STATE BANK OF INDIA vs M/S SANCIA GLOBAL INFRAPROJECTS LTD on 27 August 2026

J U D G M E N T

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.9,75,16,663.67/- with future interest thereon from the date of presentation of the Transfer Original Application till payment/realization.

2. The Defendant were granted credit facilities as under and the same was enhanced from time to time as specified in para no.5.3, 5.6, 5.9, 5.12 & 5.14 of the Original Application and on them executing loan and security documents.

<table border="1"> <thead> <tr> <th><b>Facilities</b></th> <th><b>Existing Limit</b></th> <th><b>Proposed/ Renewed</b></th> <th><b>Sanction Letter dated</b></th> </tr> </thead> <tbody> <tr> <td><b>Fund Based</b></td> <td></td> <td></td> <td></td> </tr> <tr> <td> • Cash Credit (Book Debts)</td> <td></td> <td></td> <td></td> </tr> <tr> <td> • Total FBWC</td> <td>7.00</td> <td>-</td> <td></td> </tr> <tr> <td> • Term Loan (Present O/S)</td> <td>7.00</td> <td>-</td> <td></td> </tr> <tr> <td> • New Term Loan</td> <td>0.44</td> <td>-</td> <td></td> </tr> <tr> <td> • Total FB</td> <td>7.50</td> <td>-</td> <td></td> </tr> <tr> <td><b>Non Fund Based</b></td> <td>14.94</td> <td>-</td> <td>27.11.2004</td> </tr> <tr> <td> • Letter of Credit</td> <td></td> <td></td> <td></td> </tr> <tr> <td> • Bank Guarantee</td> <td></td> <td></td> <td></td> </tr> <tr> <td> • Total Non Fund Based</td> <td>0.40</td> <td>-</td> <td></td> </tr> <tr> <td> • Total FB+ NFB</td> <td>(0.40)</td> <td>-</td> <td></td> </tr> <tr> <td></td> <td>0.40</td> <td>-</td> <td></td> </tr> <tr> <td></td> <td>15.34</td> <td>-</td> <td></td> </tr> <tr> <td><b>Fund Based</b></td> <td></td> <td></td> <td></td> </tr> <tr> <td> • Cash Credit (Book Debts)</td> <td></td> <td></td> <td></td> </tr> <tr> <td> • Term Loan-I</td> <td>7.00</td> <td>10.00</td> <td></td> </tr> <tr> <td> • Term Loan-II</td> <td>8.00</td> <td>7.50*</td> <td></td> </tr> <tr> <td> • Total FB</td> <td>-</td> <td>7.00</td> <td></td> </tr> <tr> <td></td> <td>15.00</td> <td>24.50</td> <td></td> </tr> <tr> <td><b>Non Fund Based</b></td> <td></td> <td></td> <td>26.06.2006</td> </tr> <tr> <td> • Letter of Credit</td> <td></td> <td></td> <td></td> </tr> <tr> <td> • Bank Guarantee</td> <td>-</td> <td>24.00</td> <td></td> </tr> <tr> <td> • Total Non Fund Based</td> <td>0.40</td> <td>0.40</td> <td></td> </tr> <tr> <td> • Total FB+ NFB</td> <td>0.40</td> <td>24.40</td> <td></td> </tr> <tr> <td></td> <td>15.40</td> <td>48.90</td> <td></td> </tr> </tbody> </table>

<table border="1"> <tbody> <tr> <td> <b>Fund Based</b> <ul> <li>• Cash Credit (Book Debts)</li> <li>• Term Loan-I</li> <li>• Term Loan-II</li> <li>• Total FB</li> </ul> </td> <td> 10.00<br/> 7.50<br/> 7.00<br/> 24.50 </td> <td> 10.00<br/> 7.50<br/> 7.00<br/> 24.50 </td> <td rowspan="6">02.01.2008</td> </tr> <tr> <td> <b>Non Fund Based</b> <ul> <li>• Letter of Credit</li> <li>• Adhoc Letter of Credit</li>

