Allowed

Indian Bank v. Sh. Sukhdarshan Singh

DRT24 Jul 2026OA/783/2026

Case brief

AI extract

What is this about?

The DRT-III, Chandigarh allowed an Original Application filed by Indian Bank against Sukhdarshan Singh for recovery of Rs. 54,52,409.00. The Tribunal granted a Recovery Certificate and fixed simple interest at 8% p.a. pending realization of dues.

What did the court decide?

Issued Recovery Certificate directing payment of Rs. 54,52,409.00 with simple interest at 8% p.a. from filing until realization.

Indian Bank versus Sh. Sukhdarshan Singh — Specific Performance | DRT (2026)

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DEBTS RECOVERY TRIBUNAL-III, CHANDIGARH

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ORIGINAL APPLICATION NO. 783/2026

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PRESIDED OVER BY MRIDULESH KUMAR SINGH

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DATE OF INSTITUTION: 22.05.2026

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DATE OF DECISION: 24.07.2026

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Indian Bank (erstwhile Allahabad Bank), a Body Corporate constituted under the Banking Companies (Acquisition and Transfer of Undertaking) Act, 1970 having its Corporate Office at 254-260, Avvai Shanmugam Salai, Royapettah, Chennai- 600014 and a Branch amongst at the Mall, Opposite Vikas Bhavan, Malerkotla, Rajkot Road, Thandi Sarak, District Sangrur, Punjab through Smt. Rubinder Kaur Rubina, Branch Manager

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……..Applicant Versus

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Sh. Sukhdarshan Singh, S/o Sh. Hardev Singh, R/o Village Randhirgarh, PO Cheema, Tehsil Jagraon, District Ludhiana, Punjab142030

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….……Defendant

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Advocates:

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Argued by Ms. Lovedeep Kaur, Advocate proxy for Ms. Puja Sharma, Advocate for applicant

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None for defendant (already ex-parte vide order dated 22.07.2026)

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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 and Bankruptcy Act, 1993, against the defendant for recovery of Rs. 54,52,409.00 (Rupees Fifty Four Lacs Fifty Two Thousand Four Hundred Nine Only). The Original Application has been filed through Smt. Rubinder Kaur Rubina , Branch Manager of the applicant, who is competent to institute the Original Application vide Letter of Authority dated 16.02.2026, which is Annexure A1 to this OA.

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The brief facts of the OA are that the defendant approached the applicant for grant of KCC Limit of Rs. 16.10 Lacs vide Loan Application dated 04.09.2013, which is Annexure A2 to this OA.

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OA NO.783/2026 INDIAN BANK VS. SUKHDARSHAN SINGH

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The applicant sanctioned KCC Limit of Rs. 16.10 Lacs vide Sanction Letter dated 04.10.2013, which is Annexure A3 to this OA and terms and condition were duly accepted by the defendant.

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Defendant mortgaged his immovable properties which are: i. Land measuring 07K 02M situated at Village Randhirgarh, Tehsil Jagraon, District Ludhiana, Punjab;

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ii. Land measuring 01K 02M situated at Village Bhamipura II, District Ludhiana, Punjab

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vide Registered Mortgage Deed bearing vasika no. 2993 dated 17.10.2013 along with its translation, which is Annexure A6 and A6T to this OA.

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Documents executed: DP Note and Hypothecation Agreement, both dated 12.12.2013, which are Annexure A4 and A5 to this OA; Acknowledgements of Debt dated 26.02.2016, 17.11.2018, 10.02.2021, 07.10.2024 and 13.01.2026, which is Annexure A7 to this OA; Legal Notices dated 24.11.2025, 18.11.2017 and 04.04.2026, which are Annexure A8 to A10 to this OA and Statement of Account, which is Annexure A11 to this OA.

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The loan account became irregular and was classified as NPA and after adjusting debit and credit entries in loan account, there was a debit of Rs. 54,52,409.00, which is recoverable and the defendant was served recall notices but he did not repay the outstanding amount, therefore, the applicant requested to accept the application and to issue Recovery Certificate accordingly. 6. The defendant was served summons to appear before this Tribunal, but no one appeared on behalf of the defendant and he was proceeded ex-parte on 22.07.2026.

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In support of the OA, affidavit of Smt. Rubinder Kaur Rubina, Branch Manager, Indian Bank h as been filed. 8. Heard ex-parte arguments and perused record. 9. 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.

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From the perusal of all the Annexure A1 to A11 to this OA, it is proved that the defendant approached applicant for availing of the

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3 OA NO.783/2026 INDIAN BANK VS. SUKHDARSHAN SINGH

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loan facility which was granted to him and for that he had executed all the relevant documents in favour of the bank. The defendant failed to pay back the loan as per terms and conditions of the agreement between the parties. Subsequently, account of the defendant was classified as NPA. From the documentary evidence brought on record, it is proved that applicant is entitled to recover a sum of Rs.54,52,409.00 (Rupees Fifty Four Lacs Fifty Two Thousand Four Hundred Nine Only) along with interest from the defendant, 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 in relief clause has claimed interest @14.10%p.a. inclusive 2% penal interest with half yearly rests from 15.04.2026 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 hypothecated assets/mortgaged properties, undertaking of the defendant, 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 @08.00% 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.

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In the result, the application is allowed declaring that the defendant is liable to pay to the applicant a total sum of Rs.54,52,409.00 (Rupees Fifty Four Lacs Fifty Two Thousand Four Hundred Nine Only) 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 assets of the defendant 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

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OA NO.783/2026 INDIAN BANK VS. SUKHDARSHAN SINGH

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same by attachment and sale of personal assets of the defendant. 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 10.08.2026. 15. Copy of this order be given dasti to the applicant and be sent to defendant 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: 24.07.2026 (MRIDULESH KUMAR SINGH) Presiding Officer, DRT-III, Chandigarh

Indian Bank v. Sh. Sukhdarshan Singh

Case brief

What is this about?

What did the court decide?

Indian Bank v. Sh. Sukhdarshan Singh

Case brief

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