Allowed

Hdfc Bank Limited v. Sh. Iqbal Singh and Another

DRT7 May 2026OA/980/2024

Case brief

AI extract

What is this about?

Debts Recovery Tribunal allowed an original application filed by HDFC Bank Ltd. for recovery of Rs. 29.90 lakhs against two respondents. The court granted relief for principal, costs, and future interest at 8% p.a. via sale of hypothecated assets.

What did the court decide?

Declared respondents liable to pay Rs. 29,90,890 plus costs and simple interest at 08% p.a. from filing till realization. Ordered issuance of Recovery Certificate.

Hdfc Bank Limited versus Sh. Iqbal Singh and Another — Dowry and Cruelty | DRT (2026)

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DEBTS RECOVERY TRIBUNAL-III, CHANDIGARH

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ORIGINAL APPLICATION NO. 980/2024

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PRESIDED OVER BY MRIDULESH KUMAR SINGH

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DATE OF INSTITUTION: 05.08.2024

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DATE OF DECISION: 07.05.2026

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HDFC Bank Ltd., a Banking Company carrying on the Banking Business under the Banking Regulation Act, 1949 incorporated under the Companies Act, 1956 and having its Registered Office at HDFC Bank House, Senapati Bapat Marg, Lower Parel, Mumbai, Maharashtra400013 and Branch Office amongst other places, one at Mukatsar, Punjab through Sh. Dinesh Kumar, Assistant Manager, holder of an Attorney from the applicant bank

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……..Applicant

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Versus

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Sh. Iqbal Singh, S/o Sh. Surjeet Singh, R/o Village Jasseana, Tehsil and District Sri Mukatsar Sahib, Punjab- 152026

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Sh. Gurpreet Singh, S/o Sh. Iqbal Singh, R/o House no. 62, Village Jasseana, Tehsil and District Sri Mukatsar Sahib, Punjab152026

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…Defendants

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Advocates:

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Argued by Sh. J.S. Sehgal, Advocate for applicant

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None for defendants (already ex-parte vide order dated 02.04.2026)

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FINAL ORDER

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Present Original Application was instituted by the applicant bank under Section 19 of the Recovery of Debts and Bankruptcy Act, 1993, against the defendants for recovery of Rs. 29,90,890.00 (Rupees Twenty Nine Lacs Ninety Thousand Eight Hundred Ninety Only). The Original Application has been filed through Sh. Dinesh Kumar, Assistant 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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2 OA/980/2024 HDFC BANK LIMITED VS. IQBAL SINGH AND ANOTHER

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The brief facts of the OA are that defendant no. 1 approached the applicant for grant of CC Limit of Rs. 26.97 Lacs vide Application Form dated 04.07.2013, which is Annexure A2 to this OA. 3. The applicant sanctioned CC Limit of Rs. 25.35 Lacs vide Sanctioned Letter dated 23.07.2013, which is Annexure A3 to this OA and the terms and conditions were duly accepted by the defendants. Defendant no. 2 stood as guarantor. 4. Defendant no. 1 hypothecated his immovable property i.e. Land measuring 64K 00M situated at Village Jasseana, Hadbast no. 133, Tehsil and District Sri Muktsar Sahib, Punjab vide Mortgage Deed bearing vasika no. 2148 dated 30.07.2013 along with its translation, which are Annexure A7 and A8 to this OA.

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Documents executed: Agreement for OD/CC cum Guarantee cum Hypothecation, DP Note and Letter of Continuity, all dated 13.08.2013, which are Annexure A4 to A6 to this OA; Notice dated 18.07.2024 along with its postal receipts, which are Annexure A9 to A11 to this OA and Statement of Account with certificate, which is Annexure A12 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 the loan account, there was a debit of Rs. 29,90,890.00, 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 the defendants and they were proceeded ex-parte vide order dated 02.04.2026. 7. In support of the OA, affidavit of Sh. Dinesh Kumar, Assistant Manager , HDFC Bank Limited, has been filed. 8. Heard ex-parte arguments and perused record.

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3 OA/980/2024 HDFC BANK LIMITED VS. IQBAL SINGH 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 A12 to this OA, it is proved that the defendant no. 1 approached applicant for availing of the loan facility which was granted to him. Defendant no. 2 stood as guarantor. Defendants 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, the 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. 29,90,890.00 (Rupees Twenty Nine Lacs Ninety Thousand Eight Hundred Ninety 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 has claimed interest in relief clause @12%p.a. with half yearly rests from 02.05.2024 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 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 total sum of

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OA/980/2024 HDFC BANK LIMITED VS. IQBAL SINGH AND ANOTHER

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Rs.29,90,890.00 (Rupees Twenty Nine Lacs Ninety Thousand Eight Hundred Ninety 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 till the date of realization of the amount. Accordingly, the applicant shall be entitled to recover aforesaid amount from the sale of hypothecated assets/mortgaged property of the defendants 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. 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 29.05.2026. 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: 07.05.2026

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

Hdfc Bank Limited v. Sh. Iqbal Singh and Another

Case brief

What is this about?

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Hdfc Bank Limited v. Sh. Iqbal Singh and Another

Case brief

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