Allowed

Indian Overseas Bank v. Rahul

DRT7 Apr 2026OA/913/2023

Case brief

AI extract

What is this about?

The Debts Recovery Tribunal allowed the bank's application for recovery of agricultural loans totaling Rs. 23,66,342. The court reduced the claimed future interest rate from 11-12.75% to 9% simple interest and directed the issuance of a recovery certificate with authorization to sell mortgaged properties.

What did the court decide?

Defendants to pay Rs. 23,66,342 with future interest @9% p.a.; Recovery Certificate issued; direction to Registrar to sell mortgaged properties.

Indian Overseas Bank versus Rahul — Contract and Commercial Disputes | DRT (2026)

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Presented on: 29.11.2022 Registered on: 03.06.2023 Decided on: 07.04.2026 Duration: Y M D

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IN THE DEBTS RECOVERY TRIBUNAL AT PUNE (Before Shri Dilip G. Murumkar, Presiding Officer) ORIGINAL APPLICATION No.913/2023.

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Indian Overseas Bank

¶4

A Body Corporate constituted under the Banking Companies (Acquisitions & Transfer of Undertakings) Act 1970 having its Head Office at 762, Anna Salai, Chennai-600002, Tamilnadu State and its branch at Indian Overseas Bank, Mahatma Phule Road, Indapur, District Pune, Maharashtra-413 106.

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… Applicant

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Versus

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1. Mr. Rahul Ramdas Bhoge

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2. Mr. Ramdas Shamrao Bhoge

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Both R/at – 72B, Arjunnagar Gavthan, At Post Arjunnagar,Tal. Karmala, District Solapur-413 203 .

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3. Mr. Satish Shivaji Bhoge

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R/at Bhoge Vasti, Arjunnagar, Tal. Karmala, Dist. Solapur-413 203.

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4. Mr. Jayram Prabhakar Atkar

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R/at – Arjunnagar, Tal. Karmala, District Solapur- 413 203.

…Defendants

(OA No.913/2023)

Page 1 of 11

[ANIL]

APPEARANCES

For the Applicant Advocate Mr. Rahul Hare For the Defendants Ex parte.

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TOTAL CLAIM AMOUNT –Rs.23,66,342/-

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JUDGMENT (Delivered on 7^th April, 2026)

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The Applicant Bank has filed present application for

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recovery of aggregate sum of Rs.23.66.342/[i.e.Rs.19,69,809/towards Agri Term Loan A/c No.3059038114000111 and Rs.3,96,533/- towards Agri Kisan Credit KCC A/c No.305902000000379] together with future interest @12.75% per annum & @11% respectively with half yearly rests plus penal interest @2% p.a. from 01.04.2021 till repayment/realization of entire dues from the defendants.

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¶25

Brief facts of the application are as under:

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The Applicant Bank states that Defendant Nos.1&2 alongwith Defendant Nos.3&4 approached Applicant Bank on 10.06.2014 and requested for Agri Credit Facilities for an amount of Rs.11,00,000/- consisting of two facilities i.e. Agriculture Term Loan under IOB Green Credit Scheme for an amount of Rs.8,20,000/- and Agri Kisan Credit Card (KCC) for an amount of Rs.2,80,000/- for Sugarcane Cultivation.

(OA No.913/2023)

Page 2 of 11

[ANIL]

The Applicant Bank considered the request of Defendant Nos.1&2 and sanctioned Agri Credit Facilities for an amount of Rs.11,00,000/- consisting of two facilities i.e. Agriculture Term Loan under IOB Green Credit Scheme for an amount of Rs.8,20,000/- and Agri Kisan Credit Card (KCC) for an amount of Rs.2,80,000/- for Sugarcane Cultivation on 08.07.2014 upon the terms and conditions mentioned therein.

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In order to secure the aforesaid Term Loan facilities, the respective defendants have executed all relevant loan and security documents in favor of the Applicant Bank as set out in Para Nos.5.7 of the Original Application. Defendant Nos.2 and 3 executed Guarantee for Loans dated 09.07.2014 in favour of the applicant for repayment of the amount due and payable by Defendant No.1&2 to the Applicant Bank. Defendant No.1&2 have executed Letter of Hypothecation dated 09.07.2014 and hypothecated sugarcane crop in 2.18 Hectors (5.45 Acres) in Gat No.2.23 Hectors (5.575 Acres) in Gat No.190/1, 197, 195, 192/1 and 199 situated at Arjunnagar, village of Karmala Taluka, District Solapur.

