Allowed

Punjab National Bank v. Rajendra Vishwanath Pathare

DRT12 Jan 2026OA/730/2024

Case brief

AI extract

What is this about?

The applicant bank filed an original application to recover a loan amount of Rs. 23,71,968/- plus future interest. The defendants did not appear. The court allowed the application, directed payment of principal and future interest at 6% p.a., and authorized the sale of mortgaged properties to recover dues.

What did the court decide?

Order filed in original application No. 730/2024 allowed. Respondents directed to pay Rs. 23,71,968/- with future interest at 6% p.a. Mortgaged properties secured for recovery and sale allowed.

Punjab National Bank versus Rajendra Vishwanath… — Contract and Commercial Disputes | DRT (2026)

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Presented on: 14.08.2024 Registered on: 11.09.2024 Decided on: 12.01.2026 Duration: Y M D 01 04 28

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IN THE DEBTS RECOVERY TRIBUNAL AT AURANGABAD (Before Dr. J. R. Chauhan Presiding Officer) ORIGINAL APPLICATION No. 730/2024

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TOTAL CLAIM AMOUNT – Rs. 23,71,968/-

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Punjab National Bank,

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A Body Corporate constituted under the Banking companies (Acquisition and Transfer of Undertakings) Act 1970, having its Head Office at Plot No. 4, Sector-10, Dwarka, New Delhi-75, and one of its Branch at Ghogargaon, Tq. Shirgonda, Dist. Ahmednagar through it’s Attorney, Mr. Rahul Nathaji Potphode .

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… Applicant

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Versus

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1. Rajendra Vishwanath Pathare, Age: 71 years, Occ.: Agriculture, R/o.: At Banpimpri, Tal. Shrigonda, Dist. Ahmednagar-414401.

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2. Kailas Vishwanath Pathare,

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Age: 53 years, Occ.: Agriculture, R/o.: At Banpimpri, Tal. Shrigonda, Dist. Ahmednagar-414401.

(OA No.730/2024)

Page 1 of 9

[AMBADAS]

3. Mrs. Suman Ashok Galande, Age: 67 years, Occ.: Agriculture, R/o.: At Banpimpri, Tal. Shrigonda, Dist. Ahmednagar-414401.

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…Defendants

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APPEARANCES

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For the Applicant For Defendants

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Mr. Sameer J. Pande -Advocate Ex-parte

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JUDGMENT Delivered on 12.01.2026

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The Applicant Bank has filed the present application for the recovery of a sum of Rs. 23,71,968/- (Rupees Twenty Three Lacs, Seventy One Thousand and Nine Hundred Sixty Eight only), along with future interest from the date of filing of the Original Application, i.e., 14.08.2024, until the date of realization of the entire outstanding dues from the Defendants.

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Brief facts of the application are as under:

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The Applicant Bank states that the Defendant No. 1 had approached and requested the Applicant Bank for Cash Credit Facility. Upon considering the request and financial needs of the

(OA No.730/2024)

Page 2 of 9

[AMBADAS]

Defendant, the Applicant Bank sanctioned Cash Credit Facility of Rs. 2,77,000/- vide sanction letter dated 27.02.2015 on certain terms and conditions. The agreed rate of interest for the aforesaid loan was @ 7 % p.a. with monthly rests. The Defendant also agreed to pay additional interest @2% by way of liquidated damages in the event of any default in repayment.

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Furthermore, the Defendant No. 1 again approached and requested the Applicant Bank for enhancement of Cash Credit Facility. Upon considering the request and financial needs of the Defendant, the Applicant Bank enhanced Cash Credit Facility to Rs. 15,00,000/- vide sanction letter dated 07.12.2017 on certain terms and conditions. The agreed rate of interest for the aforesaid loan was @ 7% p.a. with monthly rests. The Defendant also agreed to pay additional interest @2% by way of liquidated damages in the event of any default in repayment.

(OA No.730/2024)

Page 3 of 9

[AMBADAS]

In order to secure the aforesaid loan facility, the Defendant executed various loan documents in favour of the Applicant Bank. These included sanction letter, letter of undertaking, registered mortgage deeds bearing daybook nos. 789/2015 and 3918/2017 dated 24.02.2015 & 17.11.2017. Additionally defendant No. 2 & 3 stood as guarantors for defendant No. 1 and executed deed of guarantee in favour of the Applicant Bank

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The Applicant Bank further contends that, in order to secure the aforesaid loan facility, the Defendants executed mortgage deeds bearing daybook nos. 789/2015 and 3918/2017 dated 24.02.2015 & 17.11.2017 respectively in favour of the Applicant

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Bank. The mortgage was created in respect of the following properties:

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i) All that piece and parcel of Agriculture land admeasuring 0.82 H.R., Part of Gut No. 273 of village Banpimpari, Tal. Shrigonda, Dist. Ahmednagar.

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ii) All that piece and parcel of Agriculture land admeasuring 1.90 H.R., Part of Gut No. 272/1 of village Banpimpari, Tal. Shrigonda, Dist. Ahmednagar.

