Allowed

Punjab National Bank v. M/S Poonam Industries

DRT17 Jun 2025OA/12/2023

Case brief

AI extract

What is this about?

The Tribunal allowed an Original Application filed by Punjab National Bank against M/s Poonam Industries and Smt. Poonam. The defendants failed to appear or file a written statement. The Court held the bank's case, supported by documentary evidence including hypothecation agreements and balance confirmation letters, as proved beyond reasonable doubt. A recovery order was passed.

What did the court decide?

A sum of Rs.54,54,107.75 along with interest and costs, and a Recovery Certificate.

Punjab National Bank versus M/S Poonam Industries — Contract and Commercial Disputes | DRT (2025)

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O.A. No. 12 of 2023

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

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Presiding Officer: Shri Govind Ballabh Sharma

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O.A. No.12 of 2023

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Punjab National Bank CSC Complex, East Delhi

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Pocket E, Mayur Vihar Phase II, Delhi-110091

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Applicant

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Versus

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M/s Poonam Industries Through its Sole Proprietress

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Smt. Poonam

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Kh no.23/23, Gali No.7

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Village Samaypur North West Delhi-110042

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Smt. Poonam w/o Sh. Vijay Sole Proprietress of M/s Poonam Industries R/o RZ-166/1, Gali No.7, Durga Park

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Nasirpur, South West Delhi

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Delhi-110045 Defendants

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Present: Sh.Sunav Rastogi, Counsel for the applicant bank

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Date of Institution: 27.12.2022

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Date of Pronouncement: 17.06.2025

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FINAL ORDER

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This original application has been filed by the applicant bank on 27.12.2022 through Mr. Rajiv Kumar Agarwal, authorized representative of the applicant bank under Section

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O.A. No. 12 of 2023

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19 of Recovery of Debts and Bankruptcy Act, 1993 against the defendants for recovery of a sum of Rs.54,54,107.75 (Rupees Fifty four Lacs Fifty Four Thousand One Hundred Seven and paisa Seventy Five only) as on 30.11.2022 along with pendentelite and future interest @10.65% per annum with monthly rests plus @2% penal interest from the date of filing this application till the date of realization along with costs. Further, the name of Sh.Deepak Kumar was substituted as authorized representative in place of Sh. Rajiv Kumar Agarwal, erstwhile AR for the applicant bank.

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The brief facts of the case are that on the request of the Defendant no.1 through its proprietress being defendant no.2, the applicant bank sanctioned Cash Credit facility for Rs.48,00,000/- (Rupees Forty Eight Lacs only) on 17.12.2019 @10.20% floating rate of interest per annum under Stand Up India Scheme against hypothecation of stocks and book debts.

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That in order to avail the credit facility, the defendants executed Hypothecation of Moveable Assets, Hypothecation of Current Assets, Hypothecation of Goods and Book Debts in favour of the applicant bank on 17.12.2019.

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That in order to secure the loan facility, the defendants hypothecated the stocks of consumables and all other materials of defendant No.1.

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It has been submitted by the applicant bank that after availing the aforesaid credit facilities, the defendants failed to comply with the terms and conditions of sanction and failed to maintain financial discipline, failed to pay amount due towards interest and installments to regularize the accounts with the

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O.A. No. 12 of 2023

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applicant bank. Ultimately, the applicant bank classified the account as NPA on 31.03.2021 as per RBI guidelines but the defendants failed to regularize the account. Hence, the applicant bank approached this tribunal for recovery of their dues.

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Notice under Section 13(2) of the Securitization and Reconstruction of Financial Assets and Enforcement of Security Interest Act 2002 dated 25.05.2022 was issued to the defendants calling upon them to pay the entire outstanding dues with the applicant bank but the defendants did not clear the dues.

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The defendants admitted their liability and executed Balance Confirmation Letter dated 31.10.2022 towards applicant bank.

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Notices of this O.A. were issued to the defendant and despite of proper service, the defendant has chosen to absent from the proceedings. As per order dated 14.02.2024, the defendants have been proceeded ex-parte as they have not appeared before the Tribunal and even written statement, evidence and affidavit of assets have not been filed by the defendant.

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In order to prove its case, the applicant bank has filed its evidence by way of affidavit of Sh.Rajiv Kumar Agarwal, authorized representative of the applicant bank who has proved the documents as Certificate of Authority Ex.AW-1/1, Loan Application Ex.AW-1/2, Screenshot of Loan account Ex.AW-1/3, Sanction Letter Ex.AW-1/14, Hypothecation of

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O.A. No. 12 of 2023

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Goods and Book Debts to secure Cash Credit Ex.AW-1/5 (Colly), Notice under Section 13(2) Ex.AW-1/6, Balance Confirmation Letter Ex.AW-1/7, Statement of Account Ex.AW1/8, Certificate under Section 2A (b) of Bankers' Books Evidence Act 1891 Ex.AW-1/9(Colly), Certificate under Section 65B of Indian Evidence Act Ex.AW-1/11.

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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.54,54,107.75 (Rupees Fifty Four Lacs Fifty four Thousand One Hundred Seven and Paisa Seventy Five only) as on 30.11.2022 together with pendentelite and future interest @12.65% interest per annum with monthly rests from the date of filing this application till the date of realization and costs as per following details failing which the aforesaid amount shall

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O.A. No. 12 of 2023

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be recovered from the sale of hypothecated stocks and book debts etc. 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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(III) Parties are directed to appear before the Recovery Officer, DRT I, Delhi on 18.08.2025.

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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: 17.06.2025

Punjab National Bank v. M/S Poonam Industries

Case brief

What is this about?

What did the court decide?

Punjab National Bank v. M/S Poonam Industries

Case brief

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