan facility which was granted to them and for that they had executed all the relevant

¶23

3 OA NO. 712/2026 AXIS BANK LIMITED VS. M/S ROBIN OIL AND AGRO PRODUCTS AND ANOTHER

¶24

documents in favour of the bank. The defendants failed to pay back the loan as per terms and conditions of the agreement between the parties. Subsequently, account of the defendants was classified as NPA. From the documentary evidence brought on record, it is proved that applicant is entitled to recover a sum of Rs. 39,63,782.00 (Rupees Thirty Nine Lacs Sixty Three Thousand Seven Hundred Eighty Two Only) along with interest from the defendants, jointly and severally, from the date of filing of the present Original Application till realization of the amount.

¶25

In so far as pendente lite and future rate of interest is concerned, the applicant in relief clause has claimed interest @11.25%p.a. plus @2% penal interest with monthly rests from 25.11.2025 till the realization.

¶26

The Tribunal is of the considered opinion that sometimes in appropriate cases the prerogative of mercy is the brightest jewel in the crown of the Judge. Keeping in view the facts and circumstances of the instant case including nature of the hypothecated assets, undertaking of the defendants, quantum of loan and prevalent market rates of interest which have gone drastically downhill in yester years, while exercising the discretion vested in this Tribunal, this Tribunal deems it just and appropriate to grant simple interest @8.00% p.a. in the loan account from the date of filing of the OA till realization of the amount ordered vide this final order. It is ordered accordingly.

¶27

In the result, the application is allowed declaring that the defendants are liable to pay to the applicant a total sum of Rs.39,63,782.00 (Rupees Thirty Nine Lacs Sixty Three Thousand Seven Hundred Eighty Two Only) jointly and severally, with costs, current and future simple interest @8.00% p.a. in the loan account from the date of filing of OA till the date of realization of the amount. Accordingly, the applicant shall be entitled to recover aforesaid amount from the sale of hypothecated assets of defendants in execution proceedings if not sold earlier under the provisions of the SARFAESI Act, 2002. If the dues of the applicant still remain unsatisfied, it shall be entitled to recover the same by attachment and sale of personal

¶28

4 OA NO. 712/2026 AXIS BANK LIMITED VS. M/S ROBIN OIL AND AGRO PRODUCTS AND ANOTHER

¶29

assets of the defendants. The applicant is at liberty to enforce the claim through due process of law.

¶30

12. Any other application pending stands disposed of .

¶31

Issue Recovery Certificate accordingly.

¶32

Parties to appear before Learned Recovery Officer of this

¶33

Tribunal on 08.07.2026.

¶34

Copy of this order be given dasti to the applicant and be sent to defendants through registered/speed post and this order be also uploaded on the official website of this Tribunal and record be consigned.

¶35

Pronounced by me in the open Tribunal .

¶36

Dated: 23.06.2026

¶37

(MRIDULESH KUMAR SINGH)

¶38

Presiding Officer,

¶39

DRT-III, Chandigarh

Axis Bank v. Ms Robin Oil and Agro Products and Another

Case brief

What is this about?

What did the court decide?

Axis Bank v. Ms Robin Oil and Agro Products and Another

Case brief

What is this about?

What did the court decide?

What the court decided

A compact analysis

Issues for consideration

Statutes considered

Parties & counsel

Coram

Case details

Similar cases

Punjab National Bank versus Sh. Gurmit Singh and Another

Union Bank of India versus M/S Nutech Engineers Inc. and Others

Punjab Gramin Bank versus Sh. Ravinder Singh and Another

Hdfc Bank Limited versus Sh. Ragvendra Singh

Union Bank of India versus Sh. Balwant Singh

State Bank of India versus Smt. Gurpreet Kaur