Debts Recovery Tribunals and Appellate Tribunals
JAMMU AND KASHMIR BANK LIMITED vs M/S AL-HALAL FOOD PARK INDUSTRIAL ESTATES on 17 June 2026
IN THE DEBTS RECOVERY TRIBUNAL-I, CHANDIGARH
BEFORE: A S NARANG, PRESIDING OFFICER
TA No: 110/2023
Date of Institution: 23.06.2020
Date of Decision: 17.06.2026
Jammu and Kashmir Bank Limited B.U Khunmoh, Srinagar.
……..Applicant
Vs.
1. M/s Al-Halal Food Park Industrial Estates, Khunmoh, Srinagar, through its partners the defendants No.2 and 3.
2. Gowhar Adil s/o Mohammad Abdullah, r/o Gaziabad Anchidora, Anantnag.
3. Syed Mazagul Bassar Andrabi r/o Farooq Ahmed Andrabi, r/o Solina, Srinagar.
……….Defendants
Advocates
Mr. Chirag Bhagat proxy counsel for Sh. Amit Rishi, Counsel for the applicant bank.
Defendants-ex parte.
TA for the Recovery of ₹55,62,850.52p with interest @12.50% per annum with monthly rests from 23.06.2020.
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ORDER
1. On 23.06.2020, Jammu and Kashmir Bank Limited, filed the suit for the recovery of ₹55,62,850.52p with interest against M/s Al-Halal and others (defendants) in the Court of Additional District Judge, (Bank Cases), Srinagar. However, vide order dated 21.02.2023, this suit was transferred by the Court of Additional District Judge, (Bank Cases), Srinagar, to DRT-I, Chandigarh.
2. Bank’s case is that on 17.11.2009, it had granted O.C.C. Limit of ₹17.50 Lacs and a Term Loan of ₹33.00 Lacs to defendant No.1 through its partners defendant Nos. 2 and 3 for business purpose. To secure the loan, defendant No.1 hypothecated assets and mortgaged their land (fully detailed in para No.8 of the application). Both the loan facilities were chargeable to interest @11.75% per annum with monthly rests. 2A. On 28.05.2011, bank granted Term Loan of ₹72.50Lacs (including the already availed off Term Loan of ₹33.00 Lacs); Enhanced the existing C.C. Limit from ₹17.50 Lacs to ₹21.00 Lacs. The Term loan of ₹72.50Lacs (including the already availed off Term Loan of ₹33.00 Lacs) has been liquidated. To secure the enhanced limits, Defendant No.1 extended charge over the hypothecated assets and mortgaged land. Both the enhanced facilities were chargeable to interest @12.50% per annum with monthly rests. 2B. Again on 26.12.2017, at the request of the defendants, applicant bank granted Term Loan-II of ₹26.50 Lacs to defendant No.1 through its partners defendant Nos.2 and 3 for Business purpose. To secure the enhanced limits, Defendant No.1 extended charge over the hypothecated assets and mortgaged land. On 31.05.2020, a sum of ₹55,62,850.52p was due from the defendants. Despite repeated requests, defendants did not make the repayment. Hence, the suit.
3. After transfer, summonses were sent to the defendants, however, they did not put in appearance which proceeded ex parte on 16.07.2024.
4. In order to prove its case, the Bank has placed on record the affidavit of Mr. Jaweed Ahmed Shera, Executive Manager Law, along with the original loan and security documents.
5. I have perused the evidence on the record. I am of the considered view that the Bank has proved its case that it had advanced the loans under various schemes and on 31.05.2020, a sum of ₹55,62,850.52p (₹26,34,947.77p in the C.C. Limit and ₹28,58,119.75p in Term Loan;
₹69,783/- as insurance premium towards the insurance of securities held with the bank) was due.
6. Accordingly, the case of the bank for the recovery of ₹55,62,850.52p (Rupees Fifty Five Lacs Sixty Two Thousand Eight Hundred Fifty and Paise Fifty Two Only) with interest @12.50% per annum with monthly rests from 23.06.2020, till the date of payment is hereby allowed with costs. The liability of all the defendants would be joint and several. Bank can recover its dues by the sale of mortgaged land fully detailed in para No.8 of the application as well as from the personal movable and immovable property(ies) of the defendants.
7. Pending IAs, if any, stand disposed of.
8. Recovery Certificate be issued accordingly.
9. Parties are directed to appear before Recovery Officer on 20.07.2026, who is directed to distribute the sale proceeds of the mortgaged land and hypothecated assets as per the provisions of Section 19(20-AB) of the Act.
10. A Copy of this order along with Recovery Certificate be sent to the Recovery Officer as well as the parties.
Pronounced in the open court.
(A S Narang) Dated: 17.06.2026 Presiding Officer DRT-1, Chandigarh MANOJ KALRA