Allowed

Punjab National Bank v. Sh. Neeraj Tiwari

DRT26 Nov 2024TA/3349/2022

Case brief

AI extract

What is this about?

The DRT-I, Delhi allowed the applicant bank's application for recovery of dues totaling Rs.3.86 Crores. The court directed the defendants to pay the principal, interest, and costs within 30 days, failing which the amount would be recovered from the sale of hypothecated assets and mortgaged immovable property.

What did the court decide?

Recovery of Rs.3,86,78,135/- with future interest @12.75% p.a. and costs; recovery from sale of hypothecated assets and mortgaged property.

Punjab National Bank versus Sh. Neeraj Tiwari — Banking and Recovery | DRT (2024)

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T.A. No. 3349 of 2022

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Debts Recovery Tribunal-I, Delhi 4th floor, 3eevan Tara Building, Parliament Street, New Delhi

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Presiding Officer: Shri Govind Ballabh Sharma

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T.A. No.3349 of 2022

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Punjab National Bank Circle Sastra North Delhi Gurudwara Road, Karol Bagh New Delhi-110005 Applicant

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Versus

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Sh.Neeraj Tiwari Sole proprietor M/s Shri BBN Exim Shop No.319, Sadar Bazar Gurudwara Road, Gurugram Haryana-122001

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Also at: Sh.Neeraj Tiwari Sole proprietor M/s Shri BBN Exim Plot No.373, 1st Floor, Pace City-II, Sector-37, Gurugram-122001

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Also at: Sh.Neeraj Tiwari Sole proprietor M/s Shri BBN Exim H.No.1384, Second Floor, Sector-10A, Gurugram-122001

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Mrs.Kiran Oberoi w/o late Sh.Inder Kumar Oberoi, E-203, Alaknanda Apartment, Defendants Plot No.45, Sector-56, Gurugram-122011 Present: Shri S.K.Garg, Counsel for the applicant bank Date of Institution: 14.08.2018 Date of Pronouncement: 26.11.2024

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T.A. No. 3349 of 2022

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FINAL ORDER

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This original application has been filed by the applicant bank on 14.08.2018 before DRT-III, Delhi & then transferred to DRT-I, Delhi through Sh.Nem Kumar, authorized representative of the applicant bank under Section 19 of Debts Due to Banks and Financial Institutions Act, 1993 against the defendants for recovery of a sum of Rs.3,86,78,135/- (Rupees Three Crore Eighty Six Lacs Seventy Eight Thousand One Hundred Thirty Five only) as on 13.08.2018 along with pendentelite and future interest @10.75% per annum plus 2% penal interest with monthly rests from 14.08.2018 till the date of realization along with costs. Further, the name of Sh.Narender Singh Bisht was substituted as authorized representative in place of Sh.Nem Kumar, erstwhile AR for the applicant bank.

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The brief facts of the case are on the request of defendant no.1, being proprietor of M/s BBN Exim, the applicant bank sanctioned Cash Credit Hypothecation facility of Rs.475.00 lacs (Rupees Four Crore Seventy Five Lacs only) @11.85% interest per annum subject to change as per bank's guidelines for business requirements on 16.06.2016 against hypothecation of stocks of finished goods and all receivables and continuation of equitable mortgage of commercial property as collateral security of defendant no.2 who stood as guarantor for the credit facility availed by defendant no.1 with the applicant bank. The said property originally mortgaged for the credit facility sanctioned and availed by M/s PNS Exim Pvt.Ltd. The defendants agreed to pay penal interest @2% p.a. over the agreed rate of interest on failure in submission

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T.A. No. 3349 of 2022

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in documents as per sanction or regularization of account on due dates to the applicant bank.

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That in order to avail the loan facility, the defendant no.1 being proprietor of M/s BBN Exim executed and delivered Sole Proprietorship letter, Agreement of Hypothecation of Assets, Common Agreement, Undertaking dated 18.06.2016. The defendant no.2 executed and delivered personal guarantee agreement dated 18.06.2016 to secure the said credit facility.

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In order to secure the repayment of credit facility availed by defendant no.1, the defendant no.2 extended / continued the equitable mortgage by deposit of title deeds of her property bearing No.139, Shopping Complex, Zamroodpur, Delhi admeasuring 198 sq.meters on 13.06.2016 and confirmed the same on 20.06.2016 in favour of applicant bank.

