STATE BANK OF INDIA vs SRI TAPAS KARAN on 21 August 2026

Order

21 08.2026 Office action with date and dated Signature of parties when necessary Counsel for the parties: Ms. Ahana Rakshit, Ld. Advocate representing Mr. An Pramanick, Ld. Counsel for the applicant Bank. None for the defendant. T.A.t342 of 2O2O (arising out of O.A.IZ3S of 2O1B) allowed and disposed of. Final Order / Judgment is in separate sheet of 4 pages File be consigned to record room. Order be uploaded on the Tribunal,s website. _.€ (Arbind IMadhav) Presiding Officer DRT-2, Kotkata I Order with Signature

f .A.1342 of 2020 - DRT-2/Kol DEBTS RECOVERY TRIBUNAL - 2, KOLKATA Jeevan Sudha Bldg. 07th Floor, 421C, J.L. Nehru Road, Kolkata -700071 Before Shri Arbind hav, Presidinq Officer T.A. No.342 ot 2020 (arising out of O.A./735 of 2018) In the matter of State Bank of India (formerly State Bank of Bikaner & Jaipur), a banking institution and a body corporate constituted, incorporated and formed by and under the provisions of the State Bank of lndia Act, 1955, having its local Head Office at Samriddhi Bhawan, 1 , Strand Road, Kolkata - 700001, and carrying on business, inter-alia, amongst others at their Azad Hind Bagh Branch, 1, Abhay Guha Road, P.S.- Burtolla, Kolkata - 700006, and represented by Small & tt/ledium Enterprises City Credit Centre, commonly known as "SMECCC", 1, Strand Road. Samriddhi Bhavan, Annex Building, 04th Floor, P.S.- Hare Street, Kolkata - 700001. ...... Applicant Bank -Versus-

1. Sri Tapas Karan, Son of Tarak Nath Karan, carrying on business as proprietor under the name and style ol M/s Laxmi Narayan Card Board Box from Bt224NHt9, Bagmari Road, Kolkata - 700054, and residing at 6, Satkari Mitra Lane, Kolkata - 700054. Defendant Counsel for parties: For the Applicant Bank For the Defendant Mr. Anirban Pramanick, Ld. Advocate Ex-Parte FINAL ORDER / JUDGMENT Delivered on 21 .08.2026 Applicant, State Bank of lndia instituted the present Application being the Original Application No.735 of 2018 filed in DRT-3, Kolkata on 04.09.2018 against single Defendant under Section 19(1) of the Recovery of Debts & Bankruptcy Act, 1993 (amended from time to time) for recovery of dues amount of Rs.12,'14,438.00 (Rupees twelve lakh fourteen thousand four hundred thirty eight) with interest calculated upto 14.08.2018 and further interest @ 18% per annum from 15.08.2018, till the date of realization of entire dues. Subsequently, the instant case has been transferred to DRT-2, Kolkata vide the Hon'ble Chairperson DRAT, Kolkata's direction vide letter No.4/6/DRATlKOLl2018(pt') dated 16.09.201g, such has been recorded vide Ld. Registrar, Kolkata DRT-3's Order dated 30.10.201g and the same has been renumbered as T.A./342of 2020 vide Ld' Registrar's order dated 1 1 .06.2020. a

T.A.l342of 2020 - DRT-2/Kol

2. The brief facts of the case as set out by the Applicant Bank in its Original Application, as under:

(i) That on or about 04.12.2015 the defendant had applied before State Bank of Bikaner & Jaipur (SBBJ), Azad Hind Bagh Branch, Kolkata - 700006, which has now merged into State Bank of lndia as per the Gazette of lndia notification dated 22.02.2017 with effect from 01.04.2017, for cash credit facility of Rs.10,00,000/-; upon consideration of application, applicant Bank was pleased to grant / sanction a cash credit facility of Rs.10,00,000/- (Rupees ten lakh) in favour of the defendant. At the time of said loan facility, the effective rate of interest was @ 9.95% per annum with monthly rests. The primary security of the said term loan was the hypothecation of stocks. Copy of letter of Arrangement dated 11.12.2015 is annexed and marked with Letter 'A' and Exhibit - AW-1.

(ii) ln consideration of the aforesaid cash credit facility of Rs.10.00 lakh, the defendant executed the following security document in favour of applicant Bank:

(a) Agreement of loan cum hypothecation. Copy of said document is annexed and marked with Letter 'B' and Exhibit AW-2.

3. The Defendant availed and enjoyed the said cash credit facility. The sanctioned loan amount had been disbursed to the defendant's respectiveAccount. However, the defendant failed and neglected to abide by the terms and conditions of the facility The Defendant did not repay the outstanding Bank's dues and overdue interests in loan Account. lnspite of repeated requests and personal contact made by applicant Bank, the defendant failed to regularize the loan Account. Since the defendant did not pay any attention to regularize the Account, the Account became out of order and was classified as N.P.A. on 28.08.2017. Applicant Bank finding no other alternative issued a legal notice dated 20.08.2018 upon the defendant by its Advocate demanding to repay the outstanding loan amount for a sum of Rs.12,14,438.00, but the defendant did not comply the said notice; copy of Advocate's letter dated 20.08.2018 along with postal receipts are annexed and marked with letter'D'and Exhibit AW-4. Certified copies of Statement of Account along with Certificate under Bankers' Books of Evidence Act, with Statement of Claim, have been filed to show and prove the dues (Letter 'C' and Exhibit AW-3), and future interest @ 18o/o per annum from 15.08.2018, till the date of realization of entire dues, has been prayed. Applicant Bank submitted that their claim in the Application is within limitation.