</ul> </td> <td> 24.00<br/> -<br/> 0.40<br/> 24.40<br/> 48.90 </td> <td> 24.00<br/> 30.00<br/> 0.40<br/> 54.40<br/> 78.90 </td> </tr> <tr> <td> <b>Fund Based</b> <ul> <li>• Cash Credit (Stocks &amp; Book Debts)</li> <li>• Term Loan-I (Presents)</li> <li>• Term Loan-II(Presents)</li> <li>• Total FB</li> </ul> </td> <td> 10.00<br/> 4.12<br/> 2.41<br/> 16.53 </td> <td> 10.00<br/> 4.12<br/> 2.41<br/> 16.53 </td> <td rowspan="6">01.09.2008</td> </tr> <tr> <td>

<ul> <li>• Adhoc LC (One Time)</li>

</ul> </td> <td> -<br/> 24.00<br/> 0.40<br/> 24.40<br/> 40.93 </td> <td> 28.00<br/> 24.00<br/> 0.40<br/> 52.40<br/> 68.93 </td> </tr> <tr> <td> <b>Fund Based</b> <ul> <li>• Cash Credit (Book Debts)</li> <li>• Term Loan-I</li> <li>• Term Loan-II</li> <li>• Total FB</li> </ul> </td> <td> 10.00<br/> 1.63<br/> 0.31<br/> 11.94 </td> <td> 08.00<br/> 1.63<br/> 0.31<br/> 9.94 </td> <td rowspan="6">05.04.2010</td> </tr> <tr> <td> <b>Non Fund Based</b> <ul>

</ul> </td> <td> 24.00<br/> 0.40<br/> 24.40<br/> 36.34 </td> <td> 19.60<br/> 0.40<br/> 20.00<br/> 29.94 </td> </tr> </tbody> </table>

3. Defendants created the Hypothecation and created mortgage of the properties as under

a. All present and future goods, book-debts and all other movable assets of the borrower including documents of title to the goods, outstanding moneys, receivables including receivables by way of cash assistance and/or cash incentives under the cash incentive scheme or any other scheme claims including claims by way of refund of customs/excise duties under the Duty Drawback Credit Scheme or any other scheme, bills, invoices, documents, contracts, insurance policies, guarantees, engagements, securities, investments and rights and the present machinery listed in the schedule hereunto and all future machinery belonging to or in the possession or under the control of the borrower wherever lying stored and kept and whether in possession of the borrower or of the bank or of any third party whether in India or elsewhere throughout the world(including all such goods, other movable assets as may be in course of shipment transit or delivery).

b. Land and Buildings and erections thereon (both present and future) situated at Plot No. 1560, Steel Yard, Road No.18, Kalamboli, Taluka Panvel, District Raigad Maharashtra admeasuring about 450 sq. metres

c. That piece of Land known as R.S. No. No.307 at Village Rampar, Sub Dist. Bhachau, Dist. Kutch, Gujarat State admeasuring 04 acres 11 gunthas ie.17301 sq.mts.

d. That piece of Land known as R.S. No. No.299/1 and R.S. No.305 at Village Rampar, Sub Dist. Bhachau, Dist. Kutch,

Gujarat State admeasuring 7 acres 11 gunthas (29441 sq.mts) and acres 37 gunthas ((23978 sq.mts.) in favour of the applicant to secure the loan.

4. Despite the undertaking effected, Defendants 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 01.07.2011.

5. Despite issuance of letters, personal visits, telephonic conversation and reminders the Defendant has failed to regularise the account. So the Applicant had caused the issuance of lawyer notice to Defendants to pay up the dues with interest.

6. Since the defendants 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 18.06.2012. Defendants were duly served with the summons for appearance on 10.07.2013 and Transfer Notice on 27.08.2024 & 17.04.2025. Vakalatnama filed by the Defendant no. 1 to 3 on 14.02.2013, but their Right to file WS was forfeited on 06.01.2014.

