PUNJAB NATIONAL BANK vs M/S ANAND PRAKASH AJAY KUMAR on 12 January 2026

FINAL ORDER

This original application has been filed by the applicant before DRT III, Delhi on 11.01.2022 and then transferred to DRT-I Delhi under Section 19 of Recovery of Debts Due to Banks and Financial Institutions Act, 1993 against the defendants for recovery of a sum of Rs.47,60,934.16 (Rupees Forty Seven Lacs Sixty Thousand Nine Hundred Thirty Four and paisa Sixteen only) as on 01.12.2021 together with pendentelite and future interest @11.10% per annum inclusive of @2% penal interest with monthly rests from 02.12.2021 till the date of realization and costs. Further, the name of Mr.Parveen Dewan was substituted as authorized representative in place of Shri Surendra Singh, erstwhile AR for the applicant bank. The proprietor since expired and his legal heirs have been impleaded as party by the applicant bank for recovery of its dues.

2. The brief facts of the case are that at the request of defendant no.1 through its proprietor Sh.Anand Prakash (since deceased) vide loan application dated 13.08.2017, the applicant bank sanctioned Cash Credit limit for Rs.40,00,000/- (Rupees Forty lacs only) @8.60% interest per annum with monthly rests for kirana business against hypothecation of goods, book debts and mortgage of property. The defendant no.1 also agreed to pay penal interest @2% per annum in case of default or delay in repayment of interest.

3. That in order to avail the cash credit loan facility, the defendant no.1 through its proprietor (since deceased) submitted loan application and executed Sanction letter,

Hypothecation of goods & book debts on 13.09.2017 in favour of the applicant bank.

4. In order to avail the loan facility, the proprietor Sh.Anand Prakash (since deceased) of defendant no.1 created equitable mortgage of his property bearing No.D-13/5, Jyoti Colony, Gali no.8, Shandara, Delhi-110032 and executed Deed of Mortgage with the applicant bank.

5. The Defendant no.1 through its proprietor acknowledged their liability towards the applicant bank by executing Balance & Security Confirmation letter dated 19.05.2020 towards the applicant bank.

6. It has been submitted that proprietor of defendant no.1 Sh.Anand Prakash expired on 04.06.2020 leaving behind his daughter-in-law (wife of pre-deceased son) i.e. defendant no.1A and 3 daughters (defendant no.lb, lc and 1d) as class- I legal heirs by virtue of success inherited and entire estate left behind by Sh.Anand Prakash.

7. The defendant no.1 failed to maintain financial discipline as per terms and conditions despite various notices and reminders and account became highly irregular. The applicant bank classified the account as NPA on 31.03.2021 as per RBI guidelines and issued notice dated 03.04.2021 under Section 13(2) of SARFAESI Act but the defendants failed to regularize the account. Hence, the applicant bank has approached this tribunal for recovery of its dues.

8. Notices of this O.A. were issued to the defendants and despite proper service, the defendants have chosen to absent from the proceedings. As per order dated 17.08.2022, the defendants have been proceeded ex-parte as they have not appeared before the Tribunal nor written statement, evidence and affidavit of assets have been filed.

9. In order to prove its case, the applicant bank has filed its evidence by way of affidavit of Shri Surendra Singh, AR of the applicant who has proved the documents as General Power of Attorney, Loan Application Form, Sanction Letter, Hypothecation of Goods and Book Debts, Deed of Mortgage, Balance & Security Confirmation Letter, Notice u/s 13(2) of SARFAESI Act, Death Certificate, Statement of Account with Certificates under Section 65B of Indian Evidence Act and Section 2A(b) of Banker's Books Evidence Act marked as Ex.AW-1/1 to Ex.AW-1/10.

10. The applicant bank has fully corroborated the averments made in the O.A. Even otherwise the whole case of the applicant bank is based on the documents and the same have been duly proved.

11. The case filed by the applicant bank gone unrebutted and there is no question of disbelieving the case of the applicant bank and the applicant bank has proved its case beyond reasonable doubts.

12. In the light of the above discussions, the Original Application deserves to be allowed.

ORDER

I, allow this OA and direct the defendants to pay to the applicant bank, jointly or severally, within 30 days, a sum of Rs.47,60,934.16 (Rupees Forty Seven Lacs Sixty Thousand

Nine Hundred Thirty Four and paisa Sixteen only) as on 01.12.2021 together with pendentelite and future interest @11.10% per annum with monthly rests from 02.12.2021 till the date of realization along with costs failing which the aforesaid amount shall be recovered from the sale of hypothecated stocks, book debts and mortgaged property bearing No.D-13/5, Jyoti Colony, Gali no.8, Shandara, Delhi- 110032. In case of shortfall, the same shall be recovered from the sale of movable and immovable properties of the defendants. (II) The recovery certificate be issued forthwith and be sent to the Recovery Officer, Debt Recovery Tribunal-I, Delhi. (III) Parties are directed to appear before Recovery Officer, DRT I, Delhi on 12.03.2026. (IV) Copies of final order as well as Recovery Certificate be sent to all concerned free of cost. (GOVIND BALLABH SHARMA) PRESIDING OFFICER DRT-I, DELHI (Dictated and pronounced in open court) Dated: 12,01.2026