STATE BANK OF INDIA vs VIKAS MALIK on 17 July 2026

FINAL ORDER

1. The present Original Application in short (TA) has been filed under section 19 of Recovery of Debts and Bankruptcy Act 1993 seeking for issuance of Recovery Certificate against the defendants for Rs 32,70,020/- (Rupees Thirty-Two Lakhs Seventy Thousand and Twenty Only) with further interest thereon from the date of filing the Application till realization.

2. It is the case of the applicant that, the defendants are availed a housing loan of Rs. 36,00,000/- (Rupees Thirty-Six Lakhs Only) for to purchase a flat.

3. It is also the case of the applicant that, in view of the above availed loan, the defendants executed the necessary loan document along with tripartite agreement.

4. It is further contended that, despite availing the credit facility, agreeing to service the loan amount promptly and regularly, the defendants failed in complying the same, resulting in default in repayment and consequentially turning the loan accounts as NPA.

5. In the above circumstances, the applicant approached this Tribunal by filing this TA seeking issuance of Recovery Certificate for the amount due in the account.

6. Despite, service of summons on the defendants, they failed to appear, resulting the defendants being set ex parte on 23.03.2026.

7. The applicant had let in evidence through AW-1, who filed Proof Affidavit reiterating the contentions taken in the TA and also produced Exhibits A-1 to A-10 and got the same marked in evidence.

8. Heard the Ld. Counsel for the Applicant and considered the contentions as taken in the TA in the light of documentary evidence and proof affidavit.

9. The following issues arise for consideration in this matter: i) Whether the applicant had succeeded in proving the OA claim as against the defendants? ii) What order are to be passed?

Both these issues are gone into and decided together.

10. The case put forth by the applicant in the Application remains unrebutted as defendants remained ex parte. The evidence tendered by the applicant remains uncontroverted and undisputed.

11. The evidences put forth by the applicant were found admissible and are sufficient to prove availment of credit facility as stated in the TA, and the defaults committed in the accounts. The liability of the defendants and the claim of the amount due is also proved by the above documents. The claim of the applicant is well within the limitation.

12. Hence in view of the finding arrived herein above, the Tribunal finds that both these issues are in favour of applicant and hence, this Tribunal is of the view that TA is to be allowed.

13. Taking into consideration the facts that the credit facility is availed for Housing purpose and also that the TA claim is arrived at by calculating interest at the agreed rate, this Tribunal is of the view that the TA can be allowed with a reduced interest of 8.00% (simple).

14. In the result, TA.No.10/2024, stands allowed,

i) The applicant is allowed to recover an aggregate sum of Rs. 32,70,020/- (Rupees Thirty-Two Lakhs Seventy Thousand and Twenty Only) with further interest @8.00% p.a.(simple) from the date of filing TA till the realization, from the defendants jointly, severally and personally, after giving credit to all the amount recovered and received during the pendency of the TA and allowed the same to be recovered by proceeding against the schedule properties. Properties schedule to the TA be the schedule to the recovery certificate.

ii) If the sale proceeds are not found sufficient to cover the amount due and payable to the applicant bank, the defendants jointly, severally and personally and their assets are liable for all such amounts due under the loan accounts.

iii) The applicant bank is allowed cost of the proceedings which applicant to file cost memo within 7 days from the date of receipt of the order.

iv) The Recovery Certificate to be drawn in terms of this order and transferred to Recovery for execution.

v) Interim application pending, if any, are disposed of with this

Final Order.

15. Communicate a copy of the order to the parties concerned in terms of Section 19(21)(i) of the RDB Act, read with Rule 16 of DRT (Procedure) Rules, 1993. [Dictated to the Stenographer (HS), transcribed by her, corrected and signed and pronounced by me in the Open Court, this the 17th Day of July, 2026].

Sd/- (T. RAJESH) PRESIDING OFFICER

ANNEXURES WITNESSES EXAMINED FOR THE APPLICANT BANK: AW-1: Vivek Raina, S/o. Ashok Kumar Raina, Chief Manager, of Applicant Bank. Exhibits on the part of the Applicant: Witness Examined for the Defendants: -Nil - List of Documents Exhibited for the Defendants: -Nil -

Exhibit Nos. Date Particulars of Documents A1 -------- Copy of arrangement letter subject to certain terms and conditions issued by applicants RACPC-Koramangala, Bangalore and acknowledged by defendant no.1

Sd/- (T. RAJESH) PRESIDING OFFICER A2 21.01.2022 Copy of memorandum of loan agreement for housing loan (granted to public) executed by defendant no.1 A3 21.01.2022 Copy of agreement to mortgage executed by defendnatno.1 over proposed purchase of flat described as schedule property A4 21.01.2022 Copy of affidavit furnished by defendant no.1 A5 21.01.2022 Copy of deed of undertaking and annexure- 1 for disclosure and letter executed by defendant no.1 A6 27.12.2021 Copy of agreement of sale executed by and between the defendants A7 21.10.2022 Copy of tripartite agreement executed by the defendants with the applicant, undertaking to refund etc. in case of failure of sale etc. with demand letter and NIL EC. A8 29.01.2022 Copy of CERSAI ID no. 200059125451 is made by applicant A9 13.10.2023 Copy of legal notice got issued by the applicant to the defendants A10 -------- Copy/ies of statement/s of account/s duly certified under the bankers’ books evidence act, by the applicant in respect of the applicant’s total claim as debt from defendants