(OA No.730/2024)

Page 4 of 9

[AMBADAS]

iii) All that piece and parcel of Agriculture land admeasuring 0.73 H.R., Part of Gut No. 309 of village Banpimpari, Tal. Shrigonda, Dist. Ahmednagar.

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iv) All that piece and parcel of Agriculture land admeasuring 0.53 H.R., Part of Gut No. 309 of village Banpimpari, Tal. Shrigonda, Dist. Ahmednagar.

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v) All that piece and parcel of Agriculture land admeasuring 0.73 H.R., Part of Gut No. 309 of village Banpimpari, Tal. Shrigonda, Dist. Ahmednagar.

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vi) All that piece and parcel of Agriculture land admeasuring 1.33 H.R., Part of Gut No. 111 of village Hatvalan, Tal. Nagar, Dist. Ahmednagar.

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The applicant bank contended that the defendants have failed to keep their promise and commitments agreed by them with regard to due repayment of the loan amount. The defendants failed to operate the loan account properly and failed to pay the agreed rate of interest as per terms and conditions of the sanction letter. Thereafter, the applicant bank repeatedly made demand of loan amount and called upon the defendants to pay with the agreed rate of interest thereon, but the defendants failed and neglected to pay the same. The loan account of the defendants became

(OA No.730/2024)

Page 5 of 9

[AMBADAS]

irregular and classified as NPA on 23.11.2020. Therefore on 05.01.2023 the applicant bank issued legal notice to the defendants through their advocate. Despite service of Notices, the defendants failed and neglected to repay the outstanding dues of the applicant Bank. Hence, this application is filed.

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The defendants failed to appear in matter though they were served through RPAD. Hence, the defendants were proceeded exparte as per Order dated 20.03.2025

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The applicant Bank has filed Evidence Affidavit of evidence at Exhibit-4 of Mr. Rahul s/o. Nathaji Potphode, Power of Attorney Holder of the applicant Bank, and has produced on record the original loan transaction documents as Annexure A-1 to A-24 along with list of documents Exh.5 which corroborates the case of the applicant Bank.

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

(OA No.730/2024)

Page 6 of 9

[AMBADAS]

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

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The applicant Bank has claimed charge over immovable properties of the borrowers which are mortgaged in favour of the applicant bank.

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The applicant Bank has claimed future interest @ 7% p. a. along with penal interest with monthly rests from the date of filing i.e. 14.08.2024 of this application till realization of the claim amount. However, considering the facts of the case, I am of the opinion that if future interest is granted @ 6% per annum (simple) on outstanding amount, it would be just and reasonable rate of interest.

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ORDER

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(A) Original Application No. 730/2024 is allowed with costs.

(OA No.730/2024)

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[AMBADAS]

(B) The defendants shall pay jointly and severally to the applicant Bank a sum of Rs. 23,71,968/- (Rupees Twenty Three Lacs, Seventy One Thousand and Nine Hundred Sixty Eight only), along with future interest @ 6% per annum (simple) from the date of filing of the O.A. i.e. 14.08.2024 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 mortgage of the following vide documents at Exh A-3 & A-9 in list of documents Exh. 5.

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i) All that piece and parcel of Agriculture land admeasuring 0.82 H.R., Part of Gut No. 273 of village Banpimpari, Tal. Shrigonda, Dist. Ahmednagar.

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ii) All that piece and parcel of Agriculture land admeasuring 1.90 H.R., Part of Gut No. 272/1 of village Banpimpari, Tal. Shrigonda, Dist. Ahmednagar.

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iii) All that piece and parcel of Agriculture land admeasuring 0.73 H.R., Part of Gut No. 309 of village Banpimpari, Tal. Shrigonda, Dist. Ahmednagar.

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iv) All that piece and parcel of Agriculture land admeasuring 0.53 H.R., Part of Gut No. 309 of village Banpimpari, Tal. Shrigonda, Dist. Ahmednagar.

(OA No.730/2024)

Page 8 of 9

[AMBADAS]

v) All that piece and parcel of Agriculture land admeasuring 0.73 H.R., Part of Gut No. 309 of village Banpimpari, Tal. Shrigonda, Dist. Ahmednagar.

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vi) All that piece and parcel of Agriculture land admeasuring 1.33 H.R., Part of Gut No. 111 of village Hatvalan, Tal. Nagar, Dist. Ahmednagar.

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(D) The applicant Bank is entitled to sell the mortgaged immovable properties and hypothecated articles/goods etc., to recover its dues.

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(E) Issue Recovery Certificate accordingly.

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

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(G) File be consigned to the record room.

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Sd/-

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Pronounced in open court. Place: Aurangabad Date:.12.01.2026

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(Dr. J. R. Chauhan) Presiding Officer Debts Recovery Tribunal, Aurangabad

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(OA No.730/2024)

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[AMBADAS]

Punjab National Bank v. Rajendra Vishwanath Pathare

Case brief

What is this about?

What did the court decide?

Punjab National Bank v. Rajendra Vishwanath Pathare

Case brief

What is this about?

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