UNION BANK OF INDIA vs M/S T SONA AND CO on 2 April 2026

Order

Ofiice action with date and dated Signature of parties when necessary ,4 02.04.2 Order with Signature Counsel for the parties: Ms. Smruti Rekha Mtshra, Ld Bank. None for the defendants. Advocate for the applicant T.A.t104 of 2O2O (arising out of O.A.I3SZ of 2018) is allowed and disposed of. Final Order / Judgment is in separate sheet of 6 pages File be consigned to record room. Order be uploaded on the Tribunat,s website o' (Arbind Madhav) Presiding Officer DRT-2, Kotkata

TN10/- ol 2020 - ORr-2/Kot DEBTS RECOVERY TRIBUNAL - 2, KOLKATA Jeevan Sudha Bldg. 07ttr Floor,42lC, J.L. Nehru Road, Kolkata _7OOO71 Before Shri Arbind Madhav, Presidinq Officer TA No.104 of 2020 (Arising out of O .A.t357 ot 2O1B) ln the mafter of union Bank of lndia (erstwhile corporation Bank) is a body corporate duly constituted under the provisions of Banking companies (Acquisition and rransfer of Undertaking) Act, 1970, having its Head ofiice at 239, Vidhan Bhawan Marg, Nariman point, Mumbai

- 400021, and carrying on business, inter-aria, having its numerous branches incruding one at Rashbehari Avenue Branch, 61, Rash Behari Avenue, Korkata -700026. Applicant Bank -Versus- l. M/s T. sona & co., a proprietorship Business of Smt. Reba sen and having its office and/or principal place of business at 29, Bhuban Mohan Roy Road, Kolkata _ 700008, West Bengal.

2. Smt. Reba sen, wife of Sri paritosh sen, proprietor of M/s T. sona & co., having its principal place of business and/or residence at 29, Bhuban Mohan Roy Road, Kolkata - 700008, West Bengat.

3. smt swapna Biswas, wife of sri shibankar Biswas, having its principal place of residence at chakmanik, Bawari, Budge Budge, Dist.- south 24 parganas, pin - 7433U, Kolkata, West Bengal. Defendants Counsel for parties: For the Applicant Bank For the Defendants : Ms. Smruti Rekha Mishra : Ex-Parte. FI ORDER / DGMENT Delivered on 02.04.2026 Applicant (Union Bank of lndia), erstwhile Corporation Bank instituted the present Application being the Original Application No.357 of 2018 fited in DRT-3, Kotkata on 14.05.2018 against three Defendants under Section 19(1) of the Recovery of Debts & Bankruptcy Act, 1993 (amended from time to time) for recovery of Rs.27,S6,960.00 (Rupees twenty seven lacs fifty six thousand nine hundred sixty) including interest and other charges as calculated upto 31.03.2018 and further interest @ 10.75o/o per annum lrom 01 .04.2O18, till realization of the entire due in full. Subsequently, the instant case has been transferred to DRT-2, Kolkata vide the Hon'ble Chairperson DRAT, Kolkata's

TN10! ot 2020 _ ORf_2/Kot direction vide letter No.4/6/DRAT/Kou2o18(pt.) dated 16.09.2019, such has been recorded vide Ld. Registrar, Korkata DRT-3's order dated 21.10.2019 and the same has been renumbered as T.A./ 1o4ot2o2o vide Ld. Registrar,s orderdated 06..r1.2019. 2' Corporation Bank has been merged / amalgamated into Union Bank of India vide Gazette Notification dated March 04,2020, issued by the Government of lndia published under Extraordinary part-il, Section 3, sub-section (i) in the Gazette of rndia in terms of section g of the Banking companies (Acquisition and rransfer of Undertaking) Act, 1970. ln view of the merger / amargamation of corporation Bank into Union Bank of lndia, the appricant name in this case shourd be read / inserted as Union Bank of rndia instead of Corp[oration Bank.

3. ln accordance with the Notice dated go.o7.2o2o of this Tribunar, Ld. Advocate of Union Bank of rndia has fired an r.A. being r.A.ti37 of 2022 dated 09.02.20 22 praying for amendment of cause Tifle in view of amalgamation of corporation Bank with Union Bank of lndia vide G.O.l. Notification dated 04.03.2020; and in accordance with the direction of the Tribunal necessary amendment in cause tifle has been carried out by Ld. Advocate of the applicant Bank on 1s.02.202g, such has been recorded in Ld. Registrar,s order dated 15.02.2023.

