STATE BANK OF INDIA vs MR SUBRATA SENGUPTA on 15 September 2025

1. **Ms. Subrata Sengupta**, wife of Tapan Sengupta, carrying on business as proprietress under the name and style of 'M/s Sri Durga Food Products' from Shop No.8, Tollygunge Metro Station, Deshpran Sasmal Road, Kolkata – 700033 and residing at Flat No.2, 04^th Floor, Block-C, 86/1, Sureen Sarkar Road, P.S.- Beleghata, Kolkata – 700010.

..... Defendants

Counsel for parties:

For the Applicant Bank : Mr. Anirban Pramanick For the Defendants : *Ex-Parte***FINAL ORDER / JUDGMENT**

Delivered on 15.09.2025

Applicant, State Bank of India instituted the present Application being the Original Application No. O.A./551 of 2018 filed in DRT-3, Kolkata on 05.07.2018 against single Defendant under Section 19(1) of the Recovery of Debts & Bankruptcy Act, 1993 (amended from time to time) for realization of **Rs.19,57,845.00** (Rupees nineteen lakhs fifty seven thousand eight hundred forty five) with interest calculated upto 29.05.2018 and further interest from 30.05.2018 @ 18% per annum, 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/DRAT/KOL/2018(pt.) dated 16.09.2019, such has been recorded vide Ld. Registrar, Kolkata DRT-3's Order dated 26.10.2019 and the same has been renumbered as T.A./202 of 2020 vide Ld. Registrar's order dated 21.11.2019.

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

(i) On or about 23.05.2016 the defendant applied for Cash Credit facility to the tune of Rs.2,00,000.00 and Term Loan Facility to the tune of Rs.15,00,000.00 aggregating to a sum of Rs.17,00,000/- (Rupees seventeen lakhs) for the purchase of expansion of her business under CGTMSE Scheme vide loan application. Upon consideration of application, applicant Bank was pleased to grant / sanction the aforesaid cash credit and term loan facility for an aggregate Rs. 17,00,000.00 sum of Rs.17,00,000.00 (Rupees seventeen lakhs) to the defendant vide letter of arrangement dated 15.07.2016. At the relevant point of time, the effective rate of interest was @ 12.30% per annum. The term loan was to be repaid in 84 monthly installments of Rs.26,720/- each commencing from October 2016. The primary security of the said credit facilities was the hypothecation of stocks and book debts, Copy of said letter of arrangement dated 15.07.2016 is annexed and marked as Annexure "A" & Exhibit AW-1.

(ii) In consideration of the aforesaid credit facilities of Rs.17.00 lakhs, the defendant executed and delivered the following loan documents on dated 27.07.2016 in favour of applicant Bank by way of security, acknowledgement of debt & promise to pay:

- (a) Agreement of Loan Cum Hypothecation;

- (b) Draft Letter;

- (c) Irrecoverable Undertaking;

Copy of said documents are annexed and marked as Annexures "B" "C" & "D" and Exhibit – AW-2, AW-3 & AW-4 respectively.

3. The Defendant availed and enjoyed the said credit facilities by opening Accounts in Defendant's Firm's name (Sri Durga Food Products) in Bank's CIT Road Branch, P-35 C.I.T. Road, P.S.- Entally, Kolkata – 700014. 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, agreed EMIs and overdue interests in loan Accounts. Inspite of repeated requests and personal contact made by the Applicant Bank, the defendant failed to regularize the loan Accounts. Applicant Bank issued a notice dated 08.06.2017 upon the defendant demanding payment of Bank's dues; copy of said notice dated 08.06.2017 is annexed and marked as Letter 'E' and Exhibit – AW-5. Thereafter, applicant Bank issued another notice dated 27.12.2017 upon the defendant demanding to repay the outstanding loan amount, but the defendant did not comply with the said notice; copy of said notice dated 27.12.2017 is annexed and marked with Letter 'F' and Exhibit – AW-6. Since the defendant did not pay any attention to regularize the Accounts, the Accounts became out of order and was classified as N.P.A. on 05.10.2017. Since the defendant failed and neglected to repay the outstanding dues amount, applicant Bank was compelled to issue a legal notice dated 14.06.2018 through its Advocate calling upon her to repay the outstanding Bank's dues for a sum of Rs.19,57,845.00 inclusive of accrued interest calculated, upto 29.05.2019 and the said legal notice was duly received by the defendant, but the defendant did not pay any attention to regularize the Accounts; copy of Advocate's letter dated 14.06.2018 along with postal receipts and undelivered packets are annexed and marked with letter 'H' and Exhibit AW-8. Certified copies of Statement of Accounts along with Certificate under Bankers' Books of Evidence Act, with Statement of Claim, have been filed to show and prove the dues (Letter 'G' and Exhibit AW-7), and future interest @ 18% per annum together with costs etc. 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; and it is found from the Affidavit of service that Notice / summons by postal service has been successfully delivered upon the Defendant, such has been recorded vide Ld. Register's order dated 07.07.2022. Despite service, the defendant did not appear nor filed the written statement; thus, the defendant was ordered to be proceeded *ex-parte* vide order dated 20.06.2024. Applicant Bank has filed the written notes of argument on dated 26.11.2024 wherein 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 19.08.2025.