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It has been submitted by the applicant bank that after availing the aforesaid loan facilities, the defendants failed to comply with the terms and conditions of sanction despite of several requests and reminders vide various letters issued by applicant bank, defendants neither regularize the account nor submitted statement of stocks etc. The applicant bank classified the account as NPA on 31.10.2017 as per RBI guidelines but there was no response. Hence, the applicant bank has approached this tribunal for recovery of their dues.

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T.A. No. 3349 of 2022

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Notice under Section 13(2) of the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act 2002 dated 10.04.2018 was issued to the defendants to pay the outstanding dues along with future interest and costs.

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Notices of this O.A. were issued to the defendants and despite of proper service, the defendants have chosen to absent from the proceedings. As per order dated 16.12.2019 and 18.10.2024, defendant no.1 and 2 have been proceeded ex-parte respectively as they have not appeared before the Tribunal and even written statement, evidence and affidavit of assets have not been filed by the defendants.

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In order to prove its case, the applicant bank has filed its evidence by way of affidavit of Sh.Nem Kumar, authorized representative of the applicant bank who has proved the documents such as Power of Attorney Ex.AW-1/1, Sanction Letter Ex.AW-1/2, Sole Proprietorship Letter Ex.AW-1/3, Agreement of Hypothecation of Assets Ex.AW-1/4, Common Agreement Ex.AW-1/5, Undertaking Letter Ex.AW-1/6, Personal Guarantee Agreement Ex.AW-1/7, Extension of Mortgage Letter of defendant no.2 Ex.AW-1/8, Conveyance Deed Ex.AW-1/9, Mutation letter Ex.AW-1/10, Death Certificate of Sh.Inder Kumar Oberoi Ex.AW-1/11, Perpetual Lease Ex.AW-1/12, Allotment of Alternative Plot Ex.AW-1/13, Information Report to Police Ex.AW-1/14, Confirmation of Mortgage Ex.AW-1/15, Continuation of Mortgage Ex.AW-1/16, Notice u/s 13(2) Ex.AW-1/17, Postal Receipt Ex.AW1/18(colly), Copy of Statement of Account duly Certified under Banker Books Evidence Act Ex.AW-1/19.

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T.A. No. 3349 of 2022

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The applicant bank has fully corroborated the averments made in the O.A. Even otherwise the whole case of the applicant bank is based on the documents and the same have been duly approved.

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The case filed by the applicant bank gone unrebutted and there is no question of disbelieving the case of the applicant bank and the applicant bank has proved its case beyond reasonable doubts.

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In the light of the above discussions, the Original Application deserves to be allowed.

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ORDER

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I, allow this OA and direct the defendants to pay to the applicant bank, jointly or severally, within a period of 30 days, a sum of Rs.3,86,78,135/- (Rupees Three Crore Eighty Six Lacs Seventy Eight Thousand One Hundred Thirty Five only) as on 13.08.2018 together with pendentelite and future interest @12.75% per annum from 14.08.2018 till the date of realization and costs; failing which the aforesaid amount shall be recovered from the sale of hypothecated stock and receivables etc. and mortgaged immovable property bearing No.139, Shopping Complex, Zamroodpur, Delhi admeasuring 198 sq.meters. In case of shortfall, the same shall be recovered from the sale of movable and immovable properties of the defendants.

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(II) The recovery certificate be issued forthwith and be sent to the Recovery Officer, Debt Recovery Tribunal-I, Delhi.

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T.A. No. 3349 of 2022

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(III)^{Parties are directed to appear before the Recovery} Officer, DRT I, Delhi on 27.01.2025.

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(IV)^{Copies of final order as well as Recovery Certificate be} sent to all concerned free of cost.

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(GOVIND BALLABH SHARMA) PRESIDING OFFICER DRT-I, DELHI

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(Dictated and pronounced in open court) Dated: 26.11.2024

Punjab National Bank v. Sh. Neeraj Tiwari

Case brief

What is this about?

What did the court decide?

Punjab National Bank v. Sh. Neeraj Tiwari

Case brief

What is this about?

What did the court decide?

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