Allowed

Icici Bank Limited v. Sh. Gulzar Singh and Others

DRT28 Jul 2026OA/861/2026

Case brief

AI extract

What is this about?

The DRT allowed an original application seeking recovery of a loan of Rs. 53,07,828.00 against three defendants. Declaring the defendants jointly and severally liable, the Tribunal granted relief with interest at 08% p.a. and ordered the issuance of a Recovery Certificate for enforcement.

What did the court decide?

Directing defendants to pay Rs. 53,07,828.00 with interest at 8% p.a. and ordering issuance of Recovery Certificate.

Icici Bank Limited versus Sh. Gulzar Singh and… — Contract and Commercial Disputes | DRT (2026)

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DEBTS RECOVERY TRIBUNAL-III, CHANDIGARH

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ORIGINAL APPLICATION NO. 861/2026

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PRESIDED OVER BY MRIDULESH KUMAR SINGH

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DATE OF INSTITUTION: 06.06.2026

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DATE OF DECISION: 28.07.2026

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ICICI Bank Ltd. having its Registered Office at Land Mark, Race Course Circle, Vadodara- 390007 and having its Branch Office at SCO 132, 133, 134, Sector 9C, Chandigarh through its Manager, Sh. Jatinder Mishra

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……..Applicant

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Versus

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Sh. Gulzar Singh, S/o Sh. Sucha Singh, R/o Pilkhani, Patiala, Punjab- 140401

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Sh. Sucha Singh, S/o Sh. Kartar Singh, R/o Village Pilkhani, Rajpura, Patiala, Punjab- 140401

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Sh. Jaspal Singh, S/o Sh. Himat Singh, R/o Village Pilkhani, Rajpura, Patiala, Punjab- 140401

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……….Defendants

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Advocates:

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Argued by Sh. Kaveesh, Advocate proxy for Sh. Puneet Tuli, Advocate for applicant (through VC)

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None for defendants (already ex-parte vide order dated 24.07.2026)

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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 defendants for recovery of Rs. 53,07,828.00 (Rupees Fifty Three Lacs Seven Thousand Eight Hundred Twenty Eight Only). The Original Application has been filed through Sh. Jatinder Mishra, Manager o f the applicant, who is competent to institute the Original Application vide Resolution dated 08.01.2025, which is Annexure A1 to this OA.

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2 OA NO. 861/2026 ICICI BANK LIMITED VS. GULZAR SINGH AND OTHERS

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The brief facts of the OA are that defendants approached the applicant for grant of KCC Limit of Rs. 49.90 Lacs vide Credit Facility Application Form dated 12.03.2019, which is Annexure A2 to this OA. 3. The applicant sanctioned KCC Limit of Rs. 45.00 Lacs vide Intimation Letter dated 25.03.2019, which is Annexure A3 to this OA and the terms and conditions were duly accepted by the defendants. 4. Defendant nos. 1 and 2 mortgaged their immovable property i.e. Land measuring 20K 02M situated at Roli, Bassi Pathana, Fatehgarh Sahib, Punjab vide Declaration u/s 4 (1) of the Punjab Agricultural Credit Operations and Miscellaneous Provisions (Banks) Act, 1978, which is Annexure A6 to this OA.

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Documents executed: Deed of Hypothecation, which is Annexure A4 to this OA; Affidavit for creating Charge dated 28.03.2019, which is Annexure A5 to this OA; Demand Notice dated 12.08.2025 along with postal receipts, which is Annexure A7 to this OA and Statement of Account, which is Annexure A8 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. 53,07,828.00, 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 summons to appear before this Tribunal but no one appeared on behalf of defendants and they were proceeded ex-parte vide order dated 24.07.2026. 7. In support of the OA, affidavit of Sh. Jatinder Mishra, Authorized Signatory, ICICI Bank Limited has been filed. 8. Heard ex-parte arguments and perused record. 9. It was argued by learned proxy counsel (through VC) that in view of the documentary evidence brought on record which had gone unrebutted, the applicant had proved its case.

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3 OA NO. 861/2026 ICICI BANK LIMITED VS. GULZAR SINGH AND OTHERS

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From the perusal of all the Annexure A1 to A8 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 is entitled to recover a sum of Rs.53,07,828.00 (Rupees Fifty Three Lacs Seven Thousand Eight Hundred Twenty Eight 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 @10.25%p.a. plus 2% penal interest from 08.03.2026 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 property, 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 @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 defendants are liable to pay to the applicant a sum of Rs.53,07,828.00 (Rupees Fifty Three Lacs Seven Thousand Eight Hundred Twenty Eight 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

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4 OA NO. 861/2026 ICICI BANK LIMITED VS. GULZAR SINGH AND OTHERS

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till the date of realization of the amount. Accordingly, the applicant shall be entitled to recover aforesaid amount from the sale of mortgaged property of defendant nos. 1 and 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. 13. Issue Recovery Certificate accordingly. 14. Parties to appear before Learned Recovery Officer of this Tribunal on 12.08.2026. 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: 28.07.2026

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(MRIDULESH KUMAR SINGH) Presiding Officer, DRT-III, Chandigarh

Icici Bank Limited v. Sh. Gulzar Singh and Others

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Icici Bank Limited v. Sh. Gulzar Singh and Others

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