Allowed

Yes Bank Limited v. M/S Shree Balaji Enterprises and Another

DRT10 Jul 2026OA/821/2026

Case brief

AI extract

What is this about?

The Tribunal allowed the application by YES Bank Ltd. for recovery of a business loan default amounting to Rs.20.73 lakhs. While accepting the bank's claim, the court exercised discretion to reduce the claimed interest rate to 8% per annum on a simple basis pending recovery.

What did the court decide?

Recovery of Rs.20,73,014.71 with costs and simple interest at 8% p.a. from the date of filing; Recovery Certificate issued.

Yes Bank Limited versus M/S Shree Balaji Enterprises and Another — Specific Performance | DRT (2026)

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DEBTS RECOVERY TRIBUNAL-III, CHANDIGARH

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ORIGINAL APPLICATION NO.821/2026

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PRESIDED OVER BY MRIDULESH KUMAR SINGH

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DATE OF INSTITUTION: 01.06.2026

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DATE OF DECISION: 10.07.2026

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YES 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 YES BANK House, Western Express Highway, Anand Nagar, Vakola, Santacruz (E) Mumbai - 400055 and one of its Branch Offices amongst other places known as YES Bank Ltd. situated in SCO No.129-130, 2^nd Floor, Sector 9-C, Near Citco Petrol Pump, Chandigarh - 160009 through its Senior Manager, Sh. Aashiv Bhayana.

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……..Applicant

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Versus

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M/s Shree Balaji Enterprises, through its Proprietor Sh. Ankit Mahajan, Sujanpur, G.T. Road, Near Hotel Sanjha Chula, Sujanpur, District Pathankot, Punjab - 145001.

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Sh. Ankit Mahajan S/o Sh. Avninder Mahajan, Proprietor M/s Shree Balaji Enterprises, R/o Sujanpur, G.T. Road, Near Hotel Sanjha Chula, Sujanpur, District Pathankot, Punjab - 145001.

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…….. Defendants

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Advocates:

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Argued by Sh. Prerit Thakur, Advocate proxy for Sh. Rajesh Rai, Advocate for the applicant

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None for defendants (Already ex-parte vide order dated 08.07.2026).

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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 & Bankruptcy Act 1993, against the defendants for recovery of Rs.20,73,014.71 (Rupees Twenty Lacs Seventy Three Thousand Fourteen and Paise Seventy One Only). The Original Application has been filed through Sh. Aashiv

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2 OA NO.821/2026 YES BANK LTD. VS M/S SHREE BALAJI ENTERPRISES AND ANOTHER

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Bhayana, Senior Manager of the applicant, who is competent to institute the Original Application vide Power of Attorney dated 28.03.2025, which is Annexure A1 to this OA.

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The brief facts of the OA are that the defendant no. 1 through its proprietor defendant no. 2 and defendant no. 2 in his individual capacity approached the applicant for grant of Business Loan Facility of Rs.30,00,000.00 vide Loan Application dated 31.07.2025, which is Annexure A2 to this OA.

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The applicant sanctioned the Business Loan Facility of Rs.30,00,000.00 and the terms and conditions were duly accepted by the defendant no. 1 through its proprietor defendant no. 2 and defendant no. 2 in his individual capacity vide Terms and Conditions applicable to Business Loan, which is Annexure A3 to this OA. 4. Documents executed: Legal Notice dated 04.04.2026, along with postal receipt, which is Annexure A4 to this OA; Statement of Account along with certificate, which is Annexure A5 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.20,73,014.71, 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 but no one appeared on behalf of defendants and they were proceeded ex-parte vide order dated 08.07.2026. 7. In support of the OA, affidavit of Sh. Aashiv Bhayana, Senior Manager, Yes Bank Limited has been filed. 8. Heard ex-parte arguments and perused record. 9. It was argued by learned proxy counsel for applicant that in view of the documentary evidence brought on record which had gone unrebutted, the applicant bank had proved its case.

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3 OA NO.821/2026 YES BANK LTD. VS M/S SHREE BALAJI ENTERPRISES AND ANOTHER

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From the perusal of all the Annexures A1 to A5 to this OA, it is proved that the defendant no. 1 through its proprietor defendant no. 2 and defendant no. 2 in his individual capacity approached applicant for availing of 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, loan account 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.20,73,014.71 (Rupees Twenty Lacs Seventy Three Thousand Fourteen and Paise Seventy One 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 pendente lite and future rate of interest is concerned, the applicant in relief clause has claimed interest @17.50%p.a. with monthly rests from 02.04.2026 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 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.

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In the result, the application is allowed declaring that the defendants are liable to pay to the applicant sum of Rs.20,73,014.71 (Rupees Twenty Lacs Seventy Three Thousand Fourteen and Paise Seventy One 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

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4 OA NO.821/2026 YES BANK LTD. VS M/S SHREE BALAJI ENTERPRISES AND ANOTHER

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applicant shall be entitled to recover aforesaid amount 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 . 13. Issue Recovery Certificate accordingly.

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Parties to appear before Learned Recovery Officer of this Tribunal on 27.07.2026.

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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.

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Pronounced by me in the open Tribunal .

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Dated: 10.07.2026

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(MRIDULESH KUMAR SINGH)

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Presiding Officer, DRT-III, Chandigarh

Yes Bank Limited v. M/S Shree Balaji Enterprises and Another

Case brief

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Yes Bank Limited v. M/S Shree Balaji Enterprises and Another

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