G N ASHIRVAD vs UNION BANK OF INDIA on 11 November 2026

IN THE DEBT RECOVERY APPELLATE TRIBUNAL AT CHENNAI

IA 808/2026 (Waiver) in A.IR:609/2026

G N Ashirvad V/S Union Bank of India & anr 11/11/2026

This appeal is filed against the final order passed by the learned Presiding Officer, DRT-I, Karnataka at Bengaluru in SA 267/2025 on 30.01.2026. This SA 267/2025 has been filed to set aside e-auction sale notice dated 15.05.2025 fixing the sale on 13.06.2025. It is the submission of the learned counsel for the petitioner that petitioner is one of the partners of M/s. Hyderabad Handloom Centre. Four properties were offered as security for the loan availed by the partnership firm viz., M/s. Hyderaba Handloom Centre and its partners numbering 14. The Bank issued demand notice dated 04.09.2024 claiming the amount due at Rs.5,10,43,013.89p. as on 31.08.2014. This demand notice was not served on the petitioner. Though publication was effected, no affixure of demand notice was done. The first sale notice was issued on 10.02.2025 for recovery of a sum of Rs.5,41,65,893.89p. for the sale of four properties. In the sale held, one of the four properties, i.e. property No.3 mentioned in the sale notice was sold. Not satisfied with that amount, the Bank issued second sale notice on 15.05.2025 for the recovery of a sum of Rs.3,69,37,354.78p. for the sale of remaining three properties. Between the two dates of sale notice, the reserve price in the second sale notice was grossly reduced from the reserve price fixed in the first sale notice without any justification. It is further submitted that petitioner filed SA 267/2025 challenging the sale notice, wherein the learned Presiding Officer passed a conditional order directing the petitioner to pay a sum of Rs.92,00,000/- in instalments and on such payment direction was given not to confirm the sale. Petitioner made these payments, of course, one payment was made with the delay and the delay was condoned. When there is an order operating against the confirmation of sale, the Bank has directed the auction purchaser to pay the balance 75% of the sale consideration within 15 days. Petitioner came to know that the balance 75% of the sale consideration was not paid within 15 days. However, the Bank has not given details about the payment of balance sale consideration as to when it was paid and whether the sale is confirmed or not till date. Petitioner had already paid a sum of Rs.92,00,000/-. In the impugned sale, out of three properties, two properties have been sold, thereby, the Bank has recovered substantial amount by the sale of three properties. On these grounds, learned counsel for the petitioners seeks waiver of pre-deposit and no other ground is urged. When this Tribunal asked the learned counsel for the first respondent to furnish the outstanding as on the date of filing of the appeal without considering the sale consideration, the learned counsel for the first respondent seeks time to produce statement of accounts to show the amount due. Post the matter on 17.11.2026. Sd/-

Chairperson