Debts Recovery Tribunals and Appellate Tribunals
CANARA BANK vs M/S SAHANA on 17 June 2026
Date of filing : 31.08.2019
Decided on : 17.06.2026
**IN THE DEBT RECOVERY TRIBUNAL-I AT MUMBAI
TRANSFER ORIGINAL APPLICATION NO. 52 of 2023**
CANARA BANK A body corporate constituted under the Banking Companies (Acquisition and Transfer) of Undertakings) Act, 1970 having Its Head Office at No.112, J.C. Road, Bangalore- 560002 and one amongst other Branch at Candolim Branch Shantadurga Vidhyalaya Bhavan, Candolim, Goa- 403515 through the Power of Attorney holder & Chief Manager/ Senior Manager Shri. Nevin Markose.
...Applicant
VERSUS
M/S. SAHANA Proprietary concern, Through its Sole Proprietor MS. GULAM RASOOL WANI Shop No. 1, Next to Kingfisher, Dando, Candolim Bardez, North Goa, Goa- 403515.
...Defendant
A handwritten signature or mark, possibly a stylized 'V' or 'W', with a long diagonal line extending from the bottom left towards the top right.
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Counsel for the Applicant : Advocate Tamil Salvi Laxman.
Counsel for the Defendant : NIL- Defendant Ex -parte
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J U D G M E N T
1. 1. This is an application under Section 19(1) of Recovery of the Debt and Bankruptcy Act, 1993 (for short, 'the 1993 Act') to recover Rs.10,74,226/- with future interest thereon from the date of presentation of the Transfer Original Application till payment/realization and to enforce the securities.
2. 2. The Defendant was granted a Working Capital Facility (Hypothecation of Stocks) for a sum of Rs.10,00,000/- vide sanction letter dt.23.12.2016 as specified in para no.5(iv) of the Transfer Original Application and on them executing loan and security documents.
3. 3. Despite the undertaking effected by Defendant he had failed to regularise the account and service interest in the account. So the account remained out of order since long time resulting it to be declared as NPA on 28.12.2018.
4. 4. Despite issuance of letters, personal visits, telephonic conversation and reminders the Defendant had failed to regularise the account. So the Applicant had caused the issuance of lawyer notice to Defendant to pay up the dues with interest.
5. Since the defendant failed to make the repayment, the applicant was left with no other alternative other than to file the Transfer Original Application which was presented on 31.08.2019. Defendant was duly served with the summons for appearance through paper publication on 02.02.2022 and also through Transfer Notice on 10.05.2024. Despite receipt of summons and transfer notice, the defendant did not appear. He had remained absent without any representation for him and so, He was set at exparte.
6. The applicant filed an affidavit (exhibit-11) in lieu of examination in chief through Mr. Gedala Phani Kumar, Manager of the bank, had produced documents, which are admitted in evidence, read, recorded and exhibited and were marked as AW-1 to AW-10.
7. Accordingly, the Transfer Original Application was filed for the recovery of Rs.10,74,226/- with further interest @ 12.20% p.a. along with @ 2% p.a. penal interest and other expenses for the period from the date of filing of this T.O.A. till payment/realization.
8. A scrutiny of the averments in the Transfer Original Application and an analysis of the evidence adduced by the applicant, which has gone unchallenged, uncontroverted and unrebuted, shows that there is no reason to reject the claim made by the applicant bank.
9. In view of the observations made hereinabove, Transfer Original Application filed by the applicant deserves to be allowed.
10. Hence, the following order is passed:
ORDER
- a. T.O.A. stands allowed with cost and the Defendant is held liable to pay to the Applicant Bank within two months a sum of Rs.10,74,226/- with further interest @ 12.20% p.a. along with @ 2% p.a. penal interest and other expenses from the date of filing of this T.O.A. till the date of realization; failing which the aforesaid amount shall be recovered from the sale of the movable and immovable properties of the Defendant.
- b. Defendant is directed to declare, on oath, to the Recovery Officer, Debts Recovery Tribunal - I, Mumbai, both their moveable and immoveable assets for the purpose of attachment and sale for realizing the shortfall, if any.
- c. Let a Recovery Certificate be issued with memo of cost immediately u/s 19(22) of The Recovery of Debts and Bankruptcy Act, 1993 together with the details of the properties, if any.
- d. The Defendant is restrained from depleting, transferring, encumbering, alienating or in any way dealing with their properties/assets without first paying the claim of the Applicant Bank.
e. Copies of this judgment be sent to the parties free of cost and file be consigned to the record room.
f. Give under my hand and the seal of this Tribunal on this date : 17.06.2026.
(Dictated to my Stenographer, transcribed by him corrected and signed by me and pronounced in open forum on 17.06.2026)
Place:- Mumbai Date:-17.06.2026
Presiding Officer, DRT-1, Mumbai (Sreekala Suresh)