4. The brief facts of the case as set out by appricant Bank in its originar Apprication, as under:

(i) The Defendant No.1, M/s T Sona & co is the proprietorship business of Defendant No.2' smt. Reba sen & Defendant No.3. smt. swapna Biswas is the guarantor as welr as mortgagor here. The defendant No.l, proprietorship firm of defendant No.2 had applied to the applicant Bank for financial assistance vide loan application dated 24.09.2015. Upon consideration of loan application, applicant Bank was pleased to sanction one cash credit facility with the limit of Rs.24,50,000.00 (Rupees twenty four lakhs fifty thousand) to the defendant No.1 vide Sanction Letter dated 13.10.2015 against hypothecation of assets and book debts and equitable mortgage of immovable property of defendant No.3. The aforesaid sanction was dury been accepted and acknowledged by the defendants. copies of Application dated 24.09.2015 and sanction Lefter dated 13.10.201s are annexed and marked as Annexure "A-1' and "A-2" respectively.

(ii) ln consideration of the aforesaid sanction of Rs.24.50 lakhs, the defendant No.2 being the proprietor of defendant No.'l duly executed the following loan / security documents all dated 13.10.2015 in favour of the applicant Bank:_

a. Letter of Proprietorship;

b. Request Letter;

c. Demand Promissory Note;

d. Take Delivery Letterto D.P.N.;

e. Common Deed of Hypothecation of moveable assets;

f. Letter of Undertaking.

TN104 ol 2O2O - DRT-ZlKot copies of said documents are annexed and marked as Annexure "A-3,, ,A-4,, ,A_ 5', ?-6", "A-7" & "A-8" respectively.

(iii) ln consideration of the aforesaid credit facirity granted to defendant No.1, the defendants No.1 , 2 & 3 executed and derivered a Guarantee Agreement dated 13'10.2015 thereby dury guaranteed due repayment of ail money together with a[ interest, cost and other charges to the appricant Bank. The guarantee wourd be a continuing guarantee and shafl be binding on their heirs and successors. copy of said guarantee agreement dated 13.'r0.2015 is annexed and marked as Annexure ,A_g,.

(iv) To secure the aforesaid cash credit facirity of Rs.24.50 lakhs, the defendant No.3,, smt. Swapna Biswas visited the Bank's premises and dury created equitabre mortgage in respect of immovabre property, morefufly described in schedure,X-1,at page 23 and para 3A at page 8 & 9 of the originar apprication, by depositing originar rifle Deed being No.2o74 for the year 1996 in favour of appricant Bank. And the said originar Deed deposited by the defendants on dated 13.10.2015 with the intension to create equitable mortgage in favour of appricant Bank, and registered the same in favour of smt. swapna Biswas (Defendant No.3 herein). copies of said Deed No.2or4 for the year 1996 is annexed and marked as Annexure 'A-10'. The defendant No.1, proprietorship firm of defendant No.2 confirmed the deposit of originar Deed and creation of equitabre mortgage in favour of applicant Bank vide Memorandum of deposit of rifle Deed dated 13.10.2015 in favour of appricant Bank. copy of said Memorandum of deposit of rifle Deed dated 13.10.2015 is annexed and marked as Annexure ,A_1 1,.

(v) The applicant Bank got varued the mortgaged secured property through its empanelled valuer and the valuer submifted the valuation Report dated 17.og.zo1s. copy of said varuation Report is annexed and marked as Annexure ,A-12,.

