Allowed

Hdfc Bank v. M/S Bhandari Engineering Co. Pvt. Ltd.

DRT12 Oct 2023OA/1917/2022

Case brief

AI extract

What is this about?

The Debts Recovery Tribunal allowed the applicant bank's OA for recovery of approximately Rs. 24.21 crores along with interest from the company and its directors/guarantors, who were proceeded ex parte, directing the issuance of a Recovery Certificate.

What did the court decide?

Allowed recovery of Rs. 24,21,97,676.81 with interest; directed issuance of Recovery Certificate against assets of respondents Nos. 1 to 5.

Hdfc Bank versus M/S Bhandari Engineering Co. Pvt… — Contract and Commercial Disputes | DRT (2023)

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IN THE DEBTS RECOVERY TRIBUNAL-I, CHANDIGARH

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BEFORE: A S NARANG, PRESIDING OFFICER

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OA No: 1917/2022 Date of Institution: 27.05.2022 Date of Decision: 12.10.2023

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HDFC Bank Ltd., one of its Branch Office at HDFC Bank Ltd., 83/1, Civil Lines, Liberty Chowk, Guru Kanshi Marg, Bathinda – 151001, Punjab.

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……..Applicant Vs. 1. M/s Bhandari Engineering Co., Pvt. Ltd., (CINU51109PB1995PTC017456) Through its Director/Authorized Signatory, Having its Registered Office at Guru Kashi Marg, Bhandari Chowk, Bathinda – 151001, Punjab through its Directors. 2. Sh. Prithvi Raj Bhandari S/o Labhu Ram Bhandari, Dircetor M/s Bhandari Engineering Co. Pvt. Ltd., Having its Registered Office at Guru Kashi Marg, Bhandari Chowk, Bathinda – 151001, Punjab. 2^nd Address:- R/o H.No.388, Model Town, Bathinda, Punjab. 3. Sh. Gaurav Bhandari S/o Sh. Rajinder Bhandari Director M/s Bhandari Engineering Co. Pvt. Ltd., Having its Registered Office at Guru Kashi Marg, Bhandari Chowk, Bathinda – 151001, Punjab. 2^nd Address:- R/o H.No.388, Model Town, Bathinda, Punjab. 4. Sh. Saurav Bhandari S/o Sh. Rajinder Bhandari Director M/s Bhandari Engineering Co. Pvt. Ltd., Having its Registered Office at Guru Kashi Marg, Bhandari Chowk, Bathinda – 151001, Punjab. 2^nd Address:- R/o H.No.388, Model Town, Bathinda, Punjab. 5. Sh. Mohit Bhandari S/o Sh. Prithvi Raj Bhandari Director M/s Bhandari Engineering Co. Pvt. Ltd., Having its Registered Office at Guru Kashi Marg, Bhandari Chowk, Bathinda – 151001, Punjab. 2^nd Address:- R/o H.No.388, Model Town, Bathinda, Punjab.

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M/s National Agriculture Agency a partnership concern Old Bus Stand Bathinda, Punjab – 157001 through its Partners Mrs. Sanyogita Bhandari and Mr. Gaurav Bhandari.

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……….Defendants

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Advocates

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Sh. CS Pasricha, Counsel for the applicant bank. Defendants – ex parte OA for the Recovery of Rs.24,21,97,676.81p with interest @18% per annum with monthly rests from 29.03.2022.

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ORDER

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HDFC Bank Ltd., (Bank) has filed this application under Section 19 of the Recovery of Debts and Bankruptcy Act, 1993 (RDB Act) for the recovery of Rs.24,21,97,676.81p with interest against M/s Bhandari Engineering Co. and others (defendants).

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Bank’s case is that defendant No.1 is a company and defendant Nos.2 to 5 are its directors and also stood as guarantors. On 05.11.2014, at the request of defendant No.1 through its directors, bank had takeover their earlier sanctioned C.C Facility of Rs.1550 Lacs from SBI (erstwhile State Bank of Patiala) and enhanced the said facility from Rs.1550 Lacs to Rs.1700 Lacs, Term Loan of Rs.132.50 Lacs and Bank Guarantee Facility of Rs.150 Lacs for business purpose. Further, on 19.10.2015, at the request of defendant No.1 through its directors, bank had sanctioned the Additional Cash Credit Limit of Rs.100 Lacs and Additional Cast Credit Limit-II of Rs.100 Lacs. In the said facilities, defendant nos.2 to 6 stood as guarantors. Thereafter, on 17.11.2015, at the request of defendant No.1 through its directors, bank had sanctioned the DRUL Limit of Rs.100 Lacs. Lastly, on 08.10.2020, applicant bank renewed their earlier granted Cash Credit Facility of Rs.1700.00 las (Cash Credit-

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Sub Limit of Rs.150.00 lacs), BG-I facility of Rs.45.0 lacs, BG-II facility of Rs.150.00 lacs, LC facility of Rs.50.00 lacs and Invoice Discounting (Sub Limit) of Rs.50.00 lacs i.e. total exposure of Rs.19.45 crores. To secure the loan, Defendant Nos.2 to 5 had mortgaged their immovable properties (fully detailed in para No.3(A) of the application) and hypothecated goods. The loan was chargeable to different rate of interests. On 28.03.2022, a sum of Rs.24,21,97,676.81p was due from the defendants. Despite repeated requests, defendants did not make the repayment. Hence, this application.

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On 29.09.2022, summonses were sent to the defendants by registered post, which were duly served. However, defendants put in appearance but they failed to file written statement. Accordingly, vide order dated 22.05.2023 defendants were proceeded ex- parte.

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In order to prove its case, the Bank has placed on record the affidavit of Mr. Sunil Kalra, Manager along with the loan and security documents and marked them as Exhibit A-1 to A-92. 5. I have perused the evidence on the record. I am of the considered view that the Bank has proved its case that it had advanced the above said facilities and on 28.03.2022, a sum of Rs.24,21,97,676.81p was due. 5(a) During the proceedings, Sh. C.S. Pasricha, counsel for the applicant bank has made a statement at the Bar that he does not want to pursue the present OA against defendant No.6 and the name of defendant No.6 be deleted from the present OA. Accordingly, the present suit stands deleted against defendant No.6.

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Accordingly, the application of the bank for the recovery of Rs.24,21,97,676.81p (Rupees Twenty-Four Crore Twenty-One Lacs Ninety-Seven Thousand Six Hundred Seventy-Six and Paisa Eighty-One

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Only) with interest @18% per annum with monthly rests from 29.03.2022, till the date of payment is hereby allowed with costs. The liability of defendants No.1 to 5 would be joint and several. Bank can recover its dues by the sale of mortgaged immovable properties fully detailed in para No.3(A) of the application and hypothecated goods as well as from the personal movable and immovable property(ies) of the defendants No.1 to 5.

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Pending IAs, if any, stand disposed of. 8. Recovery Certificate be issued accordingly.

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Parties are directed to appear before Recovery Officer on 15.11.2023, who is directed to distribute the sale proceeds of the mortgage properties and hypothecated goods as per the provisions of Section 19(20-AB) of the Act .

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A Copy of this order along with Recovery Certificate be sent to the Recovery Officer as well as the parties.

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Pronounced in the open court. (A S Narang) Dated: 12.10.2023 Presiding Officer DRT-1, Chandigarh

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Pankaj

Hdfc Bank v. M/S Bhandari Engineering Co. Pvt. Ltd.

Case brief

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Hdfc Bank v. M/S Bhandari Engineering Co. Pvt. Ltd.

Case brief

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