Allowed

Hdfc Bank Ltd. v. Sh. Charanjeet Singh and Others

DRT20 Aug 2026OA/760/2025

Case brief

AI extract

What is this about?

The Tribunal allowed the bank's application against three defendants for recovery of Rs. 50.34 lakhs. After striking the defense due to lack of response, the court held the defendants liable for principal and agreed to a uniform simple interest rate of 8% per annum instead of the claimed rate.

What did the court decide?

Recovery of Rs. 50,34,456.00 plus costs and simple interest at 8% p.a. granted; Recovery Certificate to be issued.

Hdfc Bank Ltd. versus Sh. Charanjeet Singh and Others — Banking and Recovery | DRT (2026)

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DEBTS RECOVERY TRIBUNAL-III, CHANDIGARH

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ORIGINAL APPLICATION NO. 760/2025

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PRESIDED OVER BY MRIDULESH KUMAR SINGH

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DATE OF INSTITUTION: 16.06.2025

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DATE OF DECISION: 20.08.2026

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HDFC BANK LIMITED, 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 HDFC Bank House, Senapati Bapat Marg, lower Parel, Mumbai 400013 and branch office amongst other places one at Chhotti Baradari, Patiala, through Sh. Dinesh Kumar, Manager, holder of an attorney from the Applicant Bank.

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……..Applicant

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Versus

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Sh. Charanjeet Singh S/o Sh. Nirmail Singh R/o Village Roharh Jagir, Distt. Patiala - 147001.

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Sh. Nirmail Singh S/o Sh. Gurdit Singh R/o Village Roharh Jagir, Distt. Patiala - 147001.

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Sh. Sukhdeep Singh S/o Sh. Kirpal Singh R/o 11, Village Rohar, Devinagar, Rohar Jagir, Distt. Patiala - 147111.

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.……Defendants

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Advocates:

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

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None for Defendants

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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 and Bankruptcy Act 1993, against the defendants for recovery of Rs.50,34,456.00 (Rupees Fifty Lac Thirty Four Thousand Four Hundred Fifty Six Only). The Original Application has been filed through Sh. Dinesh Kumar, Manager , of the applicant , who is competent to institute the Original Application vide Power of Attorney in favour of Sh. Dinesh Kumar dated 16.01.2024, which is Annexure A1 to this OA.

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2 OA/ 760/2025 HDFC BANK LIMITED VS SH. CHARANJEET SINGH AND OTHERS

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The brief facts of the OA are that the defendant nos. 1 & 2, approached the applicant for grant of Agriculture Credit Facility of Rs.35.00 lacs vide Application Form for Agriculture Loan dated 18.12.2018, which is Annexure A2 to this OA. Defendant no.3 stood as guarantor.

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The applicant sanctioned the KCC Limit of Rs.35.10 lacs, OD Limit of Rs.4.40 lacs and Term Loan of Rs.1.90 lacs vide Sanctioned Letter dated 15.01.2019, which are Annexures A3 to A5 to this OA and the terms and conditions were duly accepted by the defendants. 4. Defendant nos. 1 & 2, mortgaged their agricultural land measuring 48Bigha-0Biswa details given as under: i. Defendant no.1 mortgaged his land measuring 38Bigha-8Biswa, situated at Village Rohar Jangir, Tehsil Dudhan Sadhan, District Patiala, Punjab; ii. Defendant no.2 mortgaged his land measuring 9Bigha-12Biswa, situated at Village Rohar Jangir, Tehsil Dudhan Sadhan, District Patiala, Punjab; vide Schedule Declarations under Section 4(1) dated 31.01.2019, which is Annexure A9 to this OA; Documents executed: Agreement for Term Loan cum guarantee cum hypothecation dated 31.01.2019, which is Annexure A6 to this OA; Agreement for Overdraft/Cash Credit cum guarantee cum hypothecation dated 31.01.2019, which are Annexures A7 & A8 to this OA; Notice & Postal receipts dated 11.11.2024, which are Annexures A10 to A13 to this OA; Statement of Loan Account dated 01.10.2024 and 08.11.2024, which are Annexures A14 to A16 to this OA. 5. The loan accounts became irregular and were classified as NPA and after adjusting debit and credit entries in loan accounts, there was a debit of Rs.50,34,456.00 (Rupees Fifty Lac Thirty Four Thousand Four Hundred Fifty Six Only), which is recoverable and the defendants were served recall notices 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 summons to appear before this Tribunal and after the service of summons, Sh. Jagmeet Singh Moudgill,

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3 OA/ 760/2025 HDFC BANK LIMITED VS SH. CHARANJEET SINGH AND OTHERS

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Advocate appeared on behalf of defendants and filed his Power of Attorney on 25.07.2025. Paper book was supplied to counsel for defendants on 11.05.2026. Thereafter, no WS was filed on behalf of defendants within or even after the expiry of stipulated period. Therefore, opportunity to file WS by defendants was closed and defense was struck of vide order dated 17.08.2026.

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In support of the OA, affidavit of Sh. Dinesh Kumar, Manager, HDFC Bank Limited, h as been filed.

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Heard arguments and perused record.

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It was argued by learned counsel for applicant that in view of the documentary evidence brought on record which had gone unrebutted, the applicant had proved its case.

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None was appeared on behalf of defendants for arguments.

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From the perusal of all the Annexures A1 to A16 to this OA, it is proved that the Defendant no. 1 & 2, approached applicant for availing of the loan facilities, which were granted to them. Defendant no.3 stood as guarantor. Defendants had executed all the relevant documents in favour of the applicant. The defendants failed to pay back the loans as per terms and conditions of the agreement between the parties. Subsequently, all the accounts of the defendants were classified as NPA. From the documentary evidence brought on record, it is proved that applicant is entitled to recover a sum of Rs.50,34,456.00 (Rupees Fifty Lac Thirty Four Thousand Four Hundred Fifty 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 amount.

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In so far as pendent elite and future rate of interest is concerned, the applicant has claimed interest @11.00% p.a. with half yearly rests from 02.10.2024 in KCC and OD Limit, @11.00% p.a. with half yearly rests from 09.11.2024 in Term Loan, 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 nature of the mortgaged properties, undertaking of the defendants, quantum of loans and prevalent market rates of interest which have gone drastically downhill in yester years, while

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4 OA/ 760/2025 HDFC BANK LIMITED VS SH. CHARANJEET SINGH AND OTHERS

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exercising the discretion vested in this Tribunal, this Tribunal deems it just and appropriate to grant uniform simple interest @8.00% p.a. in all the loan accounts from the date of filing of the OA till 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.50,34,456.00 (Rupees Fifty Lac Thirty Four Thousand Four Hundred Fifty Six Only), jointly and severally, with costs, current and future simple interest @8.00% p.a. in all the loan accounts 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 mortgaged properties of the defendant nos. 1 & 2 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 assets of the defendants. The applicant is at liberty to enforce the claim through due process of law.

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12. Any other application pending stands disposed of.

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Issue Recovery Certificate accordingly.

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Parties to appear before Learned Recovery Officer of this Tribunal on 05.09.2026

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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 .

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Dated: 20.08.2026

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(MRIDULESH KUMAR SINGH)

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Presiding Officer,

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DRT-III, Chandigarh

Hdfc Bank Ltd. v. Sh. Charanjeet Singh and Others

Case brief

What is this about?

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Hdfc Bank Ltd. v. Sh. Charanjeet Singh and Others

Case brief

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