7. Defendant no.4 & 6 are seen set at ex-parte on 18.07.2013 and Defendant no.5 was set at ex-parte on 29.10.2013. Subsequently on 01.09.2014 Advocate for the Defendants filed two IAs, IA No.311 of 2014 getting the exparte order passed against Defendant No.4 to 6 to be set aside and IA No.312 of 2014 for taking WS on record for all Defendants. Both IAs were allowed subject to payment of cost of Rs.5,000/- each and the same was complied by the Ld. Advocate of Defendants on 24.09.2014 by producing the receipt of payment of the said amount.

8. Now on perusal of the Roznama, it is seen that the Ld. Advocate for the Defendants had withdrawn their Vakalatnama by way of filing Pursis on 31.07.2015 and the chance to file CAOD by the Defendant nos. 1 to 6 is seen forfeited on 18.08.2015.

9. The applicant filed an affidavit (exhibit-10) in lieu of examination in chief through Mr. Ajit Anand, Deputy General Manager of the bank, had produced documents, which are admitted in evidence, read, recorded and exhibited and were marked as AW-1 to AW-57.

10. As stated earlier, apart from filing a written statement, no effective representation is made by the defendants since 14.03.2016. No attempt is made by the defendants to substantiate their contentions. Mere pleadings in the written statement cannot supplant the substantiation of the said pleading by arguing the matter or by filing argument notes. Even though applicant had filed CAOD and written argument notes nothing is attempted to by defendants who had persistently remained absent since 14.03.2016. So, the contentions of the applicant are being accepted.

1. 11. Accordingly, the Transfer Original Application was filed for the recovery of Rs.9,75,16,663.67/- with further interest thereon at the rates mentioned in the particulars of claim and other expenses for the period from the date of filing of this T.O.A. till payment/realization.

2. 12. 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 unrebutted, shows that there is no reason to reject the claim made by the applicant bank.

3. 13. In view of the observations made hereinabove, Transfer Original Application filed by the applicant deserves to be allowed.

4. 14. Hence, the following order is passed:

ORDER

1. a. T.O.A. stands allowed with cost and the Defendant no.1 to 6 are held liable jointly and severally to pay to the Applicant Bank within two months a sum of Rs.9,75,16,663.67/- with further interest @12% p.a. 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 Hypothecated goods and mortgage properties as under:-

1. i. All present and future goods, book-debts and all other movable assets of the borrower including documents of title to the goods, outstanding moneys, receivables including receivables by way of cash assistance and/or cash incentives under the cash incentive scheme or any other scheme claims including claims by way of refund of customs/excise duties under the Duty Drawback Credit Scheme or any other scheme, bills, invoices, documents, contracts, insurance policies, guarantees, engagements, securities, investments and rights and the present machinery listed in the schedule hereunto and all future machinery belonging to or in the possession or under the control of the borrower wherever lying stored and kept and whether in possession of the borrower or of the bank or of any third party whether in India or elsewhere throughout the world(including all such goods, other movable assets as may be in course of shipment transit or delivery).

2. ii. Land and Buildings and erections thereon (both present and future) situated at Plot No. 1560, Steel Yard, Road No.18, Kalamboli, Taluka Panvel District Raigad Maharashtra admeasuring about 450 sq. metres

3. iii. That piece of Land known as R.S. No. No.307 at Village Rampar, Sub Dist. Bhachau, Dist. Kutch, Gujarat State admeasuring 04 acres 11 gunthas ie.17301 sq.mts.

4. iv. That piece of Land known as R.S. No. No.299/1 and R.S. No.305 at Village Rampar, Sub Dist. Bhachau, Dist.

Kutch, Gujarat State admeasuring 7 acres 11 gunthas (29441 sq.mts) and acres 37 gunthas ((23978 sq.mts.)and in case of shortfall, the same shall be recovered from the sale of the movable and immovable properties of the Defendants.

- b. Defendants are 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 a 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 Defendants are 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 :27.08.2026.

(Dictated to my Stenographer, transcribed by him, corrected and signed by me and pronounced in open forum on 27.08.2026).

Place:- Mumbai Date:- 27.08.2026

Presiding Officer, DRT-1, Mumbai (Sreekala Suresh)