IDBI BANK LTD vs MR BINOD GUPTA on 28 November 2025

1. **Mr. Binod Gupta**, son of Mahesh Gupta, proprietor of M/s SAI SAI Enterprise of 128, Hazra Road, Kolkata – 700026 and also of Trishita Apartment, 143, N.S.C Bose Road, Kolkata – 700040.

..... Defendant

Counsel for parties:

<table> <tbody> <tr> <td>For the Applicant Bank</td> <td>: Sri Aritra Sarkar<br/>Legal Globus Law Firm</td> </tr> <tr> <td>For the Defendant</td> <td>: <i>Ex-Parte</i></td> </tr> </tbody> </table>

**FINAL ORDER / JUDGMENT**

Delivered on 28.11.2025

Applicant, IDBI Bank Ltd. instituted the present Application being the Original Application No.545 of 2018 filed in DRT-3, Kolkata on 03.07.2018 against sole Defendant under Section 19(1) of the Recovery of Debts & Bankruptcy Act, 1993 (amended from time to time) for realization of **Rs.10,09,447.00** (Rupees ten lakhs nine thousand four hundred forty seven) calculated up to 02.06.2018 together with further interest @11.20% per annum with monthly rests from 03.06.2018 till 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./256 of 2020 vide Ld. Registrar's order dated 10.06.2020.

2T.A./256 of 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) The Defendant is a businessman running his proprietorship business in the name of M/s SAI SAI Enterprise. He approached the applicant Bank for loan facilities for expansion of his business. Considering the application, the applicant Bank was pleased to sanction / grant a Cash Credit Facility to the tune of Rs.10,00,000/- (Rupees ten lakhs) to the Defendant vide sanction letter dated 16.06.2016. The defendant duly agreed and accepted the terms and conditions of the said sanction. Copy of said sanction letter dated 16.06.2016 is annexed and marked as Annexure 'A-1'.

(ii) In consideration of the aforesaid credit facility of Rs.10.00 lakhs, the defendant executed and delivered the following loan documents all dated 17.06.2016 in favour of applicant Bank:

- (a) Hypothecation Cum Loan Agreement of entire current assets;

- (b) Common Guarantee Deed;

- (c) Continuing Security Letter;

- (d) Undertaking to be furnished by the Personal Guarantor;

- (e) Demand Promissory Note for Rs.10,00,000/-.

Copy of said documents are annexed and marked as Annexure 'A-2' to 'A-6'.

3. The Defendant availed and enjoyed the said cash credit facility by opening Account in Bank's Bhowanipore Branch, 15, S.P. Mukherjee Road, Kolkata – 700025. However, the defendant failed and neglected to operate the said Loan Account. The Defendant did not repay the outstanding Bank's dues and overdue interests in 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 08.04.2018. Thereafter, applicant Bank issued legal notice dated 03.06.2018 upon the defendant through its Ld. Advocate demanding repayment of outstanding loan amount, but the defendant / borrower did not comply the said notice; copy of said notice dated 03.06.2018 along with original postal receipt are annexed and collectively marked as Annexure 'A-7'. 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-8'), and future interest @ 11.20% per annum with monthly rests, from 03.06.2018, till realization, has been prayed. Applicant Bank has submitted that their claim in the Application is within limitation.

4. The notice / summons was sent to the Defendant by the Tribunal; service of Notice / summons by postal service was not successfully effected upon the Defendant, such has been recorded vide Ld. Registrar's order dated 05.10.2023. At the request of Ld. Advocate of the applicant Bank, Ld. Tribunal is directed to serve the summon upon the defendant by way of paper publication; and Ld. Advocate for applicant Bank has brought on record the affidavit of service on publication dated 26.02.2024 upon the Defendant along with relevant portion of paper cuttings in two newspapers, namely (i) 'The Indian Express' in English and 3T.A./256 of 2020 – DRT-2/Kol

(ii) 'Bartaman' in Bengali, both dated 09.11.2023, such has been recorded vide Ld. Registrar's order dated 04.03.2024. Despite service, the defendant did not appear; thus, the sole defendant was ordered to be proceeded *ex-parte* vide order dated 27.06.2024. Written notes of argument has been filed by applicant Bank on 06.03.2025 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 03.11.2025.

5. Applicant Bank has filed the Affidavit of Evidence affirmed by Shri Malay Kumar Sahoo, Deputy General Manager of Bank's IDBI House, 44, Shakespeare Sarani, 3^rd Floor, IDBI House, Kolkata – 700017 along with 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 Bank official on 28.01.2019, such has been recorded vide Ld. Registrar, DRT-3's order dated 28.01.2019. The documents produced by applicant Bank are exhibited and annexed at A-1 to A-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, un-rebutted and its veracity cannot be put to dispute. Applicant Bank has corroborated the averments made in the O.A. / T.A. Applicant Bank has proved the sanction of cash credit facility of Rs.10.00 lakhs vide sanction letter dated 16.06.2016.

7. On the point of limitation, Loan has been sanctioned on 16.06.2016; loan / security documents have been executed on 17.06.2016 and original Application has been filed on 03.07.2018. As such, the original Application appears to have been filed well within the period of limitation.

8. Applicant Bank stated that the outstanding balance in cash credit Account (inclusive of accrued interest and other charges as calculated upto 02.06.2018) is **Rs.10,09,447.00** (Rupees ten lakhs nine thousand four hundred forty seven) as on 02.06.2018, which is the amount claimed by 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 @ 11.20% per annum with monthly rests from 03.06.2018, till realization, while in sanction Letter dated 16.06.2016 the rate of interest @ 12% per annum, at monthly rests, has been mentioned. Therefore, the *pendente lite* & future rate of interest which has been claimed by applicant bank in the original application @ 11.20% per annum, with quarterly rests, from 03.06.2018, is allowed.

9. The matter also falls within the territorial as well as pecuniary jurisdiction of this Tribunal. The Applicant Bank has proved its claim made in the O.A. The original application being T.A./256 of 2020 (arising out of O.A./545 of 2018) deserves to be allowed; hence allowed.

10. In view of the above, I pass the following order:- 4T.A./256 of 2020 – DRT-2/Kol**ORDER**

(i) T.A./256 of 2020, arising out of O.A./ 545 of 2018, filed by applicant Bank, is allowed and debt is determined with cost against the sole Defendant. It is hereby ordered that the Defendant is hereby directed to pay, the total debt amount of **Rs.10,09,447.00** (Rupees ten lakhs nine thousand four hundred forty seven) calculated up to 02.06.2018 and interest for the period *pendente lite* and future @ 11.20% per annum, with quarterly rests, from 03.06.2018, till realization of the entire sum due and recoverable.

(ii) Amount, if any, paid by the Defendant in the loan account(s) 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) The defendant is debarred from transferring, alienating, encumbering or disposing of the hypothecated movable assets; described in para III.A at page 3 & 4 and Annexure 'A-2' at page 18 to 26 of the original application, as under –

**"Hypothecated Movable Assets."**

(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. 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 properties 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 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./256 of 2020 (arising out of O.A./545 of 2018) is allowed and stands disposed of.**

File be consigned to Record room.

This order is dictated and corrected by the undersigned and pronounced on this the 28^th day of November 2025.

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

(Arbind Madhav) Presiding Officer DRT-2, Kolkata

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