RBL Bank Limited vs M/S DELHI CONTROL DEVICES PVT. LTD on 7 October 2026

FINAL ORDER

This original application has been filed by the applicant bank, on 21.05.2019 through Shri Deepak Gupta, Authorized Officer of the applicant bank, under Section 19 of the RDB Act, 1993 against the defendants for recovery of a sum of Rs.3,45,65 ,346.Z2together with cost, charges and pendentellite and future interest @14.15% from date of filing of this O.A. tillthe reatization Present: in full. €0

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2. The brief facts of the case are that at the request of defendant no.1, the applicant bank sanctioned a financial/credit facilities i.e., Cash Credit of Rs.2.0 Crore, Working Capital Demand Loan (Sub Limit of Cash Credit) of Rs.2.0 Crore, Bank Guarantee_l (Sub_ limit Cash Credit) of Rs.2.0 Crore and Bank Guarantee-2 of Rs.2.5 Crore- Total of Rs.4.5 Crore, vide sanction letter dated 08.01.2013. The aforesaid facilities were to be secured by way of 1s pari-passu charge on current assets of the company and movable fixed assets of the company. The facilites were also to be secured by flrst pari_passu charge on (i) Industrial property of the company (ii) Residentiat property of promoters in New Friends Colony. Fufther, the facilities were also to be secured by way of unconditional and Irrevocable personal guarantee of defendant nos.3 to 5. The defendant nos.3 & 5 executed all necessary loaning documents on 0g.01.2013. It is submitted that the borrower company approached various lenders for grant of various credit facilities for its increased working capital needs. On the request of the borrower company, the lenders comprising of applicant bank, Karnataka Bank, HDFC Ban( HSBC Ban( ICICI Bank Limited, Induslnd Bank and State Bank of Mysore formed a consoftium. All the Lenders appointed Karnataka Bank as Lead Bank and that consortium was called as 'KB Consortium,. In furtherance of formation of consortium, a 'Working Capital Consoftium Agreement, dated 29.08.2013 was executed between the borrower company as one party and consoftium lenders as second party inter-alia the borrower company agreed to various terms and conditions precedent to sanction of the credit facilities. It is submitted that subsequent to formation of consortium, the aforesaid credit facilities as sanctioned ic, '_@+'; by the applicant bank.vide its Sanction Letter dated 08.01.2013, became the paft of that aforesaid Working Capital Consoftium Agreement. The credit facilities as sanctioned by the consoftium members together with interests and other monies were to be secured by: (i) Personal Guarantees of the defendant nos.2 to 5. (ii) Equitable mortgagi: on Factory Land bearing plot No. 25, Sector-2 IIE (SIDCUL), Haridwar, measuring 3825 Sq. Mtr. and factory building constructive thereon, owned by the defendant no. 1 company. (iii) Equitable mortgage on Factory, Land and Building bearing no. C-22& 23, Sector -4, Noida (U.P.) measu ring 4L6Sq. Mtr. Each owned by defendant nos. 1 & 3 respectively. (iv) Equitable mortgage on Factory Land bearing No. A-42, Sector-Sg, Gautam Budh Nagar, Noida (U.p.), measuring 1g00 Sq. Mtr. owned by the defendant no. 1 company. (v) Equitable moftgage on Factory Land bearing No. A_33, Sector-59, Phase-III, Gautam Budh Nagar, Noida (U.p.), measuring 1250 Sq. Mtr. owned by the defendant no. 1 company. (vi) Equitable Mortgage on land and buitding of Industrial Plot No. 45 in MUp 1, Greater Noida, Gautam Budh Nagar, (U.P.), measuring 3436.66 Sq. Mtr. owned by the defendant no. I Company. (vii) Equitable Mortgage on Residential propefi at 8-396, New Friends Colony, New Delhi, measuring 296.20 Sq. yards owned by defendant no. 2 & defendant no. 3. (viii) First pari_ passu charge on Current Assets and movable fixed assets. (ix) Second pari pasu charge on the movable fixed assets including plant & Machinery. Again, at the request of defendant no.1, the applicant bank renewed J

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the aforesaid credit facilities i.e., Cash Credit of Rs.2 Crore (Revolving), Working Capital Demand Loan (Sub Limit of Cash Credit) of Rs.2.0 Crore (Revolving), Bank Guarantee-l (Sub- limit Cash Credit) of Rs.2.0 Crore (Revolving) and Bank Guarantee_2 of Rs.2.5 Crore (Revolving), vide sanction letter dated 2g.04.2014. Again, at the request of defendant no.1, the applicant bank renewed and enhanced credit facilities i.e., Cash Credit (CC) (Sub-timit BG) of Rs.2 Crore (Revotving) and Bank Guarantee (BG)-II of Rs.2.7 Crore, vide sanction letter dated 25.08.2015. The aforesaid credit facilities were secured by way of (i) personal Guarantees of the defendant nos. 2 to 5. (ii) First pari_passu charge on Factory Land bearing plot No. 25, Sector_2IIE (SIDCUL), Ranpur, Haridwar, measuring 3825 Sq. Mtr. and Factory building constructive thereon, owned by the defendant no.1 company. (iii) First pari-passu charge on Factory, Land and Building bearing no. C-22& 23, Sector_4, Noida (U.P.) measuring 416 Sqr. Mtr. Each owned by defendant nos.l & 3 respectively. (iv) First pari_passu charge on Factory Land bearing No. A-42, Sector_58, Gautam Budh Nagar, Noida (U.p.), measuring lB00 Sq. Mtr. owned by the defendant no. 1 Company. (v). First pari_passu charge on Factory Land bearing No. A_33, Sector_59, Phase-III; Gautam Budh Nagar, Noida (U.p.), measuring 1250 SqMtr. owned by the defendant no. 1 Company. (vi) First pari-passu charge on land and building of Industrial Plot No. 45 in MUp i, Greater Noida, Gautam Budh Nagar, (U.P.), measuring 3436.66 Sq. Mtr. owned by the defendant no. 1 Company. (vii) First pari-passu charge on Residential property at 8-396, New Friends Colony, New Delhi, measuring 296.20 Sq. yards owned by defendant nos. 3 & 2. (viii) First pari-passu cha s? rge on

