Allowed

Bank of Maharashtra v. M/s Adarsh Dairy Products Pvt. Limited

DRT12 Aug 2025OA/205/2023

Case brief

AI extract

What is this about?

The Debts Recovery Tribunal allowed an application filed by Bank of Maharashtra for recovery of Rs. 2.55 crore from borrowers who failed to repay sanctioned working capital and term loans after the account was classified as NPA.

What did the court decide?

Defendants were directed to pay Rs. 2,55,66,246.72 plus future interest at 9% simple, and the applicant bank was granted right to sell mortgaged properties and issue of recovery certificate.

Bank of Maharashtra versus M/s Adarsh Dairy… — Contract and Commercial Disputes | DRT (2025)

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Presented on: 21.02.2023 Registered on: 03.12.2023 Decided on: 12.08.2025 Duration: Y M D 02 05 21

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IN THE DEBTS RECOVERY TRIBUNAL AT AURANGABAD (Before Dr. J. R. Chauhan Presiding Officer) ORIGINAL APPLICATION No.205/2023

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TOTAL CLAIM AMOUNT – Rs. 2,55,66,246.72/-

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Bank of Maharashtra

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A Body Corporate and constituted under the

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Banking Companies (Acquisition of Undertakings)

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Act V of 1970, carrying on banking business and Having its Head Office at “Lokmangal”, 1501 Shivaji Nagar, Pune – 411 005 and Zonal Office at “Mahabank Bhawan”, C-3, N-1, Town Centre, CIDCO, Aurangabad-431003. Through its Authorized officer, Shri Kunal Ashok Kamble, Age: Major, Occu.: Service,

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Working as Manager, Chikalthana Branch Bank of

(OA No.205/2023)

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[AMBADAS]

Maharashtra, at Chikalthana, Aurangabad.

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… Applicant

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Versus

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M/s. Adarsh Dairy Products Pvt. Ltd. Address: Plot No. 30 & 31, Shiv Jyoti Colony, N-6 Cidco, Aurangabad-431003 AND

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Gut No. 141, situated a Babhulgaon, Tq. Paithan, Dist. Aurangabad AND

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Gut No. 141, situated a Babhulgaon, Tq. Paithan, Dist. Aurangabad AND

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Gut No. 139 situated a Babhulgaon, Tq. Paithan, Dist. Aurangabad

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Ambadas Abaji Mankape, Age: Major, Occu.: Business, Address: Plot No. 30 & 31, Shiv Jyoti Colony, N-6 Cidco, Aurangabad-431003 AND

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Gut No. 141, situated a Babhulgaon, Tq. Paithan, Dist. Aurangabad AND

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Gut No. 141, situated a Babhulgaon, Tq. Paithan, Dist. Aurangabad AND

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Gut No. 139 situated a Babhulgaon, Tq. Paithan, Dist. Aurangabad

(OA No.205/2023)

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[AMBADAS]

Anil Ambadas Mankape, Age: Major, Occu.: Business, Address: Plot No. 30 & 31, Shiv Jyoti Colony, N-6 Cidco, Aurangabad-431003 AND

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Gut No. 141, situated a Babhulgaon, Tq. Paithan, Dist. Aurangabad AND

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Gut No. 141, situated a Babhulgaon, Tq. Paithan, Dist. Aurangabad AND Gut No. 139 situated a Babhulgaon, Tq. Paithan, Dist. Aurangabad

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Sunil Ambadas Mankape, Age: Major, Occu.: Business, Address: Plot No. 30 & 31, Shiv Jyoti Colony, N-6 Cidco, Aurangabad-431003 AND

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Gut No. 141, situated a Babhulgaon, Tq. Paithan, Dist. Aurangabad AND

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Gut No. 141, situated a Babhulgaon, Tq. Paithan, Dist. Aurangabad AND

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Gut No. 139 situated a Babhulgaon, Tq. Paithan, Dist. Aurangabad