(OA No.913/2023)

Page 3 of 11

[ANIL]

In addition to this, defendant No.2 has executed Registered Mortgage Deed duly registered at the Office of Sub Registrar at Karmala at Sr.No.2675 dated 11.07.2014 in favour of Indian Overseas Bank of the immovable property of the land i.e. -

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(i)- All that piece and parcel of agriculture land admeasuring 0H 23R + Potkharaba 0H 01R thus total 00H 24R, out of Gat No.197, totally admeasuring 0H 47R + PK 0H 01R total 0H 48R, situated at village Arjunnagar, Tal. Karmala, District Solapur, within the jurisdiction of Division Solapur, Sub Division and Taluka and within the Sub Registrar Karmala, District Solapur;

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(ii)- All that piece and parcel of agriculture land admeasuring 0H 33R + Potkharaba 0H 02R thus total 00H 35R, out of Gat No.190/1, totally admeasuring 1H 13R + PK 0H 02R total 1H 15R, situated at village Arjunnagar, Tal. Karmala, District Solapur, within the jurisdiction of Division Solapur, Sub Division and Taluka and within the Sub Registrar Karmala, District Solapur;

(OA No.913/2023)

Page 4 of 11

[ANIL]

District Solapur, within the jurisdiction of Division Solapur, Sub Division and Taluka and within the Sub Registrar Karmala, District Solapur;

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(iv) All that piece and parcel of the Agricultural land admeasuring 01 H 08 R, + P. K. 0H 01 R total 1 H 09, out of Gat No. 192/1, assessed at Rs. 1.85, situated at village Arjunnagar Tal. Karmala, District Solapur within the jurisdiction of Division Solapur, Sub Division and Taluka and within the Sub Registrar Karmala, District Solapur, which is bounded as follows:

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(v) All that piece and parcel of the Agricultural land admeasuring 00 H 32 R + P. K. 0H 03 R total 0H 35T out of total land admeasuring 1H 26R+PK 0H 21R Total 1H 47R, out of Gat No. 199, assessed at Rs. 0.95, situated at village Arjunnagar Tal. Karmala, District Solapur within the jurisdiction of Division Solapur, Sub Division and Taluka and within the Sub Registrar Karmala, District Solapur, together with all trees, crop (existing and future) standing on the land and superstructure, fixture and fittings including building, machinery, pipeline etc. presently installed and / or that may be installed thereon, more particularly described in Para No.5.10 of the Original Application.

(OA No.913/2023)

Page 5 of 11

[ANIL]

The Applicant Bank contended that loan account i.e. Agri Term Loan A/c No.3059038114000111 and Agri Kisan Credit KCC A/c No.305902000000379 came to be opened in the name of Defendant No.1 and 2 and loan amount was disbursed in the said loan accounts.

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Further, the applicant bank states that the loan account of the borrower is declared as a Fraud and, therefore, all the original documents have been handed over to CBI, ACB, Pune for further action and acknowledged the receipt of the said Original Documents on 21.02.2017.

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Further, the applicant bank has filed affidavit-inevidence of Mr. Ashwinkumar Rohandas Shriram, Manager of the applicant bank, in which it is affirmed that he is producing all the photocopies of the documents executed by the defendants, as original documents are in the custody of the CBI. The applicant is also producing letter issued by CBI as to the documents in their custody. Thus, the documents filed on record may kindly be taken on record and read into evidence and the same may kindly be exhibited.

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The applicant bank further states that standard status of the loan accounts could not sustain for long and account again became irregular due to non-payment of the principal

(OA No.913/2023)

Page 6 of 11

[ANIL]

and interest as per terms of sanction. The applicant called upon defendant Nos.1 and 2 and their guarantors to make repayments of the loan amount due and payable but the defendants have not responded to the same. In spite of various reminders, defendants neither made any efforts to approach the applicant nor paid any amount due and payable to regularize its loan account, therefore, the account of defendants was classified as NPA on 31.03.2017 as Reserve Bank of India guidelines.

