Debts Recovery Tribunals and Appellate Tribunals
STATE BANK OF INDIA vs M/S RAINA FOOD PRODUCTS on 23 July 2026
IN THE DEBTS RECOVERY TRIBUNAL-I, CHANDIGARH
BEFORE: A S NARANG, PRESIDING OFFICER
TA No: 15/2023
Date of Institution: 12.10.2015
Date of Decision: 23.07.2026
SBI having its branches all over India and a branch at Bari Brahmana.
……..Applicant
Vs.
1. M/s Raina Food Products, a Prop. Concern of Tejinder Singh Raina s/o Sh. Makhan Singh, r/o Kandhwal, P.O. Simbal Camp, Jammu.
2. Tejinder Singh Raina s/o Sh. Makhan Singh, r/o Khandwal, P.O. Simbal Camp, Jammu.
3. Makhan Singh s/o Sh. Mehtab Singh, r/o Khandwal, P.O
Simbal Camp, Jammu.
……….Defendants
Advocates
Sh. Gaurav Singla, Counsel for the applicant bank.
Defendants-ex parte vide order dated 10.05.2024.
TA for the Recovery of ₹73,32,871.75p with interest from 12.10.2015.
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ORDER
1. On 12.10.2015, SBI Bank, filed the suit for the recovery of ₹73,32,871.75p with interest against M/s Raina Food Products (defendants) in the Civil Court Jammu. However, vide order dated 26.12.2022, 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 09.03.2013, it had granted C.C. Limit of ₹50.00 Lacs; Term Loan of ₹20.00 Lacs to defendant No.1 through its proprietor i.e. defendant No.2 for business purpose. To secure both the loan facilities, Defendant No.2 being the proprietor of defendant No.1 hypothecated assets (fully detailed in para No.4 of the application), whereby the defendant No.3 mortgaged his land (fully detailed in para No.6 of the application). Both the loan facilities were chargeable at different rates of interest. Defendant No.3 stood as guarantor for both the loan facilities aggregating to ₹70.00 Lacs, vide Original Guarantee Agreement dated 09.03.2013, (Annexure-J). On 10.09.2015, a sum of ₹73,32,871.75p was due from the defendants. Despite repeated requests, defendants did not make the repayment. Hence, the suit.
3. On 07.03.2023, summonses were sent to the defendants by registered post, which was duly served. Defendants did not put in appearance. Vide order dated 10.05.2024, they were proceeded ex parte.
4. In order to prove its case, the Bank has placed on record the affidavit of Sh. Jagjit Singh, Branch Manager, 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 total loan of ₹70.00 Lacs (₹50.00 Lacs in C.C. Limit; ₹20.00 Lacs in Term Loan) and on 10.09.2015, a sum of ₹73,32,871.75p was due.
6. Accordingly, the case of the bank for the recovery of ₹73,32,871.75p (Rupees Seventy Three Lacs Thirty Two Thousand Eight Hundred Seventy One and Paise Seventy Five Only) i.e. ₹54,26,621/- in C.C. Limit with interest @14.50% p.a.; ₹19,06,250.75p in Term Loan with interest @15.25% p.a. (both facilities) with monthly rests from 12.10.2015, 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 and hypothecated assets fully detailed in para Nos.4 and 6 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 25.08.2026, 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: 23.07.2026 Presiding Officer DRT-1, Chandigarh MANOJ KALRA