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…Defendants

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APPEARANCES

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For the Applicant For Defendants

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Mr. Atul A. Mishra - Advocate Ex-parte

(OA No.205/2023)

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[AMBADAS]

J U D G M E N T

Delivered on 12.08.2025

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The Applicant Bank has filed the present application for the

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recovery of a sum of Rs. 2,55,66,246.72/- (Rupees Two Crore Fifty Five Lacs Sixty Six Thousand Two Hundred Forty Six And Seventy Two Paisa only), along with further interest from the date of filing of the Original Application, i.e., 21.02.2023, until the date of realization of the entire outstanding dues from the Defendants.

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Brief facts of the application are as under:

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The Applicant Bank respectfully states that Defendant No. 1 had approached and requested the Applicant Bank for the sanction of a Working Capital (Cash Credit facility) Term loan facility & Working Capital Term Loan–GECL COVID-19. Upon due consideration of the said request and the financial requirements of the Defendants, the Applicant Bank sanctioned Working Capital (Cash Credit Facility) in tune of Rs. 2,15,00,000/- and a

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Term loan facility for Rs. 2,85,00,000/- vide sanction letter

(OA No.205/2023)

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[AMBADAS]

dated 05.05.2012. Subject to certain terms and conditions as

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mutually agreed upon. The agreed rate of interest for both the

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loans was @ 14.00% per annum with monthly rests.

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The Applicant Bank states that, the Term loan facility of Rs. 2,85,00,000/- was closed by the defendant No.1.

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The Applicant Bank further states that the Defendants subsequently requested for working capital term loan-GECL COVID-19 for the purpose of business. Upon consideration of the said request, the Applicant Bank sanctioned the loan Rs. 1,24,000/- on 24.06.2020, at an agreed rate of interest of @7.50% per annum with monthly rests. The Defendants also agreed to pay additional interest by way of liquidated damages in the event of any default in repayment.

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In order to secure the aforesaid loan facilities, the Defendants executed various loan documents in favour of the Applicant Bank. These included sanction letters, request letter, deed of

(OA No.205/2023)

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[AMBADAS]

hypothecations, demand promissory note of Rs. 50,00,00/- &

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41,24,000/- and sale deeds bearing daybook Nos. 1841, 1840 and 1839 on 16.05.2000 and 4116 on 09.07.2004. Additionally, defendant nos. 2 to 4 stood as guarantors for defendant no. 1 and thereby executed deeds of guarantee dated 11.05.2012 &

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24.06.2020 in favour of the applicant bank.

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The Applicant Bank further contends that, in order to secure the Term loan Facility sanctioned to them, the Defendants created an equitable mortgage over their immovable property by depositing sale deeds recorded under Day Book No daybook Nos. 1841, 1840, and 1839 on 16.05.2000 and 4116 on 09.07.2004 in favour of the Applicant Bank. The mortgage was

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created in respect of the following properties –

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A. Land Gut No. 142 owned by Shri Ambadas A. Mankape Patil

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All that piece and parcel of land bearing Gut No. 142 admeasuring 1H 86R within the village limits of Babhulgaon Tal. Paithan Dist. Aurangabad, and bounded as under:

(OA No.205/2023)

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[AMBADAS]

East: Land Gut No. 143 of Sheshrao Gobu Pawar West: Land Gut No. 143 of Baban Dada North: Land Gut No. 139 of Sheshrao Gobu Pawar South: Land Gut No. 171 of Pundalik Dhanaji

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B. Land Gut No. 139 owned by Shri Ambadas A. Mankape Patil

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All that piece and parcel of land bearing Gut No. 139 admeasuring 2H 68R within the village limits of Babhulgaon Tal. Paithan Dist. Aurangabad, and bounded as under:

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East: Land Gut No. 175 of Laxmibai B. Deshmukh West: Land Gut No. 135 of Laxmibai B. Deshmukh North: Land Gut No. 143 of Rukhmanbai & Baban Dada South: Land Gut No. 138 of Latabai B. Gaikwad

