STATE BANK OF INDIA vs Nandakumar G on 25 November 2025

1. Nandakumar G., Aswathy, Thalavady, Kuttanad, Alappuzha - 689 572.

2. M/s.Southern Builders, Midhunam, Nellimala Road, Moovattupuzha, Represented by its Managing Partner.

3. R.Muralimohan, S/o.Raghavakurup, M/s.Southern Builders, Muralee Bhavan, Payyanallor P.O., Adoor, Pathanamthitta.

4. Divakaran Ajith, Punnathala South, House No.17, Anchukallumoodu, Kollam (W).

5. Priya Remesh, W/o.R.Remesh, Midhunam, Nellimala Road, Muvattupuzha.

6. R.Remesh, S/o.P.Ramakrishnan Nair, Midhunam, Nellimala Road, Muvattupuzha.

7. Honey Subhash, W/o.Subhash, Pottakanal, Pala, 2nd Floor, Malabar Manor, Kottuly, Kozhikode.

8. P.T.Subhash, S/o.P.J.Thankappan, Pottakanal, Pala, 2nd Floor, Malabar Manor, Kottuly, Kozhikode.

9. Suresh, S/o.C.S.Govinda Pillai, Aswathy, Thalavady Post, Via Thiruvalla.

10. C.L.Vijayalakshmi, W/o.R.Muralee Mohanan, Muralee Bhavan, Payyanaloor, Elampallill, Pathanamthitta.

11. Bindu Unnithan, W/o.Jayachandran Unnithan, Kaniyarethu Manakkala, Adoor, Pathanamthitta.

12. Jayachandran Unnithan, S/o.Krishnapilla, Kaniyarethu Manakkala, Adoor.

13. Ajith Kumar, S/o.Govinda Pillai, Aswathy, Thalavady P.O., Via Thiruvalla. …Defendants

This Original Application having been heard on 13.11.2025 in the presence of Advocates M/s.Saju N.A. and Uma G.Krishnan for the applicant bank and stood over to this day for consideration, the Tribunal delivered the following: F I N A L O R D E R

This Original Application has been filed under S.19(1) of the Recovery of Debts and Bankruptcy Act, 1993 for recovery of a sum of Rs.15,07,098/- due under medium term loan (housing loan) account together with future interest thereon @11% per annum with monthly rests from the defendants and by sale of the schedule property. Facts of the case:

2. The applicant is a body corporate constituted under the provisions of State Bank of India Act, 1955 and is represented by its Chief Manager, Pandalam Branch, Pathanamthitta.

3. The 1st defendant approached the erstwhile State Bank of Travancore for a medium term loan (housing loan) for purchase of undivided share of land and construction of an apartment thereon. Considering his request, the bank sanctioned a housing loan of Rs.10 lakhs on 11.01.2007 and he availed the same after executing necessary security documents. The defendants executed deed of guarantee to secure the loan. Towards collateral security for the loan, the 1st defendant created equitable mortgage over the schedule property by deposit of title deed with the Adoor Branch of the bank and executed memorandum of deposit of title deeds dated 04.01.2007 in confirmation thereof. Thereafter, the defendants executed revival letter acknowledging the liability under the loan account. The defendants availed the facility but committed default in repayment. Despite recall notice was issued to the defendants, they did not repay the amount due. Hence the applicant was constrained to file the OA claiming the following reliefs:

(i) To recover a sum of Rs.15,07,098/- together with pendente lite and post decree interest thereon from the defendants and by sale of the schedule property;

(ii) To recover the costs, charges and expenses from the defendants;

(iii) To issue Recovery Certificate to the Recovery Officer with a direction to recover the amount and pay it to the applicant bank.

4. The defendants 2, 3 and 5 to 13 filed written statement denying the claim made by the applicant bank. Despite sufficient opportunity granted, they did not file counter proof affidavit nor adduced any documentary evidence to substantiate their case. The defendants remained absent from the proceeding from 07.08.2018 and none appeared and represented to address argument in this case. Proof Affidavit:

5. To establish the claim on behalf of the applicant bank, one Mr.H.Subramonya Iyer, Chief Manager of the applicant has filed proof affidavit and produced the loan documents marked as Exhibits A1 to A9. The availing of the loan and creation of mortgage charge over the schedule property are well established from the documents placed by the applicant bank. A sum of Rs.15,07,098/- is outstanding in the loan account as on 07.03.2011, which is clearly established from the account statement marked as Exts.A9.