5. The Defendants enjoyed the aforesaid cash credit facirity by opening Account in Defendant No.1's name (M/s T sona & co.) in erstwhire Bank,s Rashbehari Avenue Branch,6l, Rash Behari Avenue, Korkata -z00026. However, the defendants faired and neglected to abide by the terms and conditions of the term roan facirity. The Defendants did not repay the outstanding Bank's dues and overdue interests in the loan Account. lnspite of repeated requests and personar contact made by appricant Bank, the defendants failed to regularize the loan Account. since the defendants did not pay any attention to regularize the Account, the Account became out of order and was classified as N.P.A. on 30.05.2017. considering the default and violation of the terms and conditions of the credit facility, applicant Bank issued a re-call / demand notice dated 07.05.2018 upon the defendants through its Ld. Advocate calling upon them to repay the outstanding Bank's dues, but the defendants did not comply with the said notice; copy of said demand notice dated 07.0s.2019 is annexed and marked as Annexure ,A-13,. certified copies of statement of Account along with certificate under Bankers, Books of Evidence Act, with interest calculation sheet, have been filed to show and prove the dues (Annexure 'A-14'), and further interest @ 1o.7so/o per annum with monthly rests from a f N1O4 ot 2020 _ DRr_2/Kot 01.04.2018, till rearization of the entire due in fulr, has been prayed. Applicant Bank submitted that their claim in the Application is within timitation.

6. The notices / summons was sent to the Defendants No.1, 2 & 3 by the Tribunar. rt is seen from the S/R on affidavit dated 12.04.2023 and its enclosures that service of summons upon the Defendants was not successfully effected, such has been recorded vide Ld. Register's order dated 04.07.2023. At the request of Ld. Advocate of the applicant Bank, Ld. Tribunal is directed to serve the summons upon the defendants No.1 to 3 by way of paper publication; and Ld. Advocate of applicant Bank has brought on record the afiidavit of service on publication dated 11.02.2025 along with relevant portion of paper cuttings in two newspapers, namery (i)'The rndian Express, in Engrish and (ii) 'Bartaman'in Bengari, both dated 14.01.202s, such has been recorded vide Ld. Registrar's order dated 30.07.202s. Despite service, the defendants did not appear nor filed the written statement; thus, alr the defendants were ordered to be proceeded ex_ pafte vide order dated 22.12.202s. Appricant Bank has fired the written notes of argument on dated 24.12.202s thereby stated the brief facts of the case as has been narrated in the original application. Ld. Advocate of the applicant Bank has submitted argument on dated 09.02.2026.

7. Applicant Bank has fired the evidence on Affidavit, affirmed by K shamprasad shanuboge, Branch Manager at erstwhile Bank's, Rashbehari Avenue Branch, 61, Rash Behari Avenue, Korkata - 700026 arong with the copies of originar documents executed by Defendants. originar documents have been produced by appricant Bank; the same have been verified with copies of documents annexed with o.A. and the originar documents have been returned to sri p. Barua, Manager of Bank,s Rashbehari Avenue Branch, 61, Rash Behari Avenue, Kolkata on 30.03.2022. such has been recorded vide Ld. Registrar's order dated 20.03.2022. The documents produced by applicant Bank are exhibited and annexed at .A-1' to ,A-14,. I have heard the Ld. Advocate ofthe appricant Bank and perused the records.

8. Evidence-on-affidavit, fired by appricant Bank, has remained unchailenged, un- rebutted and its veracity cannot be put to dispute. Applicant Bank has corroborated the averments made in the o.A. Appricant Bank has proved the sanction of cash credit facility with the limit of Rs.24.50 takhs vide sanction letter dated 13.10.201s. Appticant Bank has proved the creation of equitable mortgage of immovable property, morefuily described in schedule 'x-1' at page 23 and para 3A at page g & 9 of the original application.

9. On the point of limitation, Loan has been sanctioned on 13.10.2015; documents have been executed on 13.10.2015; original Application has been filed on 14.05.2018. As such, the original Application appears to have been filed well within the period of limitation. a'

u a, 104 or 2o2o - DRr-zKor

10. Applicant Bank has stated that the outstanding barance in cash credit Account (inclusive of accrued interest and other charges as carcurated upto 31.03.201g) for a sum of Rs.27'56,960.00 (Rupees twenty seven racs fifty six thousand nine hundred sixty) as on 31.03.2018, which is the amount craimed by appricant Bank in the originar Apprication, and the defendants No.1,2 & 3 are, joinfly and/or severaily, riabre to repay the said amount to the applicant Bank with pendente lte and future interest, till realization. I allow the claim as made by appricant Bank in the originar Apprication. Appricant Bank has prayed further interest @ 1o.lso/o per annum trom 01 .04.201g, till realization of the entire due in full, whire in Demand promissory Note dated 13.1o.2o1sthe same rate of interest, i.e. @ 10.750/o per annum, has been mentioned. Therefore, rhe pendente /,fe & future rate of interest @ 10.rs% per annum, with quarterry rests, from 01.u.2o1g,is aflowed.