rI TANO.292of2024 s movable fixed assets. The defendants nos. 6 to 11 have enjoined the present o.A as performa defendants being members to the consortium formed to sanction various credit facilities to the defendant no.l. It is submitted that an Operational Creditor namety M/s National Products had initiated an Insolvency proceeding by filing a petition being (IB)_1567(pB)l2OtB before the NCLT Delhi for recovery of an amount to the tune of Rs. 72,00,754.L2. It is submitted that insolvency petition was admitted by the NCLT vide its order dated 15.02.2019 and an IRP/RP (Resolution professional) was appointed. Fufther, the NCLT had declared moratorium in terms of Section 14 of the Code. However, the subject matter of said insolvency proceeding has been mutually setfled and the said proceedings has been withdrawn by the Operational Creditor. That the aforesaid setUement and withdrawal of the proceedings have been recorded by the Hon'ble NCLT vide its order dated 07.03.2019. The applicant bank has filed an affidavit of Mr. Milind Rastogi, Authorized Representative of the applicant ban( dated L1.t7.2024 stating that after adjusting receipts from the resolution plan and applicant,s bank share in the SARFAESI sale proceeds, an amount of Rs.5,30,92,853.11 is due and recoverable from the defendants as on 31.10.2024.

3. It is further submitted that the defendants enjoyed and utilized the Loan facilities, but failed to maintain the financial discipline and failed to repay the due amounts. The applicant bank requested the defendants to regularize the loan account by visits and letters, but there was no response from the defendants. Hence, the account was classified as NpA dated 30.04.2016. The t9

notice dated 04.05.2017 to the defendants but failed to recover the same Thus, the present O.n.ff.R. is preferred by the applicant bank to recover its dues.

On notice by this Tribunal, defendants failed to put TA NO. 292 of2024 applicant bank served appearance at all, defendants were 24.05.2023.

a demand despite service. Accordingly, the proceeded against expafte on

5. The applicant bank has filed evidence by wayo of affidavit of Mr. Deepak Gupta, Authorized Representative of the applicant bank as Annexure A- 1 to Annexure A_ 45, which have gone unchallenged and un_rebutted. Hence, the case of the applicant stands fully established against the defendants with respect to nonpayment of outstanding amount.

6. After perusing the records, this Tribunal is of the view that the applicant bank has proved its case beyond reasonable doubts. The evidence and documents filed by the applicant bank not rebutted by the defendants by not placing any evidence and there is no question of disbelieving the evidence and documents filed by the applicant bank documents. based upon the written/printed In the light of the above discussions, the present T.A. deserves to be allowed against defendant nos.2 to 5. The defendant no.1 is before Ld. NCLT. Therefore, no order can be passed against the defendant no.1. e0 :_-1 -

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ORDER

1) I hereby allow this T.A. of the applicant bank and direct the defendant nos.2 to 5 to pay joinily and severally to the applicant bank within 30 days from today, a sum of Rs.3,45,65,346.22 along with cost, expenses and interest @13.00o/o from the date of filing of this O.A. which has become T.A till the date of realization.

2) In case of failure to deposit the above amount within the stipulated period, the same shall be recovered from the sale of hypothecated assets and sale of moftgaged property bearing no. 8-396, New Friends Colony, New Delhi, measuring 296.20 Sq. yards. In case of shortfall the same shall be recovered from the sale of personal movable and immovable assets of the defendant nos.2 to 5.

3) The amount recovered from the sale of the mortgaged properties during the pendency of the TA and the amount recovered from the defendant no.l by way of resolution plan approved by the Ld. NCLT shall be adjusted by the bank from the date on which the same has been received.

4) Recovery Certificate be issued forthwith and be sent to Recovery Officer, Debts Recovery Tribunal-Il, Delhi.

5) The registry of this Tribunal is hereby directed to issue free copy of the order and send the same to both L the parties. \o

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6) Parties are directed to appear before the Ld. Recovery Officer, DRT-II, Delhi on 07.12.2026. pending IAs, if any, stand disposed of. File be consigned to records. 9f .,\ro .* Date : 07.10.2026 (SUSHIL KUMAR r) PRESIDING OFFICER DRT-II, Delhi This judgement has been signed, dated and pronounced in open court. Date : 07.10.2026 s0 (susHrL KuMli ,i{* RASTOGT) PRESIDING OFFICER DRT-II, Delhi --..--.=.4-..--+4.