Allowed

Jammu and Kashmir Bank Limited v. M/S Rizwan Construction

DRT7 Mar 2025OA/1500/2022

Case brief

AI extract

What is this about?

This application under Section 19 of the RDB Act sought recovery of dues owed by M/s Rizwan Construction and Mr. Mohammad Afzal Sheikh. The court examined evidence filed by the bank regarding a loan of Rs.100 Lacs and the outstanding amount of Rs.1.53 crore. Finding the bank's case proved, the court allowed the application, declared liability joint and several, and ordered issuance of a Recovery C

What did the court decide?

Application allowed for recovery of Rs.1,53,90,527/- with interest. Directions issued to Recovery Officer to distribute sale proceeds. Recovery Certificate to be issued.

Jammu and Kashmir Bank Limited versus M/S Rizwan Construction — Banking and Recovery | DRT (2025)

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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: 1500 of 2022 Date of Institution: 09.06.2022 Date of Decision: 07.03.2025 Jammu & Kashmir Bank Ltd. having its branches all over India and a branch at Amira Kadal, Srinagar, Jammu and Kashmir. ……..Applicant Vs. 1. M/s Rizwan Construction, Registered office at CD-5160, Bonizal Haripora, Jammu and Kashmir. 2. Mr. Mohammad Afzal Sheikh s/o Ghulam Qadir Sheikh r/o Bonizal, Haripora, Kangan, Ganderbal, Jammu & Kashmir. ……….Defendants Advocates Mr. Gaurav Thakur, Counsel for the applicant bank. Defendants - ex parte . OA for the Recovery of Rs.1,53,90,527/- with interest @18% per annum with monthly rests from 09.06.2022. ORDER 1. Jammu & Kashmir 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.1,53,90,527/- with interest against M/s Rizwan Construction and another (defendants). 2. Bank’s case is that defendant no.1 is the proprietorship firm of defendant no.2. On 07.01.2019, it had granted a loan of Rs.100 Lacs to defendant no.1 in the form of Term Overdraft Facility for business purpose. The loan was chargeable to interest @18% per annum with monthly rests. On 30.04.2022, a sum of Rs.1,53,90,527/- was due from the defendants. Despite repeated requests, defendants did not make the repayment. Hence, this application.

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2 3. On 21.09.2022, summonses were sent to the defendants by registered post, which were duly served. However, defendants did not put in appearance. Vide order dated 15.01.2024, they were proceeded_ex_ parte.
4. In order to prove its case, the Bank has placed on record the affidavit of Mr. Umesh Sharma, Authorized Representative along with the loan and security documents and marked them as Exhibit A-1 to A-5.
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 loan of Rs.100 Lacs and on 30.04.2022, a sum of Rs.1,53,90,527/- was due.
6. Accordingly, the application of the bank for the recovery of
Rs.1,53,90,527/- (Rupees One Crore Fifty Three Lacs Ninety Thousand Five Hundred and Twenty Seven Only) with interest @18% per annum with monthly rests from 09.06.2022, till the date of payment is hereby allowed with costs. The liability of all the defendants would be joint and several. Bank can recover its dues from the sale of personal movable and immovable property(ies) of the defendants.
7. Pending IAs, if any, stand disposed of.
8. Recovery Certificate be issued accordingly.
9. Parties are directed to appear before Recovery Officer on
07.04.2025,who is directed to distribute the sale proceeds as per the
provisions of Section 19(20-AB) of the Act.
10. A Copy of this order along with Recovery Certificate be sent to the
Recovery Officer as well as the parties.
Pronounced in the open Court. (A S Narang) Dated: 07.03.2025 Presiding Officer DRT-1, Chandigarh

Jammu and Kashmir Bank Limited v. M/S Rizwan Construction

Case brief

What is this about?

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Jammu and Kashmir Bank Limited v. M/S Rizwan Construction

Case brief

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