Delhi District Court
State Bank Of India vs Prakash Kaur Prop. Of Arsh Toys And Gift ... on 2 December, 2025
IN THE COURT OF CIVIL JUDGE - 03
WEST DISTRICT, TIS HAZARI COURTS, DELHI
Presiding Officer: Sh. Kautuk Bhardwaj, DJS Digitally signed
by KAUTUK
Suit No. CS SCJ/1667/2023 KAUTUK BHARDWAJ
BHARDWAJ Date:
2025.12.02
CNR No. DLWT03-002795-2023 16:30:37 +0530
In the matter of:
STATE BANK OF INDIA
(through its Authorized Representative)
SMECC, 2nd Floor, 59, Community Center,
Naraina Industrial Area, Phase-1,
New Delhi-110028.
................. Plaintiff
Vs.
MRS. PRAKASH KAUR
Proprietor of
Arsh Toys and Gift Shop
Office at : A-121, Sharda Puri,
Ramesh Nagar, New Delhi-110015.
.............. Defendant
Date of institution of Suit : 02/01/2024
Date on which judgment was reserved : 02/12/2025
Date of pronouncement of the judgment : 02/12/2025
EX-PARTE JUDGMENT
1.The Case:
The present suit has been instituted for recovery of a sum Rs. 1,49,310/- along with future interest & pendent-lite @ 11.25% per annum till its realization.
2. Plaintiff's case:
It is the case of the plaintiff that the defendant had approached the plaintiff bank for financial assistance and defendant executed the requisite documents. The plaintiff bank has advanced a loan of Rs. 1,25,000/- in form of Drop-Line OD CS SCJ/1667/2023 STATE BANK OF INDIA Vs. PRAKASH KAUR Page 1 of 6 Facility @ 10.70% p.a in the account no. 37457850148. Further, the said loan was renewed to the tune of Rs. 1,22,000/- in the above said account number. Further, during the Covid-19 pandemic, upon the request of defendant, the plaintiff bank had renewed the loan and upon his request, the overdue amount was adjusted by opening separate loan account no. 39405356574 in the form of term loan of Rs. 18,000/- vide letter of arrangement dated 06/06/2020. In lieu of the loan, defendant had executed hypothecation agreement dated 03/01/2018 and supplemental hypothecation agreement dated 06/06/2020. It is the case of the plaintiff that the defendant had failed to adhere to the terms of the loan and defaulted in making payments and the accounts of the defendant were eventually declared NPA on 02/10/2020. It is claimed that an amount of Rs. 1,49,310/- (Rs. 1,26,825/- in respect of drop-line OD facility + Rs. 22,485/- in respect of term loan) is due up till 15/04/2023. Based on these facts, the plaintiff has filed the present suit.
3. Summons of the suit were sent to defendant, which stood served and copy of plaint and documents were supplied on 12/04/2025 by way of publication. However, defendant neither appeared nor contested the present suit. Accordingly, the defendant was proceeded ex-parte vide order dated 16/09/2025. There being no written statement on record.
4. To prove its case, AR of plaintiff examined himself as PW-1, as the sole witness and tendered his evidence by way of affidavit Ex. PW-1/A, reiterating the contents of the plaint therein and relied upon the following documents :-
CS SCJ/1667/2023 STATE BANK OF INDIA Vs. PRAKASH KAUR Page 2 of 6 Sr. Documents Exhibit/Mark
No.
1. Copy of gazette of India dated Ex. PW-1/1 02/05/1987
2. Copy of my authority letter dated Ex. PW-1/2 (OSR) 12/12/2023
3. Original loan application dated Ex. PW-1/3 11/12/2017
4. Original letter of arrangement dated Ex. PW-1/4 03/01/2018
5. Original agreement of loan cum Ex. PW-1/5 hypothecation dated 03/01/2018
6. Original letter of arrangement dated Ex. PW-1/6 23/10/2019
7. Original loan application and original Ex. PW-1/7 (Colly, letter of arrangement dated 12 pages) 06/06/2020
8. Original supplemental agreement of Ex. PW-1/8 loan cum hypothecation dated 06/06/2020
9. Original affidavits submitted by the Ex. PW-1/9 (colly, defendant 13 pages)
10. Copy of KYC documents of the Mark A (colly, 02 defendant pages)
11. Office copy of the legal notice dated Ex.PW-1/10 (colly, 18/05/2023 04 pages)
12. Statement of account Ex.PW-1/11 (colly, 16 pages)
13. The Certificate u/s 2A of Bankers Ex. PW-1/12 Books of Evidence Act r/w Section 63 of Bhartiya Sakshya Adhiniyam, 2023
5. Since none appeared for the defendant when the plaintiff was to be examined, the evidence was recorded ex-parte. Thereafter, plaintiff closed its ex-parte evidence vide order dated CS SCJ/1667/2023 STATE BANK OF INDIA Vs. PRAKASH KAUR Page 3 of 6 10/11/2025, and the matter was posted for ex-parte final arguments.