6. In the course of hearing on 29.07.2014, learned counsel for the applicant bank submitted that the 4th defendant – Divakaran Ajith is in the party array by oversight and he has to be exonerated from the proceeding. The Tribunal directed the applicant bank to take necessary steps to amend the cause tile of the OA by filing necessary application but the applicant has not taken any steps so far. A perusal of the materials on record would show that the loan documents were executed by defendants 1 to 3 and 5 to 13 only and hence no relief is granted as against the 4th defendant.

7. Pending the OA, the Tribunal passed an order of conditional attachment in IA No.750/2011 on 23.03.2011 in respect of the property scheduled therein belonging to the 3rd defendant. As he failed to furnish security for the required sum or to show cause why such security should not be furnished within the stipulated time, the attachment sought for in respect of the attachment schedule property was made absolute on 02.09.2025. Hence the applicant bank is entitled to realize the amount found due as above by sale of the attached property also.

8. Considering the amount advanced, interest applied and default committed and also the facility granted being a housing loan, I am of the view that the applicant bank is entitled to get pendente lite and post-decree interest @9% per annum, which is reasonable in the facts and circumstances of the case.

9. The applicant bank, therefore, is entitled to get a final order on the following lines: In the result, the applicant bank is given a final order allowing it to recover:

(i) the sum of Rs.15,07,098/- (Rupees fifteen lakhs seven thousand and ninety eight only) due under the medium term loan (housing loan) account from defendants 1 to 3 and 5 to 13 and by sale of the OA schedule property and also the property attached under IA No.750/2011;

(ii) pendente lite and post-decree interest @9% per annum on the sum of Rs.15,07,098/- (Rupees fifteen lakhs seven thousand and ninety eight only) from 08.03.2011 till realization from defendants 1 to 3 and 5 to 13 and by sale of the OA schedule property and also the property attached under IA No.750/2011; and

(iii) costs and expenses borne by it for realization of the loan from defendants 1 to 3 and 5 to 13.

10. The schedule to the OA and schedule to IA No.750/2011 shall be appended to this final order.

11. The applicant bank shall file memo of costs within ten days from the date of this final order.

12. Recovery Certificate shall be drawn up and issued to the Recovery Officer in terms of the final order.

13. Communicate copy of this order to both parties as provided in R.16 r/w R.2(c) of the Debts Recovery Tribunal (Procedure) Rules, 1993. (Dictated to my PA, corrected and pronounced by me in the open Tribunal on this the 25th day of November, 2025)

[SOVAN KUMAR DASH] PRESIDING OFFICER

A P P E N D I X Witness for Applicant: AW1: Sri.H.Subramonya Iyer, Chief Manager of the applicant bank. Witness for Defendant(s): Nil

Applicant’s Exhibits

Ext.No Date Particulars of documents

A1 24.11.2006 Sanction letter acknowledged by the defendants. A2 24.11.2006 Memorandum of term loan agreement executed by the defendants in favour of the applicant bank. A3 24.11.2006 Letter of guarantee for housing loan executed by the 2nd defendant. A4 24.11.2006 Letter of guarantee for housing loan executed by defendants 3 and 5 to 13. A5 26.10.2006 Sale Deed No. 2301/2006 of Rajakumari SRO. A6

24.11.2006 Memorandum of deposit of title deeds executed by the 1st defendant. A7

17.11.2009 Revival letter executed by the 1st defendant acknowledging the liability. A8

17.11.2009 Revival letter executed by the defendant nos.2, 3 and 5 to 13 acknowledging the liability. A9

23.02.2011 Certified copy of the statement of account relating to the Medium Term loan (Housing loan).

Defendants’ Exhibits – Nil

PRESIDING OFFICER

OA SCHEDULE

SCHEDULE TO IA No.750/2011

PRESIDING OFFICER

IN THE DEBTS RECOVERY TRIBUNAL-2, KERALA AT ERNAKULAM

PRESENT: SRI.SOVAN KUMAR DASH PRESIDING OFFICER

Dated the 25th November, 2025

TA No.1389/2016 (OA No.93/2011)

Between

State Bank of India, Pandalam Branch, Pathanamthitta. …Applicant And

Nandakumar G., Aswathy, Thalavady, Kuttanad, Alappuzha - 689 572 & 12 others.

...Defendants

F I N A L O R D E R