UNION BANK OF INDIA vs GEETA SHARMA on 12 January 2026

FINAL ORDER

This original application has been filed by the applicant on 01.10.2020 before DRT III Delhi and then transferred to DRT-I Delhi under Section 19 of Recovery of Debts and Bankruptcy Act, 1993 against the defendants for recovery of a sum of Rs.46,29,250/- (Rupees Forty Six Lacs Twenty Nine Thousand Two Hundred Fifty Only) as on 19.09.2020 together with pendentelite and future interest @18.00% per annum from 20.09.2020 along with costs.

2. The brief facts of the case are that at the request of defendant no.1 & 2, the applicant bank sanctioned Corp Mortgage Cash Credit facility of Rs.38.60 lacs (Rupees Thirty- Eight Lacs Sixty Thousand only) on 22.03.2013 @14.35% rate of interest against mortgage of properties to meet personal expenses.

3. In order to avail the Corp Mortgage Cash Credit facility, the defendants submitted Loan application and executed Demand Promissory Note, Take Delivery Letter to DPN, Letter of Undertaking / Declaration from borrower dated all dated 25.03.2013 with the applicant bank.

4. That in order to secure the loan facility, the defendant no.1 mortgaged the properties by executing Memorandum of Deposit of Title Deeds dated 25.03.2013 by depositing original deeds of two properties viz.: Built up Property of Pvt. No.5, 3rd Floor with Roof Rights measuring 60 sq.yds, Part of Property No.G-12 (old No.G- 06), out of Khasra No.76, Subhash Chowk, Laxmi Nagar, Village Shakarpur Khas, Illaqa Shandara, Delhi-92; Built up Property Pvt. No.6, 3rd Floor with Roof Rights measuring 60 sq.yds, Part of Property No.G-12 (old No.G- 06), out of Khasra No.76, Subhash Chowk, Laxmi Nagar, Village Shakarpur Khas, Illaqa Shandara, Delhi-92.

5. The defendants executed acknowledgement of debt vide letter dated 31.12.2018 assured to make timely payment in the account.

6. It has been submitted by the applicant that after availing the aforesaid loan against property facility, the defendants failed to comply with the terms and conditions either towards principle or installments despite notice dated 09.07.2019 and personal visits by the officials of the applicant bank. The applicant bank classified the account as NPA on 30.09.2019 as per RBI guidelines but defendants neglected to clear the due, hence the applicant bank has approached this tribunal for recovery of its dues.

7. Notices under Section 13(2) of the Securitization and Reconstruction of Financial Assets and Enforcement of Security Interest Act 2002 was issued on 25.11.2019 to the defendants by the applicant bank and issued notice dated 16.03.2020 for possession of both the mortgaged properties which was duly published in newspapers on 20.03.2020.

8. Notices of this O.A. were issued to the defendants and despite proper service including publication in newspaper, the defendants have chosen to absent from the proceedings. As per order dated 17.11.2025, the defendants have been proceeded ex-parte as they have not appeared before the Tribunal nor written statement, evidence and affidavit of assets have been filed.

9. In order to prove its case, the applicant bank has filed its evidence by way of affidavit of Shri Dongkolson, authorized representative of the applicant who has proved the documents such as Gazette Notifications Exb-AW1/A (CoIly), Power of

Attorney Exb-AW1/B(OSR), Sanction Letter Exb-AW1/C, Request for Overdraft Facility/Cash Credit Limit Exb-AW1/D, Demand Promissory Note Exb-AW1/E, Take Delivery Letter to DPN Exb-AW1/F, Undertaking / Declaration Exb-AW1/G, Title Deeds with Memorandums of Deposit of Title Deeds of Mortgaged Properties, Exb-AW1/H to Exb-AW1/J, Acknowledgement of Debt Exb-AW1/K, Recall Notice Exb- AW1/L, Notice u/s 13(2) Exb-AW1/M, Possession Notice & Newspapers Publication Exb-AW1/N & 0, Certificate Statement of Account under Bankers' Book Evidence Act Exb-AW1/P.

10. The applicant bank has fully corroborated the averments made in the O.A. Even otherwise the whole case of the applicant bank is based on the documents and the same have been duly proved.

11. The case filed by the applicant bank gone unrebutted and there is no question of disbelieving the case of the applicant bank and the applicant bank has proved its case beyond reasonable doubts.

12. As per the provision of Section 19(20) of the Recovery of Debts Due to Banks and Financial Institution Act, 1993 which is analogous to Section 34 of CPC, on filing of the suit/claim, the contract between the parties comes to an end and the Court/Tribunal has a discretion to award the same depending upon the circumstances of each case. Same principle has been laid down by the Hon'ble Apex Court in the case of Central Bank of India Vs. Ravindra & Others. Taking stock of all the circumstances and keeping in view that there is a drastic fall in rates of interest globally and domestically, I am of the opinion that interest of justice will be served if the interest at the rate of 12% p.a. is awarded.

13. In the light of the above discussions, the Original Application deserves to be allowed.

ORDER

I, allow this OA and direct the defendants to pay to the applicant bank, jointly or severally, within 30 days, a sum of Rs.46,29,250/- (Rupees Forty Six Lacs Twenty Nine Thousand Two Hundred Fifty Only) as on 19.09.2020 together with pendentelite and future interest @12.00% per annum from 20.09.2020 till the date of realization along with costs, failing which, amount be realized from sale of mortgaged properties viz.: a) Built up Property of Pvt. No.5, 3rd Floor with Roof Rights measuring 60 sq.yds, Part of Property No.G-12 (old No.G- 06), out of Khasra No.76, Subhash Chowk, Laxmi Nagar, Village Shakarpur Khas, Illaqa Shandara, Delhi-92; b) Built up Property Pvt. No.6, 3rd Floor with Roof Rights measuring 60 sq.yds, Part of Property No.G-12 (old No.G- 06), out of Khasra No.76, Subhash Chowk, Laxmi Nagar, Village Shakarpur Khas, Illaqa Shandara, Delhi-92. In case of shortfall, the aforesaid amount shall be recovered from sale of movable and immovable property of the defendants. (II) The recovery certificate be issued forthwith and be sent to the Recovery Officer, Debt Recovery Tribunal-I, Delhi.

(III) Parties are directed to appear before Recovery Officer, DRT I, Delhi on 12.03.2026. (IV) Copies of final order as well as Recovery Certificate be sent to all concerned free of cost. (GOVIND BALLABH SHARMA) PRESIDING OFFICER DRT-I, DELHI (Dictated and pronounced in open court) Dated: 12.01.2026