PUNJAB NATIONAL BANK (ORIENTAL BANK OF COMMERCE) vs PRINCE BABBAR AND ORS on 29 December 2025

FINAL ORDER

This original application has been filed by the applicant before DRT II, Delhi on 05.05.2022 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.20,55,534/- (Rupees Twenty Lacs Fifty Five Thousand Five Hundred Thirty Four only) as on 31.03.2022 together with pendentelite and future interest ©9.60% per annum with monthly rests from the date of filing of this application till the date of realization and costs.

2. The brief facts of the case are that at the request of defendant no.1 vide loan application with Affidavit, Electricity Bills and ID Proofs, the applicant bank sanctioned Term Loan under Oriental Mortgage Loan facility for Rs.17,00,000/- (Rupees Seventeen Lacs only) on 25.10.2017 @10.65% interest per annum to be repaid in 120 EMIs of Rs.23,082/- in order to meet brother's marriage and other expenses. The defendants agreed to pay @2% penal interest in case of any default in repayment of installment. The defendant no.2 stood as guarantor for the mortgage loan facility sanctioned by applicant bank.

3. That in order to avail the loan facility, the defendants submitted loan application and executed Agreement of Term Loan, Common Agreement, Form LTR-21, Agreement of Guarantee and Affidavits on 25.10.2017 in favour of the applicant bank.

4. That in order to secure the loan facility, the defendant no.2 created mortgaged the Shop No.X/1249, Plot No.37B, Ground Floor, Gali No.1, Rajgarh Colony, Delhi by depositing Original Sale Deed dated 16.05.2014, registered vide No.3667 in Book No.1, Vol. No.7868 on page 9 to 16 with Sub-Registrar VIII, Delhi on 26.10.2017. Sc - 2 2

5. The defendant no.1 acknowledged his liability towards applicant bank on 04.07.2018.

6. It has been submitted by the applicant bank that after availing the loan facility, the defendants miserably failed and neglected to pay the installment in the account and failed to maintain financial discipline as per sanction & submit stock statement. The applicant bank classified the account as NPA on 25.08.2021 as per RBI guidelines but defendant failed to clear the overdue amount, 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 02.07.2018 was issued to the defendants by the applicant bank and issued notice for possession on 23.10.2018 under Rule 8(1).

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 30.04.2025, 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 Akhouri Binay, authorized representative of the applicant who has proved the documents as General Power of Attorney, Loan Application forms with related Documents, Sanction Letter, Agreement of Term Loan, Common Agreement, Form LTR-21, Agreement of Guarantee, Affidavit, Balance & Security Confirmation, Demand Notice, Possession Notice, Postal Receipts, Statement of Account and cd

Certificate of Accrued but Undebited Interest marked as Ex.AW-1/1 to Ex.AW-1/11.

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

allow this OA and direct the defendants to pay to the applicant bank, jointly or severally, within 30 days, a sum of Rs.20,55,534/- (Rupees Twenty Lacs Fifty Five Thousand Five Hundred Thirty Four only) as on 31.03.2022 together with pendentelite and future interest @9.60% per annum with monthly rests from 21.09.2017 till the date of realization along with costs failing which the aforesaid amount shall be recovered from the sale of hypothecated stocks and assets etc. 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 27.02.2026. (IV) Copies of final order as well as Recovery Certificate be sent to all concerned free of cost. (GOVIND BALLABH SHARMA) PRESIDING OFFICER DELHI (Dictated and pronounced in open court) Dated: 29.12.2025