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Therefore, the applicant bank through its advocate Rahul Hare issued Legal Notice dated 24.06.2021 to Defendants and thereby called upon them to repay the entire amount outstanding under the said loan accounts. But in spite of receipt of notice, defendants failed and neglected to repay the due amount.

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Hence, this application is filed.

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Defendants failed to appear despite service of summons. Hence, the application proceeded ex-parte as per order dated 16.07.2025 passed below Application (Exhibit-1).

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The Applicant Bank has filed Claim Affidavit (Exhibit-6) of Mr. Ashwinkumar Mohandas Shriram, Manager and has produced on record the Notarized Loan Transaction

(OA No.913/2023)

Page 7 of 11

[ANIL]

documents at Exhibits.AW-1 to AW-22, which corroborates the case of the Applicant Bank.

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I have heard arguments of the learned Advocate for the Applicant Bank.

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Since the defendants failed to appear and contest the application, I find no reason to disbelieve the evidence of the Applicant Bank. Therefore, the Applicant Bank is entitled for the reliefs claimed.

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The Applicant Bank has claimed relief in respect of hypothecated assets. However, there is no detailed description with respect to the hypothecated assets. Therefore, the relief in terms of hypothecated assets cannot be granted.

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The Applicant Bank has claimed future interest @12.75% p.a. for Agri Term Loan Account and @11% KCC Account. However, considering the facts of the case, I am of the opinion that if future interest is granted @9% per annum (simple), it would be just and reasonable rate of interest.

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Hence, I pass the following order:-

(OA No.913/2023)

Page 8 of 11

[ANIL]

ORDER

(A) Original Application No.913/2023 is allowed with costs.

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(B) Defendant Nos.1to4 either jointly or severally shall pay an aggregate sum of Rs.23,66,342/- to the applicant bank, as under:-

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(i)- Out of Rs.23,66,342/-, Defendant Nos.1to4 either jointly or severally shall pay sum of Rs.19,69,809/- (Rupees Nineteen Lakhs SixtyNine Thousand Eight Hundred Nine Only) towards Agri Term Loan Account No. 3059038114000111 with future interest @9% p.a. from the date of filing of the Original Application i.e.29.11.2022 till payment / realization of the amount.

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(ii)- Out of Rs.23,66,342/-, Defendant Nos.1to4 either jointly or severally shall pay sum of Rs.3,96,533/- (Rupees Three Lakhs Ninety-Six Thousand Five Hundred Thirty-Three Only) towards Agri KCC Loan Account No. 305902000000379 with future interest @9% p.a. from the date of filing of the Original Application i.e.29.11.2022 till payment/ realization of the amount.

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(C)

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The aforesaid adjudicated amount is secured by immovable properties i.e. -

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(i)- All that piece and parcel of agriculture land admeasuring 0H 23R + Potkharaba 0H 01R thus total 00H 24R, out of Gat No.197, totally admeasuring 0H 47R + PK 0H 01R total

(OA No.913/2023)

Page 9 of 11

[ANIL]

0H 48R, situated at village Arjunnagar, Tal. Karmala, District Solapur, within the jurisdiction of Division Solapur, Sub Division and Taluka and within the Sub Registrar Karmala, District Solapur;

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(iii)- All that piece and parcel of agriculture land admeasuring 00H 20R out of Gat No.195, totally admeasuring 0H 30R + 0H 01R total 0H 40R, assessed at Rs.1.05, situated at village Arjunnagar, Tal. Karmala, District Solapur, within the jurisdiction of Division Solapur, Sub Division and Taluka and within the Sub Registrar Karmala, District Solapur;

(OA No.913/2023)

Page 10 of 11

[ANIL]

(D) The Applicant Bank is entitled to sell the mortgaged immovable property to recover its dues.

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(E) Issue Recovery Certificate.

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(F) The Registrar is directed to send the copy of Judgment and Recovery Certificate to the Applicant Bank and the defendants.

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Sd/-

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Place : Pune (Dilip G. Murumkar) Date: 07.04.2026 Presiding Officer, Debts Recovery Tribunal, Pune.

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(OA No.913/2023)

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Page 11 of 11

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[ANIL]

Indian Overseas Bank v. Rahul

Case brief

What is this about?

What did the court decide?

Indian Overseas Bank v. Rahul

Case brief

What is this about?

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