DRT allowed the bank's application under the RDB Act for recovery of Rs. 42.42 Lakhs. The court reduced interest to 8% p.a. and ordered recovery from mortgaged properties.
Recovery of Rs. 42,42,179 plus costs and interest at 8% p.a. to be recovered from sale of mortgaged properties; Recovery Certificate issued.
This page shows the compact analysis of this judgement. The full analysis — procedural history, issue-by-issue holdings with ratio and obiter, advocates, and paragraph-level evidence for every claim — is being added to the record in batches and will appear here when this judgement has been through it.
DEBTS RECOVERY TRIBUNAL-III, CHANDIGARH
ORIGINAL APPLICATION NO.898/2025
PRESIDED OVER BY MRIDULESH KUMAR SINGH
DATE OF INSTITUTION: 24.06.2025
DATE OF DECISION: 26.02.2026.
Punjab Gramin Bank, a body corporate constituted under the Regional Rural Bank Act 1976, Act No 21 of 1976 having its Head Office at Markfed Road Kapurthala (Punjab) and having its branches at different places including one at Bhankhar, Tehsil & District Patiala (Punjab) through its Constituted Attorney/ Manager Deepak Kumar.
……..Applicant Versus Sh. Narata Singh @ Naurata Singh s/o Sh. Ajmer Singh, resident of Village Batta, PO Bhankhar, Tehsil and Distt Patiala (Punjab) – 147103 ….……Defendant
Advocates:
Argued by Sh. Bhushan Bhatia, Advocate for applicant (through VC) Defendant already ex-parte vide order dated 03.09.2025
FINAL ORDER
2 OA/898/2025
PUNJAB GRAMIN BANK VS SH.NARATA SINGH @ NAURATA SINGH arrangement dated 23.12.2014, which are Annexure A3 to this OA and the terms and conditions were duly accepted by the defendant.
Documents executed: Loan agreement dated 07.01.2015 & 24.01.2015, which are Annexures A4, A4/1 to this OA; Legal Notice dated 22.10.2021, which is Annexure A6 to this OA; BC/Revival Letters dated 16.09.2017, 10.02.2020, 18.08.2022, which are Annexures A7 and A7/1 to this OA and Statement of account, which is Annexure A8 to this OA.
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OA/898/2025
PUNJAB GRAMIN BANK VS SH.NARATA SINGH @ NAURATA SINGH
were 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 loans as per terms and conditions of the agreement between the parties. Subsequently, accounts of the defendant were classified as NPA. From the documentary evidence brought on record, it is proved that applicant is entitled to recover a sum of Rs.42,42,179.00 (Rupees Forty Two Lacs Forty Two Thousand One hundred Seventy Nine Only) along with interest from the defendant, from the date of filing of the present Original Application till realization of the accounts.
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 property/hypothecated assets, undertaking of the defendant, quantum of loans 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 uniform simple interest @08.00%p.a. in both 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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OA/898/2025
PUNJAB GRAMIN BANK VS SH.NARATA SINGH @ NAURATA SINGH
hypothecated assets/mortgaged properties of the defendant in execution proceedings if not sold earlier under the provisions of the SARFAESI Act, 2002. If the dues of the still remain unsatisfied, it shall be entitled to recover the 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 16.03.2026. 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: 26.02.2026. (MRIDULESH KUMAR SINGH) Presiding Officer, DRT-III, Chandigarh
2 issues framed by the court
Whether an application under Section 19 of the Recovery of Debts and Bankruptcy Act, 1993 for recovery of agricultural loan dues is maintainable and recoverable.
Whether interest rate of 08% per annum is appropriate in view of current market rates and mortgaged assets.
2 provisions across 2 enactments
Punjab Gramin Bank
MRIDULESH KUMAR SINGH
As recorded by the court registry
Judgements on the same questions, provisions and authorities, from every court
