Himachal Pradesh: The Mandi District Court has ruled in favor of the Punjab National Bank (PNB) in a loan recovery case filed by the Chail Chowk branch of the bank.
The court of Senior Civil Judge Mandi has ordered the recovery of Rs 14,53,656 from a bank customer – Nitesh Kumar along with 13.65 percent annual interest and litigation expenses. The court strictly said that the borrower cannot escape responsibility after signing the loan documents.
Nitesh Kumar had applied for a term loan of Rs.14 lakh on March 9, 2016. After completing the required documentation, the Chail Chowk branch of PNB approved the loan. But the customer did not deposit loan EMIs on time.
Following repeated installment defaults, the bank filed a civil suit on June 23, 2020, seeking recovery of ₹1,453,656. The borrower argued in court that he was made to sign blank papers and that the loan was misused, but the court rejected these claims based on the evidence.
The court stated that the customer’s signature on the loan documents was acknowledged. Furthermore, the signature on the balance confirmation letter dated October 6, 2018, established both the liability and the limitation period for the loan. The court accepted the account statements submitted by the bank as accurate and ordered the recovery of the full amount.
