STATE BANK OF INDIA vs M/S MADEWELL EXPORTS PVT. LTD. on 21 May 2025

FINAL ORDER

recoveryofasumofRs'75'39'090/-togetherwith cost, charges and pendentellite and future interest @11.650lo p.a. from date of filing of this O'A' till the realization in full. The brief facts of the case are that at the Mr. Pradeep Dhaka, Counsel appears for applicant bank. oLi"nJuntt are exparte since 04'06'2024'

- Defendants the defendants, the aPPlicant a Financial FacilitY, i'€', Fund This original application has been filed by the applicant bank, on 2l'Ot'2022 through Mr' D'S' Bist' Manager of the applicant bank' under Section 19 of the RDB Ad, 1993 against the defendants for bank Based 9\

TANO.62of2022 2 Working Capital as CC (Hypothecation) covered CGSSI Scheme under Stand-up India Scheme of Rs.60,00,000/-, vide sanction letter dated 15'10'2018' The defendant nos' 2 to 5 are directors and also stood as guarantors for the credit facility availed by defendant no'l' The defendant nos' 1 to 5 executed various loan and security documents dated 20.07.2018 and 15'10'2018' The defendant no'l has hypothecated entire present and future stocks' raw material, goods and book debts/ receivables with the applicant bank as a primary security with a view to secure the due repayment of the afore-said loan amountalongwithitsinterest,cost,charges&etc. Due to Covid-19, at the request of defendants' the applicant bank sanctioned a Funded Interest Term Loan of Rs'3,59,604/- to serve the interest of the moratoriumperiodintermofRBlguidelinesinmain loan account'

3. It is fufther submitted that the defendants enloyed and utilized the Loan facility' but failed to maintainthefinancialdisciplineandfailedtorepay the due amounts' The applicant bank requested the defendants to regularize the loan account by visits andletters,buttherewasnoresponsefromthe defendants, hence the account was classified as NPA on 28.12.2020' Therefore' the applicant bank served a demand notice dated 08'01'2022 to the defendants' demanding the amount due as on that date' but failed to recover the same' Thus' the present OAII'A' is preferred by the applicant bank to recover its dues' 4X"

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4. On notice by this Tribunal' the defendants failed to put appearance at all' despite publication' accordingly, defendants were proceeded against exparte on 04.06.2024'

5. The applicant bank has filed the evidence by way of the affidavit of Mr'D'S Bist' Manager of applicant bank as Annexure-l to Annexure-ll along with the OA which have gone unchallenged and un- rebutted. Hence, the case of the applicant bank stands fully established against the defendants with respect to non-payment of EMI/ outstanding amount'

6. After perusing the records' this Tribunal is of the view that the applicant bank has proved its case beyond reasonable doubts' The evidence and documents filed by the applicant bank not rebutted by the defendants by not placing any evidence and there is no question of disbelieving the evidence filed by the applicant bank based upon the written/printed documents. In the light of the above discussions' deserves to be allowed'

ORDER

1) I hereby allow this T'A' of the Applicant Bank and direct the defendant nos' 1 to 5 to pay jointly and severally to the applicant bank within 30 days from today, a sum of Rs'75'39'090/- along with cost' expenses and interest @ 1t'25olo from the date of filing of this O.A. which has beco2e TA till the date of the Present TA realization. eA

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2) In case of failure to deposit the above amount within the stiputated period' the same shall be recoveredfromthesaleofhypothecatedassets.In case of short fall, the same shall be recovered from the sale of personal movable and immovable assets of the defendant nos'1 to 5'

3) Recovery Certificate be issued fofthwith and be sent to Recovery Officer, Debts Recovery Tribunal-Il' Delhi.

4) The registry of this Tribunal is hereby directed to issue free copy of the order and send the same to both the Parties. s) Parties are directed to appear before the Ld' Recovery Officer, DRT-II, Delhi on 2L'07'2025' Pending IAs, if any, stand disposed of' Fite be consigned to records' -- 9"\ (susHIL rUlann rinsrocl) bmgotltc oFFIcER DRT-II, Delhi Date :21.05.2025 This judgement has been pronounced in oPen court' Date :21.05.2025 signed, dated and s)\ (susHIL KUMAR nn$io-ctl PRESIDING OFFICER DRT-II, Delhi T