BANK OF BARODA vs MAYA SHARMA AND ANR on 31 August 2026

FINAL ORDER

This original application has been filed by the applicant bank before DRT-III, Delhi on 18.09.2021 & 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.36,94,513/- (Rupees Thirty Six lacs Ninety Four thousand Five hundred Thirteen only) as on 02.09.2021 along with pendentelite and future interest @12.00% interest per annum with monthly rest sd

• T.A. No. 772 of 2022 inclusive interest of @2% from the date of filing of this application till the date of its realization with costs.

2. The brief facts of the case are that on the request of defendants are legal heirs of Sh.Mahender Kumar Sharma (since expired), who was sole proprietor of M/s Had Packers, availed various credit facilities viz. Cash Credit facility of Rs.28,00,000/- (Rupees Twenty Eight lacs only) as working capital loan @10.70% interest per annum, Term Loan (P&M)-I of Rs.3,14,000/- (Rupees Three lacs Fourteen thousand only), Term Loan (P&M)-II of Rs.2,52,000/- (Rupees Two lacs Fifty Two thousand only) @9.65% interest per annum for purchase of machineries on 25.10.2016, 25.01.2018 and 12.06.2019 respectively against hypothecation of stocks and book debts etc. covered under CGTMSE scheme. The applicant bank sanctioned FITL facility of Rs.1,58,000/- @9.70% interest per annum on 09.09.2020 by converting accumulated interest amount in cash credit account. In case of default in repayment of interest / installments, the defendant Sh.Mahender Kumar Sharma agreed to pay penal interest @2% over the agreed rate of interest.

3. That in order to avail the credit facilities, the sole proprietor of Hari Packers — Sh.Mahender Kumar Sharma — since expired, submitted loan applications and executed Sanction Letters, Letter of Sole Proprietorship, Letters of Continuing Security, Letters of Undertaking in respect of Book Debts, Declaration cum Undertaking cum Authority, Supplemental LDOC 17(C), Power of Attorney in respect of Book Debts, Demand Promissory Notes, Letter of Authority, Letter of Instalments, Letter of Authority, Composite

Hypothecation Agreement in favour of the applicant bank on 25.10.2016, 25.01.2018 and 12.06.2019 respectively.

4. That in order to secure the credit facilities, sole proprietor of M/s Had Packers - Sh.Mahender Kumar Sharma — (since expired), hypothecated the stocks, plant & machinery and book debts towards the applicant bank.

5. 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 not routed their transactions through the account and also failed to regularize the account despite repeated follow up. The applicant bank classified the account was NPA on 30.03.2021 due to non- service of interest and repayment of installments in the account but defendant did not clear the bank's dues, hence the applicant bank has approached this 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 25.02.2024, the defendant have been proceeded ex-paite as not appeared before the Tribunal and even written statement, evidence and affidavit of assets have not been filed by the defendants.

7. In order to prove its case, the applicant bank has filed its evidence by way of affidavit of Ms Sneha Kumari, authorized representative of the applicant bank who has proved the documents such as Power of Attorney of AR, Letter of Sole Proprietorship, Letters of Continuing Security, Letters of Undertaking in respect of Book Debts, Declaration cum Undertaking cum Authority, Supplemental LDOC 17(C), Power 5d

of Attorney in respect of Book Debts, Demand Promissory Notes, Letter of Authority, Letter of Instalments, Letter of Authority, Composite Hypothecation Agreement, Certified Statement of Accounts under Bankers Book of Evidence Act and Certified Calculation Sheet under Bankers Books of Evidence Act marked as Ex.PW1/1 to Ex.PW1/29

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 approved.

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 defendant to pay to the applicant bank within a period of 30 days, a sum of Rs.36,94,513/- (Rupees Thirty Six lacs Ninety Four thousand Five hundred Thirteen only) as on 02.09.2021, together with pendentelite and future interest @12.00% per annum from the date of filing of this application till the date of realization and costs; failing which the aforesaid amount shall be recovered from the sale of hypothecated stock, book debts and machineries etc. In case of shortfall, the same shall be 5d-

recovered from the sale of movable and immovable properties of the defendant. (II) The recovery certificate be issued forthwith and be sent to the Recovery Officer, Debt Recovery Tribunal-If Delhi. (III) Parties are directed to appear before the Recovery Officer, DRT I, Delhi on 30.10.2026. (IV) Copies of final order as well. as Recovery Certificate be sent to all concerned free of cost. s d (GOVIND BALLABH SHARMA) PRESIDING OFFICER DRT-I, DELHI (Dictated and pronounced in open court) Date: 31.08.2026