Allowed

Indian Bank v. Sh. Vijay Kumar and Another

DRT27 Aug 2026OA/946/2025

Case brief

AI extract

What is this about?

In an ex-parte proceeding, the Debts Recovery Tribunal allowed an Original Application filed by Indian Bank for the recovery of an outstanding home loan of Rs. 29,28,511.00 from the defendants. The Tribunal awarded simple interest at 8.00% p.a. and directed the issuance of a Recovery Certificate.

What did the court decide?

Recovery Certificate issued pending payment of Rs. 29,28,511.00 jointly and severally with costs and simple interest at 8.00% p.a. from the date of filing.

Indian Bank versus Sh. Vijay Kumar and Another — Specific Performance | DRT (2026)

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DEBTS RECOVERY TRIBUNAL- III, CHANDIGARH

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ORIGINAL APPLICATION NO. 946/2025

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PRESIDED OVER BY MRIDULESH KUMAR SINGH

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DATE OF INSTITUTION: 23.07.2025

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DATE OF DECISION: 27.08.2026

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Indian Bank, a Body Corporate constituted under the Banking Companies Acquisition and Transfer of Undertaking Act, 1970 having its Corporate Office at PB no. 5555, 254-260, Avvai Shanmugam Salai, Royapettah, Chennai and its Branches throughout India and amongst other Branches, one of its Branch Office at Gill Road, Ludhiana through its constituted Attorney/Authorized Officer, Sh. Puneet Raj Aeran, Branch Manager, Indian Bank, Gill Road, Ludhiana and who is also the Principal Officer

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……..Applicant

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Versus

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Sh. Vijay Kumar, S/o Sh. Jamuna Prasad, R/o House no. B- 31/37351, Prem Vihar, Street no. 8, Tibba Road, Ludhiana

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Smt. Vijay Laxmi Chaturvedi, W/o Sh. Vijay Kumar, R/o House no. B-31/37351, Prem Vihar, Street no. 8, Tibba Road, Ludhiana

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….……Defendants

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Advocates:

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Argued by Sh. Ashok Kumar Verma, Advocate for applicant None for defendants (already ex-parte vide order dated 24.08.2026)

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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. 29,28,511.00 (Rupees Twenty Nine Lacs Twenty Eight Thousand Five Hundred Eleven Only). The Original Application has been filed through Sh. Puneet Raj Aeran, Branch Manager of the applicant, who is competent to institute the Original Application vide Power of Attorney dated 20.06.2022 and Letter of Authority dated 01.07.2025, which are Annexure A1 and A2 to this OA.

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2 OA/946/2025 INDIAN BANK VS. VIJAY KUMAR AND ANOTHER

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The brief facts of the OA are that defendants approached the applicant for grant of Home Loan of Rs. 26,65,630.00 vide Loan Application dated 15.12.2020, which is Annexure A3 to this OA.

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The applicant sanctioned Home Loan of Rs. 26.60 Lacs vide Sanction Letter dated 16.01.2021, which is Annexure A4 to this OA and the terms and conditions were duly accepted by the defendants. 4. Defendant no. 2 mortgaged her immovable property i.e. Land measuring 100 Sq. Yards situated at Village Kulewal, Abadi Prem Vihar, District Ludhiana, Punjab vide Title Deed bearing vasika no. 8192 dated 25.07.2017 along with its translation, which is Annexure A13 to this OA.

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Documents Executed: Acknowledgment of Sanction, Declaration/Undertaking to create Equitable Mortgage, DP Note, Agreement, Letter of Authority, Declaration and Letter, all dated 18.01.2021, which are Annexure A5 to A10 and A12 to this OA; Details of Family Members, which is Annexure A11 to this OA; Letter confirming creation of Equitable Mortgage dated 17.02.2021, which is Annexure A14 to this OA; Letter of Acknowledgment of Debt dated 01.01.2024, which is Annexure A15 to this OA; Notice u/s 13 (2), SARFAESI Act, 2002 dated 01.02.2024, which is Annexure A16 to this OA; Notice u/s 13 (4), SARFAESI Act, 2002 dated 09.05.2024, which is Annexure A17 to this OA and Statement of Account, which is Annexure A18 to this OA. 5. 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. 29,28,511.00 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.

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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 24.08.2026. 7. In support of the OA, affidavit of Sh. Puneet Raj Aeran, Branch Manager , Indian Bank, has been filed. 8. Heard ex-parte arguments and perused record.

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3 OA/946/2025 INDIAN BANK VS. VIJAY KUMAR AND ANOTHER

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It was argued by learned counsel that in view of the documentary evidence brought on record which had gone unrebutted, the applicant had proved its case.

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From the perusal of all the Annexure A1 to A18 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 applicant. 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. 29,28,511.00 (Rupees Twenty Nine Lacs Twenty Eight Thousand Five Hundred Eleven 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 @8.55%p.a. excluding @2% penal interest with half yearly rests from 15.07.2025 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, 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 a total sum of Rs.29,28,511.00 (Rupees Twenty Nine Lacs Twenty Eight Thousand Five Hundred Eleven 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.

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OA/946/2025

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INDIAN BANK VS. VIJAY KUMAR AND ANOTHER

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Accordingly, the applicant shall be entitled to recover aforesaid amount from the sale of mortgaged property of defendant no. 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 11.09.2026. 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: 27.08.2026

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

Indian Bank v. Sh. Vijay Kumar and Another

Case brief

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Indian Bank v. Sh. Vijay Kumar and Another

Case brief

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