Allowed

Yes Bank Ltd. v. M/S Sat Kartar Transport Company and Others

DRT13 Mar 2026OA/724/2025

Case brief

AI extract

What is this about?

The Debts Recovery Tribunal allowed an Original Application filed by Yes Bank Ltd. against respondents for recovery of a commercial vehicle loan default. The Tribunal confirmed the liability of Rs. 34.24 lacs and a recovery certificate while granting interest at 8% p.a. instead of the claimed 20% p.a.

What did the court decide?

Application allowed; Defendants declared jointly and severally liable to pay principal and interest at 8% p.a.; Recovery Certificate issued in favor of applicant.

Yes Bank Ltd. versus M/S Sat Kartar Transport Company and Others — Banking and Recovery | DRT (2026)

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DEBTS RECOVERY TRIBUNAL-III, CHANDIGARH

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ORIGINAL APPLICATION NO.724/2025

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PRESIDED OVER BY MRIDULESH KUMAR SINGH

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DATE OF INSTITUTION: 04.06.2025.

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DATE OF DECISION: 13.03.2026

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YES Bank Ltd., a Banking company incorporated under the Companies Act, 1956 and carrying on banking business under the Banking Regulation Act, 1949 having its Registered Office at Yes Bank House, Western Express Highway, Santacruz (East) Mumbai -400055, Regional Office: SCO No.129-130, 2^nd Floor, Sector 9-C, near CITCO Petrol Pump, Chandigarh-160009, through Sh. Aashiv Bhayana, Authorized Officer, Legal Department.

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……..Applicant

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Versus

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M/s Sat Kartar Transport Company through its proprietor Sh. Satvir Singh, C/o Post office Nandpur Khesho, Village Channo, Patiala, Punjab

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Sh. Satvir Singh S/o Sh. Karamjit Singh, R/o Village Channon, Nandpur Khesho, Fatehgarh Sahib, District Fatehgarh Sahib

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Smt. Amanpreet Kaur w/o Sh. Satvir Singh, r/o Village Channon, Nandpur Khesho, Fatehgarh Sahib, District Fatehgarh Sahib

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Advocates:

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Argued by Sh. S.C. Prajapati, Advocate proxy for Sh. Nakul Sharma, Advocate the applicant

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Defendants already ex-parte vide order dated 07.01.2026

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FINAL ORDER

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Present Original Application was instituted by the applicant under Section 19 of the Recovery of Debts & Bankruptcy Act, 1993, against the defendants for recovery of Rs.34,24,667.26 (Rupees Thirty Four Lacs Twenty Four Thousand Six Hundred Sixty Seven and Paise Twenty Six only). The Original Application has been filed through Sh. Aashiv Bhayana, Authorized Officer of the applicant who is competent

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OA NO.724/2025 YES BANK LTD. VS. M/S SAT KARTAR TRANSPORT COMPANY AND OTHERS

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to institute the Original Application vide Power of Attorney dated 28.03.2025, which is Annexure A1 to this OA. 2. The brief facts of the OA are that the defendants approached the applicant for grant of Term Loan of Rs.97.20 Lacs for purchase of Commercial Vehicle vide Loan Applications dated 29.08.2023, which are Annexures A2 and A3 to this OA. 3. The applicant sanctioned Term Loan of Rs.50,05,544.00 and terms and conditions were duly accepted by the defendants. Terms and conditions/Loan Agreement dated 14.09.2023, which is Annexure A5 to this OA. 4. Defendant hypothecated Commercial Vehicle i.e. TATA SIGNA 3530.TK 8X4 BSVI HD 23BX, Chassis No. MAT569002P3H23420, Engine No. B6.7B62300D03132H64314038, Registration No. PB-11DF-9138 Registration Certificate of vehicle, is Annexure A6 to this OA. Documents executed: GST Registration Certificate dated 19.04.2018, which is Annexure A4 to this OA; Recall Notice dated 10.07.2024, which is Annexure A7 to this OA and Account Statement with Foreclosure, which are Annexures A8 to A9 to this OA and Hon’ble Delhi High Court Order dated 05.02.2007, which is Annexure A10 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.34,24,667.26, 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. 6. The defendants were served notices to appear before this Tribunal but no one appeared on behalf of defendants and they were proceeded ex parte vide order dated 07.01.2026.

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OA NO.724/2025 YES BANK LTD. VS. M/S SAT KARTAR TRANSPORT COMPANY AND OTHERS

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In support of the OA, affidavit of Sh. Aashiv Bhayana, Authorized Officer, Yes Bank Limited, has been filed.

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Heard ex parte arguments and perused record.

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It was argued by learned proxy counsel that in view of the documentary evidence brought on record which had gone unrebutted, the applicant had proved its case. From the perusal of all the Annexures A1 to A10 to this OA, it is proved that the defendants approached applicant for availing of the loan facility which was granted to them and for that they had executed all the relevant 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 bank is entitled to recover a sum of Rs.34,24,667.26 (Rupees Thirty Four Lacs Twenty Four Thousand Six Hundred Sixty Seven and Paise Twenty Six only), along with interest from the defendants, jointly and severally, from the date of filing of the present Original Application till realization of the account.

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In so far as pendente lite and future rate of interest is concerned, the applicant in relief clause has claimed interest @20%p.a. with 2% penal interest and monthly rests from 11.04.2025 till the realization.

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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 undertaking of the defendants, hypothecated assets/mortgaged properties, 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 uniform simple interest @8.00%p.a. in the loan account from the date of filing of the OA till

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OA NO.724/2025 YES BANK LTD. VS. M/S SAT KARTAR TRANSPORT COMPANY AND OTHERS

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realization of the amount ordered vide this final order. It is ordered accordingly.

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In the result, the application is allowed declaring that the defendants are liable to pay to the applicant a total sum of Rs.34,24,667.26 (Rupees Thirty Four Lacs Twenty Four Thousand Six Hundred Sixty Seven and Paise Twenty Six only), jointly and severally with costs, current and future simple interest @08.00%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 vehicle of the defendants in execution proceedings if not sold earlier under the provisions of the SARFAESI Act, 2002. If the dues of the still remain unsatisfied, it shall be entitled to recover the same by attachment and sale of personal assets of the defendants. The applicant is at liberty to enforce the claim through due process of law. 12. Any other application pending stands disposed of . 13. Issue Recovery Certificate accordingly. 14. Parties to appear before Learned Recovery Officer of this Tribunal on 02.04.2026. 15. 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. Pronounced by me in the open Tribunal . Dated: 13.03.2026 (MRIDULESH KUMAR SINGH) Presiding Officer, DRT-III, Chandigarh

Yes Bank Ltd. v. M/S Sat Kartar Transport Company and Others

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Yes Bank Ltd. v. M/S Sat Kartar Transport Company and Others

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