JAMMU AND KASHMIR BANK LIMITED vs M/S AKKSSA AGRO PRODUCTS on 18 July 2026

ORDER

1. On 29.08.2015, Jammu and Kashmir Bank Limited, filed the suit for the recovery of ₹2,85,96,525/- with interest against M/s Akkssa Agro Products and others (defendants) in the Court of District and Sessions Judge, Srinagar. However, vide order dated 30.12.2022, 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 23.07.2009, it had granted Term Loan of ₹70.00 Lacs and C.C. Limit of ₹55.00 Lacs to defendant No.1 through its proprietor Mohammad Amin Shah for business purpose. To secure the loan, the proprietor of defendant No.1 hypothecated assets and defendant nos. 1 to 3 had mortgaged their property(ies) (fully detailed in para No.3, 4 of the application). Defendant Nos.2, 4 to 6 stood as guarantors for the aforementioned limits vide Deed of Guarantee dated 29.07.2009. Defendant no.1 acknowledged his liability towards the debt on 23.10.2010 when he executed a voucher of ₹3.00Lacs. 2A. On 02.02.2011, at the request of the defendants, bank granted Adhoc Limit of ₹13.75 Lacs over and above the existing C.C. Limit of ₹55.00Lacs to defendant No.1 through its proprietor for Business purpose for a period of two months. All the loan facilities were chargeable to different rates of interest. On 29.08.2015, a sum of ₹2,85,96,525/- was due from the defendants. Despite repeated requests, defendants did not make the repayment. Hence, the suit.

3. The, Civil Court, sent summonses to the defendants by registered post, which were duly served. Defendant nos. 2 to 6 did not put in appearance and were proceeded ex parte. After transfer of this suit, summonses were sent to the legal heirs of defendant no.1 which were duly served. However, they did not put in appearance. Vide order dated 15.10.2024, they were proceeded ex parte as well.

4. In order to prove its case, the Bank has placed on record the affidavit of Mr. Mohsin-ul-Haque, Associate Executive, 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 29.08.2015, a sum of ₹2,85,96,525/- was due.

6. Accordingly, the case of the bank for the recovery of ₹2,85,96,525/- (Rupees Two Crores Eighty Five Lacs Ninety Six Thousand Five Hundred Twenty Five Only) with interest @16.50% per annum with monthly rests from 29.08.2015, till the date of payment is hereby allowed with costs. The liability of defendant nos. 2 to 6 would joint and several. Defendant no.3 would be liable to the extent of property mortgaged by him and no personal claim lies against him. The liability of the legal heirs of proprietor of Defendant no.1 would be limited to the extent of property inherited by them from Mohammad Amin Shah. Bank can recover its dues by the sale of mortgaged property(ies) fully detailed in para No.3 of the application as well as from the personal movable and immovable property(ies) of the defendant nos.2, 4 to 6.

7. Pending IAs, if any, stand disposed of.

8. Recovery Certificate be issued accordingly.

9. Parties are directed to appear before Recovery Officer on 19.08.2026, who is directed to distribute the sale proceeds of the mortgaged property(ies) 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: 18.07.2026 Presiding Officer DRT-1, Chandigarh MANOJ KALRA