6. During the course of final arguments, the Ld. counsel for plaintiff relied on the aforesaid documents and the unrebutted deposition of PW-1 to pray for a decree for the suit amount of Rs. 1,49,310/- along- with future interest & pendent- lite @ 11.25% per annum till its realization.
7. The final arguments advanced by the Ld. Counsel for Plaintiff was heard at length. This court has carefully perused the evidence on record in light of the pleadings of the plaintiff and considered the submissions of the Ld. Counsel for the plaintiff.
8. Since there is no written statement on record, the entire plaint has remained unrebutted. Notably, the defendant did not join the proceedings despite service of the summons of the suit. Therefore, the pleadings are deemed to be admitted for want of specific denial.
9. The documents relied upon by the plaintiff bank clearly shows that upon entering into agreement of loan, loan amount was disbursed in pursuance to the letters of arrangement (Ex. PW-1/4 & Ex. PW-1/6). The said amount was secured by hypothecation, as per hypothecation agreement and supplemental hypothecation agreement (Ex. PW-1/5 & Ex. PW-1/8) and letter of undertaking/ affidavits (Ex. PW-1/9, colly.). The plaintiff has further relied upon the statement of account (Ex. PW-1/11) and legal notice dated 18/05/2023 (Ex. PW-1/10), which reflects a total outstanding amount of Rs. 1,49,310/- (i.e Rs. 1,26,825/- qua a/c no. 37457850148 and Rs. 22,485/- qua a/c no. 39405356574) and the accounts of defendant were declared NPA on 02/10/2020. The CS SCJ/1667/2023 STATE BANK OF INDIA Vs. PRAKASH KAUR Page 4 of 6 statement of account has been substantiated by the other corroborating documents. Since, the suit amount was not received despite reminders being sent to the defendant, it stands established that such an amount remained unpaid, more so when there is no alternate version of the defendant available with the court.
10. Furthermore, the deposition of PW-1 and the documents relied upon by the said witness stands unrebutted/uncontroverted/unchallenged, as the witness was not cross examined by the defendant. This Court does not find any reason to disbelieve the unrebutted testimony of PW-1 recorded on oath in the court.
11. In view of the foregoing reasons, it stands established on preponderance of probabilities that a sum of Rs. 1,49,310/- was due on account of loan facility availed by the defendant and same remains unpaid. The plaintiff bank is thus entitled to recover the said amount of Rs. 1,49,310/- from the defendant. The grant of principal amount at the exorbitant interest charged by the plaintiff would not be inconsonance with the dictum of Pt. Munshi Ram & Associates (P) Ltd. Vs DDA, 2010 SCC Online Del 2444. Accordingly, it would be fit to award interest @ 9% per annum from 02/10/2020 (date of NPA) and future interest 4% per annum on the said amount.
12. Relief:
The suit is decreed in favour of the plaintiff and against the defendant for the amount of Rs. 1,49,310/- along-with interest @ 9% per annum from 02/10/2020 (date of NPA) and future interest 4% per annum till the realization of amount.
13. The plaintiff is also awarded the costs of the suit.
CS SCJ/1667/2023 STATE BANK OF INDIA Vs. PRAKASH KAUR Page 5 of 614. Decree sheet be prepared accordingly subject to payment of deficit court fees.
15. The original documents filed by the parties be returned against due acknowledgment after filing of the certified copies of the same by the concerned parties, as per rules.
16. File be consigned to record room after due compliance. Digitally signed by KAUTUK KAUTUK Announced in open BHARDWAJ BHARDWAJ Date: 2025.12.02 16:30:43 +0530 court on 02.12.2025 (KAUTUK BHARDWAJ) CIVIL JUDGE-03/WEST THC/DELHI/02.12.2025 CS SCJ/1667/2023 STATE BANK OF INDIA Vs. PRAKASH KAUR Page 6 of 6