5. Applicant Bank has filed the evidence-on-Affidavit affirmed by Diptendu Kumar Rakshit, Deputy Manager of Bank's Small & Medium Enterprises City Credit Centre (SMECCC), 1, Strand Road, Samriddhi Bhavan, Annexe Buiding, Kolkata – 700001 along with the copies 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 after verification the original documents have been returned to Mr. R. N Mahato, Manager / City Case Officer of Bank's SARB, Kolkata on 24.04.2023, such has been recorded vide Ld. Registrar's order dated 24.04.2023. The documents produced by applicant Bank are exhibited and annexed as Exhibits AW-1 to AW-8.

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, unrebuted and its veracity cannot be put to dispute. Applicant Bank has corroborated the averments made in the T.A. Applicant Bank has proved the sanction of cash credit and term loan facilities for an aggregate sum of Rs.17.00 lakhs vide sanction letter dated 15.07.2016. Applicant Bank has proved the hypothecated movable assets; morefully described in Schedule at page 13 and para 3A at page 3 of the original application.

7. On the point of limitation, Loan has been sanctioned on 15.07.2016; loan documents have been executed by defendant on 27.07.2016 and Original Application has been filed on 05.07.2018. As such, the original Application appears to have been filed well within the period of limitation.

8. Applicant Bank has stated that the outstanding balance in Loan Accounts (inclusive of accrued Interest and other charges as calculated upto 29.05.2018) for an aggregate sum of **Rs.19,57,845.00** (Rupees nineteen lakhs fifty seven thousand eight hundred forty five) as on 29.05.2018, which is the amount claimed by the applicant Bank in the original Application, and the defendant is liable to repay the said amount to the applicant Bank with *pendente lite* and future interest, till realization in full. I allow the claim as made by the applicant Bank in the original Application. Applicant Bank has prayed future interest @ 18% per annum, while in the letter of arrangement dated 15.07.2016 the rate of interest @ 12.30% per annum at monthly rests, has been mentioned. Therefore, in my view, the *pendente lite* & future rate of interest @ 12.30% per annum, with quarterly rests, from 30.05.2018, is allowed.

9. The matter also falls within the territorial as well as pecuniary jurisdiction of this Tribunal. Applicant Bank has proved its claim made in the O.A./T.A. The original application being T.A./202 of 2020 (arising out of O.A./551 of 2018) deserves to be allowed; hence allowed.

10. In view of the above, I pass the following order :-

ORDER

(i) T.A./202 of 2020 (arising out of O.A./551 of 2018) filed by applicant Bank, is allowed and debt is determined with cost against the Defendant. It is hereby ordered that the Defendant is hereby directed to pay, the total debt amount of **Rs.19,57,845.00** (Rupees nineteen lakhs fifty seven thousand eight hundred forty five) due and payable, inclusive of interest and other charges as calculated upto 29.05.2018; and interest for the period *pendente lite* and future @ 12.30% per annum, with quarterly rests, from 30.05.2018, till realization of the entire sum, due and recoverable.

(ii) Amount, if any, paid by the Defendant in the loan accounts or amount, if any, recovered by 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) Defendant is debarred from transferring, alienating, encumbering or disposing of the hypothecated movable assets; described in Schedule at page 13 and para 3A at page 3 of the original application, as under –

*"All That stocks and machinery lying at M/s Sri Durga Food Products from Shop No.8, Tollygunge Metro Station, Deshpran Sasmal Road, Kolkata – 700033."*

(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 her. In case the Defendant fails to pay the dues within the above mentioned time, 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./202 of 2020 (arising out of O.A./551 of 2018) is allowed and stands disposed of.**

This order is dictated and corrected by the undersigned and pronounced on this the 15^th day of September, 2025.

Copy of the Final Order / Judgment be uploaded in the Tribunal's Website.

(Arbind Madhav) Presiding Officer DRT-2, Kolkata

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