PUNJAB AND SIND BANK vs M/S SRINATH SYNTHETICS on 7 March 2026

FINAL ORDER

This original application has been filed by the applicant bank on 13.03.2015 before DRT-III, Delhi & 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.1,54,71,088/- (Rupees One Crore Fifty Four Lacs Seventy One Thousand Eighty Eight only) as on 28.02.2015 @17.25% per annum with monthly rests from the date of filing of this application till the date of realization along with costs.

2. The brief facts of the case are that at the request of defendant no.2 as proprietor of defendant no.1 in the business of trading of fabrics vide loan application with financial documents, the applicant bank sanctioned Cash Credit (Hyp.) facility for a sum of Rs.150.00 Lacs (Rupees One Crore Fifty lacs only) @14.75% interest per annum with monthly rests for working capital requirements on 16.03.2012 against hypothecation of stocks & book debts and equitable mortgage of property owned by defendant no.2. The defendant no.3 & 4 stood as guarantor extended their guarantee for credit facility sanctioned in favour of defendant no.1 by applicant bank.

3. In order to avail the credit facility, the defendants submitted loan application and executed Demand Promissory Note, Form no.103, Letter of Waiver in Bank's form no.106, Form no.291, Form no.412, Form no.122, Agreement of Hypothecation of Goods to Secure Demand Cash Credit (Form No.192), Agreement for Hypothecation of Book Debts (Form.

No.193), Request Letter in Form No.199, Form No.126, Form no.200 (Revised clause pertaining to rate of interest), Form 5d- no.256, Undertaking for Disclosure in CIBIL with the applicant bank on 27.03.2012.

4. That in order to secure the loan facility, the defendant no.1, 5 created equitable mortgage of the property of First Floor, Second Floor and Third Floor with roof rights of Commercial property bearing no.IX/6052, area measuring 99 sq. yds out of Khasra no.690/605/7/1/8, Village Seelampur, Colony known as Guru Harkishan Gali, Gandhi Nagar, Illaqua Shandara, Delhi with the applicant bank on 27.03.2012 by executing Form No.84A. Further, defendant no.4 as owner of immovable property no.C-102, Shankar Vihar, Village Sandullabad, Loni, UP area measuring 100 sq. yds. and placed on record photocopy of title deeds with the applicant bank.

5. It has been submitted by the applicant bank that after availing the loan facility, the defendants failed to comply with the terms and conditions. The applicant bank issued notice u/s 13(2) of Securitization Act 2002 on 16.09.2013 to defendants for regularization or to liquidate the outstanding in the account but defendants neglected to pay the defaulted amount, hence, the applicant bank has approached this Hon'ble Tribunal for recovery of their dues.

6. 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 12.09.2019, the defendants have been proceeded ex-parte as they have not appeared before the Tribunal nor filed written statement, evidence and affidavit of assets.

7. In order to prove its case, the applicant bank has filed its evidence by way of affidavit of Sh.Gopal Kishan, authorized se(

representative of applicant bank who has proved the documents such as Authorization Letter Ex.AW-1/1, Power of Attorneys Ex.AW-1/1A & B, Loan Application Ex.AW-1/2(Colly), Sanction Letter Ex.AW-1/3, Demand Promissory Note Form 14R Ex.AW-1/4, Form No.103 Ex.AW-1/5, Form No.106 Ex.AW- 1/6, Form No.291 Ex.AW-1/7, Form No.412 Ex.AW-1/8, Form No.122 Ex.AW-1/9, Hypothecation of Goods to secure demand Cash Credit Ex.AW-1/10, Form No.193 Ex.AW-1/11, Form No.199 Ex.AW-1/12, Form No.126 Ex.AW-1/13, Form No.200 Ex.AW-1/14, Form No.256 (Revised) Ex.AW-1/15, CIBIL Undertaking Ex.AW-1/16, Form No.84A with chain of title documents of property Ex.AW-1/17, Sale Deeds of First Floor, Second Floor & Third Floor Ex.AW-1/18 to Ex.AW-1/20, Sale Deed of Second Property Mark-A, Legal Notice Ex.AW-1/21, Certified Statement of Account Ex.AW-1/22, Certificate u/s 2A of Banker's Book of Evidence Act Ex.AW-1/23,

8. 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.

9. 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

10. 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.1,54,71,088/- (Rupees One Crore Fifty Four Lacs Seventy One Thousand Eighty Eight only) as on 28.02.2015 along with pendentelite and future interest @17.25% per annum with monthly rests from the date of filing of this application till the date of realization alongwith costs, failing which the aforesaid amount shall be recovered from the sale of hypothecated stocks, book debts and properties:

- First Floor, 2nd Floor and 3rd Floor with roof rights of Commercial property no.IX/6052, measuring 99 sq. yds out of Khasra no.690/605/7/1/8, Village Seelampur, Colony known as Guru Harkishan Gali, Gandhi Nagar, Illaqua Shandara, Delhi owned by defendant no.2;

- Immovable Property no.C-102, Shankar Vihar, Village Sandullabad, Loni, UP owned by defendant no.4. 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 Recovery Officer, Debt Recovery Tribunal-I, Delhi. (III) Parties are directed to appear before the Recovery Officer, DRT-I, Delhi on 06.05.2026. (IV) Copies of final order as well as Recovery Certificate be sent to all concerned free of cost. sd- (GOVIND BALLABH SHARMA) PRESIDING OFFICER DRT-I, DELHI (Dictated and pronounced in open court) Dated: 07.03.2026