Allowed

Hdfc Bank Ltd. v. Sh. Gurdeep Singh

DRT9 Apr 2026OA/921/2025

Case brief

AI extract

What is this about?

The Debts Recovery Tribunal allowed the bank's application to recover a debt of Rs. 20,78,468.65. The tribunal adjusted the interest rate to 8% per annum and directed the recovery of the amount with costs and interest, invoking the prerogative of mercy due to changed market conditions.

What did the court decide?

Recovery of Rs. 20,78,468.65 with costs and simple interest @ 8% p.a. from filing date till realization; issuance of Recovery Certificate.

Hdfc Bank Ltd. versus Sh. Gurdeep Singh — Banking and Recovery | DRT (2026)

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DEBTS RECOVERY TRIBUNAL-III, CHANDIGARH

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ORIGINAL APPLICATION NO.921/2025

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PRESIDED OVER BY MRIDULESH KUMAR SINGH

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DATE OF INSTITUTION: 17.07.2025

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DATE OF DECISION: 09.04.2026

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HDFC Bank Ltd., a body, incorporated under the Companies Act, 1956, and is having its Registered Office at S enapati Bapat Marg, Lower Parel-(West), Mumbai-400013 and interalia having Regional Head Office at Plot No I-15, Sector 101 Alpha, IT City, Mohali and carrying on the banking business through its Branch Office Sardulgarh, Mansa, Punjab through its Authorized to representative Sh. Dinesh Kumar.

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……..Applicant

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Versus

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Sh. Gurdeep Singh S/o Sh. Mukand Singh, now deceased

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through his legal heirs:

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a) Sh. Paramjeet Kaur W/o Late Sh. Gurdeep Singh, b) Sh. Sandeep Singh S/o Late Sh. Gurdeep Singh, c) Sh. Mandeep Singh S/o Late Sh. Gurdeep Singh,

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All residents of H. No. 10, Village Bhundarh, Near Gurdwara Sahib, Tehsil Sardulgarh, District Mansa, Punjab-151507

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….……Defendants

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Advocates:

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Argued by Ms. Sunita Rani, Advocate proxy for Sh. Abhishek Garg, Advocate for applicant

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None for Defendants (Already ex-parte vide order dated 01.04.2026).

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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.20,78,468.65 (Rupees Twenty Lacs Seventy Eight Thousand Four Hundred Sixty Eighy and Paise Sixty Five Only). The Original Application has been filed through Sh. Dinesh Kumar, Legal Manager of the applicant, who is competent to institute the Original Application vide Power of Attorney dated 17.01.2024, which is Annexure A1 to this OA.

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OA NO.921/2025 HDFC BANK LIMITED VS SH. GURDEEP SINGH THROUGH HIS LEGAL HEIRS

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The brief facts of the OA are that Sh. Gurdeep Singh (now deceased and husband of defendant no. 1(a) and father of defendant nos. 1(b) & 1(c)) approached the applicant bank for grant of Cash Credit Limit of Rs.12.50 Lacs vide Loan application dated 23.09.2014, which is Annexures A2 to this OA.

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The applicant sanctioned the Cash Credit Limit of Rs.12.50 Lacs vide sanction of Agriculture Credit Overdraft/Cash Credit Facility dated 10.10.2014, which is Annexure A3 to this OA and terms and condition were duly accepted by the defendant.

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Sh. Gurdeep Singh (now deceased and husband of defendant no. 1(a) and father of defendant nos. 1(b) & 1(c)) mortgaged his immovable property i.e. 32K-00M situated at Village Bhundarh, Tehsil Sardulgarh, District Mansa vide declaration dated 15.10.2014 u/s 4(1) of Punjab Agricultural Credit Operations and Miscellaneous Provisions (Banks) Act, 1978 and Letter of Mutation dated 15.10.2014, which are Annexure A5(Colly) to this OA.

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Documents executed: Demand Promissory Note, Letter of Continuity for DP Note, Agreement for overdraft/cash credit cum guarantee cum hypothecation along with KYC Document, all dated 16.10.2014, which are Annexure A4(Colly) to this OA; Legal Notice dated 04.12.2024, along with postal receipt, which is Annexure A6(Colly) ; Statement of account along with certificate under Bankers Book Evidence Act, which is Annexure A7(Colly). 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.20,78,468.65, 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 01.04.2026.

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OA NO.921/2025 HDFC BANK LIMITED VS SH. GURDEEP SINGH THROUGH HIS LEGAL HEIRS

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In support of the OA, affidavit of Sh. Dinesh Kumar, Legal Manager, HDFC Bank Limited has been filed.

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Heard ex-parte arguments and perused record.

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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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From the perusal of all the Annexures A1 to A7 to this OA, it is proved that Sh. Gurdeep Singh (now deceased and husband of defendant no. 1(a) and father of defendant nos. 1(b) & 1(c)) approached applicant bank for availing of the loan facility which was granted to him and for that he had executed all the relevant documents in favour of the bank. Sh. Gurdeep Singh (now deceased and husband of defendant no. 1(a) and father of defendant nos. 1(b) & 1(c)) 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.20,78,468.65 (Rupees Twenty Lacs Seventy Eight Thousand Four Hundred Sixty Eighy and Paise Sixty Five Only), along with interest from the defendants, jointly and severally, from the date of filing of the present Original Application till realization of the account.

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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 @11.75%p.a. with half yearly rests with penal interest @16%p.a. from 13.12.2024 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 mortgaged property/hypothecated assets, 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

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OA NO.921/2025 HDFC BANK LIMITED VS SH. GURDEEP SINGH THROUGH HIS LEGAL HEIRS

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@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 a total sum of Rs.20,78,468.65 (Rupees Twenty Lacs Seventy Eight Thousand Four Hundred Sixty Eighy and Paise Sixty Five 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 applicant shall be entitled to recover aforesaid amount from the sale of mortgaged property of Sh. Gurdeep Singh (now deceased and husband of defendant no. 1(a) and father of defendant nos. 1(b) & 1(c)) 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 29.04.2026. 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.

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Pronounced by me in the open Tribunal .

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Dated: 09.04.2026

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

Hdfc Bank Ltd. v. Sh. Gurdeep Singh

Case brief

What is this about?

What did the court decide?

Hdfc Bank Ltd. v. Sh. Gurdeep Singh

Case brief

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