ICICI BANK LIMITED vs MANBIR SINGH on 11 August 2026

J U D G M E N T

This is an application under Section 19(1) of the Recovery of the Debts due to Banks and Financial Institutions Act, 1993 renamed as Recovery of the Debt and Bankruptcy Act, 1993 (for short, ‘the

Act’) to recover ₹22,43,022/- (Rupees Twenty-Two Lakhs Forty-Three Thousand and Twenty-Two Only) with future interest @ 12.04% per annum alongwith Penal interest @ 24% with monthly rest thereon for LAN No. LVNMU00038412012, from the date of presentation of the Original Application i.e. 10.12.2021 till payment/realization and to enforce the hypothecated security. The details of the claim amount are as under: - Sr No Nat ure o f Fac ilit y Pri nci pal Out sta ndi ng Nor mal I ntere st @12. 04% Pe nal I ntere st @24% Ot he r C harge s Total Am ount

LAN NO. LVN MU 00 03 84 12 01 2 ₹1 9,8 8,5 70/ - ₹1, 62, 74 8 /- ₹8 4,6 05/ - ₹7, 09 9/ - ₹22, 43, 022/ -

It is undisputed fact in the matter that the Defendant nos.1 and 2 were duly served with the summons vide order-sheet dated 19.12.2025. Despite service, the defendants did not enter their appearance and therefore, they are set ex-parte on 10.06.2026.

Defendant no.1 and 2 are the co-borrowers who approached the Applicant Bank and sought financial assistance by way of Cash Credit Facility. Pursuant to the loan application made by defendants, the Applicant sanctioned the loan vide Sanction Letter dated 29.12.2018 in sum of ₹24,58,587/- (Rupees Twenty-Four Lakhs Fifty- Eight Thousand Five Hundred Seven Only) payable in 59 EMIs of ₹56,065/- (Rupees Fifty-Six Thousand Sixty-Five Only) with interest at the rate of 12.04% per annum fixed interest with additional 24% interest thereon. The 1st instalment was to be paid on 01.02.2019 and last instalment on 01.12.2023.

The details of the Sanction amount are as under: - Sr No Date of Sa nct io n Nat ure of Fac ilit ie s Am ount R OI Sec ur ity

29. 12. 20 18 Cas h Cre d it ₹2 4,5 8,5 87/ - @12. 04% p.a. Colla teral: Ve hic le r egist er ed in Kohima RT O, Na ga la nd Re gis tra tion N o. NL0 1 AC 85 96, Engine N o. 81 E84 48 48 98, Ve hic le C la s s: Goods Carrier,

Ma nufa ct ur er: T AT A Mot ors Lt d.

Total Am ount - ₹24, 58, 587/ - - -

On the dates given below, defendants signed and executed the loan and security documents as set out in paragraph nos.5 (a) to (h) of the Original Application. Defendants hypothecated Vehicle registered in Kohima RTO, Nagaland, and Registration No. NL01AC8596, Engine No. 81E84484898, Vehicle Class : Goods Carrier, Manufacturer : TATA Motors Ltd . to secure the loan.

The details of the documents executed by the Defendant are as under: -  Preliminary Credit Facility Application Form No. 212470 dated 11.12.2018;  Credit Facility Application Form No.212470 dated 29.12.2018;  Unattested Deed of Hypothecation by which Vehicle No. NL01AC8596 is hypothecated dated 29.12.2018.

After availing the loan, defendants did not adhere to the financial discipline and committed default in payment of instalments and repayment of the loan and accordingly the accounts of the borrowers were declared as Non-Performing Assets (N.P.A.) on 31.05.2021 as per RBI Guidelines.

Therefore, on 05.08.2021, the applicant, through its advocate, called upon defendants to liquidate the outstanding in the sum of ₹21,76,308/- (Rupees Twenty-One Lakhs Seventy-Six Thousand Three Hundred and Eight Rupees Only) due under Loan Account No.LVNMU00038412012 with further interest at the rate of 12.05% p.a. with monthly rest plus 2% p.a. penal interest due from 28.06.2023 till payment and/or realization within 7 days from receipt of this notice. Despite notice, defendant nos.1 and 2 failed and neglected to pay.

As on 10.12.2021, there was owing, due and payable by defendants to the applicant the aggregate sum of ₹22,43,022/- (Rupees Twenty- Two Lakhs Forty-Three Thousand and Twenty- Two Only) with future interest @ 12.04% per annum alongwith Penal interest @ 24% with monthly rest thereon. The applicant has maintained the loan ledger extract and the entries posted therein are made in the usual and ordinary course of the banking business.

Since, defendants failed and neglected to make the payment, the applicant was left with no other alternate but to file the Transfer Original Application which was presented on 10.12.2021.

The applicant has filed affidavit (exhibit-6) in lieu of examination in chief of Mr Ravi Kumar, Manager of the Bank and list of documents

(exhibit-7) thereby adducing in evidence the documents at Exhibit-A to Exhibit-M, which are admitted in evidence, read, recorded and exhibited.

Accordingly, in the Original Application was filed for the recovery of ₹22,43,022/- (Rupees Twenty- Two Lakhs Forty-Three Thousand and Twenty- Two Only) with future interest @ 12.04% per annum alongwith Penal interest @24% with monthly rest thereon for LAN No. LVNMU00038412012, from the date of presentation of the Transfer Original Application i.e. 10.12.2021 till payment/realisation.

The Tribunal has scrutinised and examined the averments contained in the Original Application and analysed the evidence adduced by the applicant which has gone unchallenged, uncontroverted and unrebutted.

Upon careful scrutiny and the examination of the Original Application, analysing the evidence and giving due weightage to the documentary evidence adduced by the applicant, the Tribunal views that there is no reason to disbelieve the claim made by the applicant bank.

In view of the observations made hereinabove, Original Application filed by the applicant deserves to be allowed.

Hence, the following order:

ORDER

(A) The Transfer Original Application No.58 OF 2023 in Original Application No.428 of 2022 is allowed with costs. (B) Defendant nos.1 and 2 are ordered and directed to pay to the applicant, either jointly or severally, the aggregate sum of ₹22,43,022/- (Rupees Twenty-Two Lakhs Forty-Three Thousand and Twenty-Two Only) with future simple interest @ 12% per annum thereon from the date of presentation of the Transfer Original Application i.e. 10.12.2021 till payment/realization after adjusting the recoveries made by the Applicant under SARFAESI Act, 2002 or any other amount paid by the borrowers after filing of this Transfer Original Application No.58 of 2023. (C) The aforesaid adjudicated amount is secured by the valid and subsisting hypothecated property, that is, Vehicle registered in Kohima RTO, Nagaland, and Registration No. NL01AC8596, Engine No. 81E84484898, Vehicle Class : Goods Carrier, Manufacturer : TATA Motors Ltd. (D) Defendant nos.1 and 2 are entitled to redeem the hypothecated property as per law failing which the applicant has right to proceed to sell the hypothecated property and recover dues as per law. (E) Issue Recovery Certificate.

(F) The learned Registrar is directed to send a copy of the judgment and recovery certificate to (i) the applicant, (ii) defendant and (iii) the Recovery Officer by post and email.

(Harish Kumar Kaushik) Presiding Officer, DRT-2, Mumbai