4. The notice / summons was sent to the Defendant by the Tribunal; lt is observed from s/R on affidavit dated 19.07.2023 and its enclosure that service of summon upon the Defendant by postal service has been successfully completed, such has been recorded vide Ld. Registrar's order dated 13.02.2024. Despite service, the sole defendant did not appear nor filed the written statement; thus, the defendant is hereby ordered to be proceeded ex-parte. Applicant Bank has filed the written notes of argument on 20'09'2024 thereby stated the brief facts of the case as has been narrated in the original application' Ld. Advocate has submitted argument on 25'06'2026'

T.A.1342 of 2020 - DRT-2/Kol

5. Applicant Bank has filed the evidence-on-affidavit affirmed by Diptendu Kumar Rakshit, Deputy l/lanager of Bank's SMECCC, 1, Strand Road, Samriddhi Bhavan, Kolkata

- 700001 along with the copy of original documents executed by the Defendant. Original documents have been produced by applicant Bank; the same have been verified with copies of the documents annexed with O.A. and the original documents have been returned to Sri Jayanta Nandy, Dy. tt/anager of Bank's SARB Kolkata, 'Kankaria Centre', 2/1, Russel Street, Kolkata -700071 on 15.11.2022, such has been recorded in Ld. Registrar's order dated 15.11.2022. The documents produced by applicant Bank are exhibited and annexed at 'AW-1' to 'AW-4'. I have heard the Ld. Advocate of the applicant Bank and perused the records.

6. Evidence-on-affidavit, filed by applicant Bank, has remained unchallenged, un-rebutted and its veracity cannot be put to dispute. Applicant Bank has corroborated the averments made in the O.A. Applicant Bank has proved the sanction of cash credit facility of Rs.10.00 lakh in favour of the defendant. Applicant Bank has proved the creation of hypothecated movable assets, described in Schedule at page 12 and para 34 at page 3 of the original application.

7. Applicant Bank has stated that the outstanding balance in cash credit Account (lnclusive of accrued interest and other charges as calculated upto 14.08.2018) is Rs.12,14,438.00 (Rupees twelve lakh fourteen thousand four hundred thirty eight) as on 14.08.2018, which is the amount claimed by applicant Bank in the originalApplication, and the defendant is liable to repay the said amount to the applicant Bank with pendente lite and future interest, till realization. I allow the claim as made by the applicant Bank in the original Application. Applicant Bank has prayed further interest @ 18% per annum from 15.08.2018 till the date of realization of entire dues, while in the letter of Arrangement dated 11.12.2015 the rate of interest @ 9.95%o per annum, at monthly rests, has been mentioned. Therefore, in my view, the pendente tite & future rate of interest @9.95% per annum, with quarterly rests, from 15.08.2018, is allowed. g. On the point of limitation, Loan has been sanctioned on 11 .12.2015, loan document has been executed on 11.12.2015 and original Application has been filed on 04.09.2018. As such, the original Application appears to have been filed within the period of limitation. g. The matter also falls within the territorial as well as pecuniary jurisdiction of this Tribunal. The Applicant Bank has proved to claim made in the O.A./T.A. The T.A. being T A'1342 of 2020 (arising out of o.A.735 of 2018) deserves to be allowed; hence allowed.

10. ln view of the above, I pass the following order :- OR ER

(i) T.A.l342of 2o2o(arising outof o.A.n35of 2018), filed by applicant Bank' is allowed and debt is determined with cost against the sole Defendant. lt is hereby ordered that the Defendant is hereby directed to pay the totar debt amount of Rs.12,14,438.00 (Rupees twelve lakh fourteen thousand four hundred thirty eight) due ard payable' inclusive of interest and other charges as carcurated upto i4.o8.2o18; anci interest for the period

T.4.1342 of 2O2O - DRT-2/Kol pendente lite and future rate @ 9.95% per annum, with quarterly rests, from 15.08.2018, till realization of the entire sum due and recoverable.

(ii) Amount, if any, paid by the Defendant in the loan accoutrt or amount, if any, recovered by the applicant Bank after filing of the Original Application, the same may be taken into account while arriving at the exact amount of dues/debt payable by the Defendant. Accordingly, the pendente lite and future interest shall be calculated on the reduced amount.

(iii) The defendant debarred from transferring, alienating, encumbering or disposing of the hypothecated movable assets; described in Schedule at page 12 and para 34 at page 3 of the original application, as under - "Sfocks and book debts lying at M/s Laxmi Narayan Card Board Box at 224, Bagmari Road, Kolkata - 700054." The Defendant is also debarred from transferring, alienating, encumbering or disposing any other property(s) either movable or immovable and assets belonging to him till the aforesaid adjudicated debt amount are recovered from the Defendant.

(iv) The defendant is given a time of sixty days from the date of this Final Order / Judgment for repayment of the above mentioned dues, so intimated to him. ln case the Defendant fails to pay the dues within the above mentioned time, the applicant Bank is entitled to recover its dues by sale of secured property(s), as aforesaid. Applicant Bank is also entitled to proceed against personal property(s) of the Defendant both moveable and immoveable and also proceed against the sole Defendant 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 Defendant in favour of Applicant Bank under Section 19(22) of 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 shall realize the amount as per the Recovery Certificate from the sole Defendant, in accordance with law.

(vii) Ld. Registrar of this Tribunal is directed to place Recovery Certificate in terms of this Final Order / Judgment under section 19(22) of the Act of 1993. Accordingly, the Original Application, being T.A.1342 of 2020 (arising out of O.A./735 of 2018) is allowed and stands disposed of. This order is dictated and corrected by the undersigned and pronounced on this the 21st day of August, 2026. of the Final Order / Judgment be uploaded in the Tribunal's Website A/n" (Arbind .a hav) Presiding Officer DRT-2, Kolkata tb copy