PUNJAB NATIONAL BANK vs SMT. ANIKA DEVI on 7 February 2026

FINAL ORDER

This original application has been filed by the applicant bank on 21.02.2022 before DRT-II, Delhi and then transferred to DRT-1, Delhi under Section 19 of Recovery of Debts and Bankruptcy Act, 1993 against the defendants for recovery of a sum of Rs.27,75,876.42 (Rupees Twenty Seven Lacs Seventy Five Thousand Eight Hundred Seventy Six & paisa Forty Two only) as on 30.01.2022 along with pendentelite and future Sot- interest @14.50% per annum from 01.02.2022 till the date of realization along with costs.

2. The brief facts of the case are that on the request of defendant no.1 being proprietress of M/s Mittal Sweets vide Interview-cum-Appraisal Form dated 28.05.2012, the applicant bank sanctioned Term Loan of Rs.20.00 lacs and Cash Credit limit of Rs.20.00 lacs @16.25% interest per annum on 17.07.2012 against hypothecation of stock and book debts as well as mortgage of two shops.

3. In order to avail the credit facilities, the defendant no.1 as proprietress of defendant no.2 submitted loan application and executed Term Loan Agreement, Hypothecation of Assets to Secure Term Loan, Hypothecation of Goods & Book Debts to secure Cash Credit facility, Hypothecation of Movable Assets forming part of Fixed / Block Assets and Combo Transfer Vouchers in favour of applicant bank on 17.09.2012.

4. That in order to secure the credit facilities, the defendant no.1 created equitable mortgage of two shops i.e. Shop No.23 and Shop No.29, Block VDS, Sector-110, Noida, UP by depositing the title documents.

5. The defendants acknowledged and confirmed the debts by executing Balance and Security Confirmation Letter on 16.02.2015, 04.02.2017 and 15.01.2020.

6. It has been submitted by the applicant bank that after availing the credit facilities, the defendants failed to comply with the terms and conditions of sanction and failed to maintain financial discipline in the account with the applicant bank not routed their transactions thru the account despite letters for regularization of the account. The applicant bank issued legal notice on 10.03.2015 and classified the account as NPA as per RBI guidelines but defendants neglected, hence the applicant bank has approached this tribunal for recovery of its dues.

7. Notice under Section 13(2) of the Securitization and Reconstruction of Financial Assets and Enforcement of Security Interest Act 2002 dated 18.04.2016 was issued by the applicant bank calling upon the defendants to pay the entire outstanding dues. The applicant bank issued notice u/s 13(4) for possession of property on 25.08.2016 and defendants adjusted their Term Loan account in Cash Credit account but defendants neglected to clear the dues.

8. The defendant no.1 vide letter dated 02.02.2018 promised to clear Cash Credit account within 60 days and request to waiver interest amount.

9. The applicant bank approved OTS proposal of defendants for Rs.18.00 lacs but they failed to honor the OTS settlement amount due to which applicant bank issued another notice u/s 13(2) on 10.07.2019 duly published in newspapers.

10. Notices of this O.A. were issued to the defendants and despite of proper service, the defendants have chosen to absent from the proceedings. As per order dated 09.09.2025, the defendants have been proceeded ex-parte as they have not appeared before the Tribunal and even written statement, evidence and affidavit of assets have not been filed by the defendants.

11. In order to prove its case, the applicant bank has filed its evidence by way of affidavit of Sh.Surendra Singh, authorized representative of applicant bank who has proved the documents such as General Power of Attorney, Interview-cum- Appraisal Form, Sanction Letter, Term Loan Agreement, Hypothecation of Assets to Secure Term Loan, Hypothecation of Goods to Secure Cash Credit, Hypothecation of Movable Assets forming part of Fixed/Block Assets, Title Deeds, Combo Transfer Vouchers, Balance and Security Letters, Legal / Demand Notice, Demand Notices, Possession Notice, Letter of Defendant no.1, Newspaper Publications, Certified copy of Ledger Account marked as Ex-AW-1/1 to Ex-AW-1/21.

12. 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 approved.

13. 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.

14. 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 a period of 30 days, a sum of Rs.27,75,876.42 (Rupees Twenty Seven Lacs Seventy Five Thousand Eight Hundred Seventy Six & paisa Forty Two only) as on 31.01.2022 together with pendentelite and future interest @14.50% per annum with monthly rests from 01.02.2022 till the date of realization and costs. In case of shortfall, the same shall be recovered from the sale of 5d- hypothecated stock, book debts and mortgaged shops i.e. Shop No.23 and Shop No.29, Block VDS, Sector-110, Noida, UP. 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 the Recovery Officer, DRT I, Delhi on 08.04.2026. (IV) Copies of final order as well as Recovery Certificate be sent to all concerned free of cost. 5-C1 (GOVIND BALLABH SHARMA) PRESIDING OFFICER DRT-I, DELHI (Dictated and pronounced in open court) Dated: 07.02.2026