11. The matter also fails within the territorial as welr as pecuniary jurisdiction of this Tribunal. Appricant Bank has proved its craim made in the o.A. The originar apprication being T.A./104 of 2o2o (arising out of o.A./357 of 201g) deserves to be ailowed; hence allowed.

12. ln view of the above, I pass the following order: ORDE R

(i) T.A-1104 ot 2o2o (arising out of o.A./357 of 2018), rired by appricant Bank, is allowed and debt is determined with cost against the Defendants No.l,2 & 3. rt is hereby ordered that the Defendants No.1, 2 & 3 are hereby directed to pay, joinfly and / or severally the totar debt amount of Rs.27,56,960.00 (Rupees twenty seven racs fifty six thousand nine hundred sixty) due and payabre, incrusive of interest and other charges as calculated upto 31.03.2018; and interest for the period pendente tite and future rate @ 10.75% per annum, with quarterry rests from 01.04.201g, tirr rearization of the entire sum due and recoverable.

(ii) Amount, if any, paid by the Defendants in the loan account or amount, if any, recovered by the appricant Bank after firing of the originar apprication, the same may be taken into account whire arriving at the exact amount of dues/debt payabre by the Defendants. Accordingly, the pendente lite and future interest shall be calculated on the reduced amount.

(iii) The defendants No.1, encumbering or disposing of the mortgaged immoveabre propefi(s), described in schedule 'X-1' at page 23 and para 3A at page g & 9 of the original application: Mortqaqed lmmovable Prooerty(s): 2 & 3 are debarred from transferring, alienating, "ALL THAT piece and parcel of land measuing 22 decimal be the same tittte more or less together with the two stoied buitdings staiding thercon, situated ,iaii uouru _ chakmanik, J.L. No.-58, R.e. Sa-61, R.s.- Khatian No.*a, Li xnaiaiioi.els, LR Dag h1o.855, RS. Dag No.B55, potice station - Naurakhati, within the timit-oi ina*manik Grampanchayat, Distict- .south 24 parganas, Additionar'District iuo aeiiiii, Bug Bug 2! Pargllas (south) and recorded vide no. Book No.-r, cD voluii Nilid',Vages rrom . 2!1 to 226 and Being No.- 2074 for the year of 1996, registercd n iiour of smt. Swapna Biswas (Defendant No.3 herein).,'

rN104 oi 2020 - DRT-2tKot The Defendants are arso debarred from transferring, arienating, encumbering or disposing of any other property(s) either movable or immovable and assets belonging to them till the aforesaid adjudicated debt amount are recovered from the Defendants No.1, 2 &3.

(iv) The defendants No.1, 2 & 3 are given a time of sixty days from the date of this Finar order / Judgment for repayment of the above mentioned dues, so intimated to them ln case the Defendants fail to pay the dues within the above mentioned time, the applicant Bank is entifled to recover its dues by sare of secured properties, as aforesaid. Applicant Bank is arso entifled to proceed against personar properties of the Defendants No'1, 2 & 3 both moveabre and immoveabre and arso proceed against the Defendants No.2 & 3 personally to recover the dues, in accordance with law.

(v) Let the certificate of Recovery be drawn up by Ld. Registrar forthwith in terms of Final order / Judgment for issuance of the same against the Defendants No.1, 2 & 3 in favour of applicant Bank under Section 19(22) ot the Recovery of Debts and Bankruptcy Act' 1993 (amended from time to time) and put up the same for signature for issuance.

(vi) Ld. Recovery officer sharr rearize the amount as per the Recovery certificate from the Defendants No.1, 2 & 3, in accordance with law.

(vii) Ld. Registrar of this Tribunal is directed to place Recovery certificate in terms of this Final Order / Judgment under sect ion 19(22) of the Act of 1 993. Accordingry, the originar Apprication, being T.A./104 0J 2020 (arising out of O.A./357 of 2018) is allowed and stands disposed of. This order is dictated and corrected by the undersigned and pronounced on this the 02nd day ot Aprit,2026. Copy of the Final Order / Judgment be uploaded in the Tribunal,s /r|r- 'lihr,-. kkb Presidin DRT-2, Kolkata ,4, Madhav) g Officer