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C. Land Gut No. 141 owned by Shri Ambadas A. Mankape Patil

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All that piece and parcel of land bearing Gut No. 141 admeasuring 54R within the village limits of Babhulgaon, Tal. Paithan, Dist. Aurangabad, and bounded as under:

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East: Land Gut No. 174 of Kanchanbai Balkrishna West: Land Gut No. 142 of Sheshrao Gobu Pawar North: Land Gut No. 139 of Sheshrao Gobu Pawar South: Land Gut No. 171 of Pundalik Danaji

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D. Land Gut No. 141 owned by M/s Adarsh Dairy Products Pvt Ltd.

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All that piece and parcel of land bearing Gut No. 141

(OA No.205/2023)

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[AMBADAS]

admeasuring 80R within the village limits of Babhulgaon, Tal. Paithan, Dist. Aurangabad, and bounded as under:

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East: Land Gut No. 140 West: Land Gut No. 142 North: Land Gut No. 141/p South: Land Gut No. 141/p

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The applicant bank further states that the defendants also hypothecated stocks, plant & machineries, books, debts and goods purchased from the loan amount.

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The applicant bank contended that the defendants have failed to keep their promise and commitments agreed by them with regard to due repayment of the loan amount. The defendants failed to operate the loan account properly and failed to pay the agreed rate of interest as per terms and conditions of the sanction letter. Thereafter, the applicant bank repeatedly made demand of loan amount and called upon the defendants to pay with the agreed rate of interest thereon, but the defendants failed and neglected to pay the same. The loan account of the defendant became irregular and classified as NPA on 29.03.2022. Therefore on 16.12.2022 the applicant bank issued legal notice to the defendants through their advocate. Despite service of

(OA No.205/2023)

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[AMBADAS]

Notices, the defendants failed and neglected to repay the outstanding dues of the applicant Bank. Hence, this application is filed.

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The defendants failed to appear in matter though defendant Nos. 1 to 3 were served through Court Commissioner & defendant No. 4 through paper publication. Hence, the defendants were proceeded ex-parte as per Order dated 14.05.2025.

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The applicant Bank has filed Claim Affidavit of evidence at Exhibit-4 of Shri. Kunal Ashok Kamble, Branch Manager of the applicant Bank, and has produced on record the original loan transaction documents as Exh. AW-1(1) to AW- 1(26) along with list of documents Exh.5 which corroborates the case of the applicant Bank.

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I have heard arguments of the learned Advocate for the applicant Bank.

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Since the defendants failed to appear and contest the application, I find no reason to disbelieve the unrebutted

(OA No.205/2023)

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[AMBADAS]

evidence of the applicant Bank. Therefore, the applicant Bank is entitled for reliefs as claimed.

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The applicant Bank has claimed charge over immovable properties of the borrowers which are mortgaged in favour of the applicant bank.

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The applicant Bank has claimed future interest @12.00% on the loans from the date of filing i.e. 21.02.2023 of this application till realization of the claim amount. However, considering the facts of the case, I am of the opinion that if future interest is granted @ 9% per annum (simple), it would be just and reasonable rate

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of interest.

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ORDER

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(A) Original Application No.205/2023 is allowed with costs.

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(B) The defendants jointly and severally shall pay to the

(OA No.205/2023)

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[AMBADAS]

applicant Bank a sum of Rs. 2,55,66,246.72/- (Rupees

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Two Crore Fifty Five Lacs Sixty Six Thousand Two Hundred Forty Six And Seventy Two Paisa only), along with future interest @ 9 % per annum (simple) from the date of filing of the Original Application i.e. 21.02.2023 till full payment / realization of the amount mentioned in this operative order.

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(C) The aforesaid adjudicated amount is secured by the mortgage of immovable properties vide documents Exh. AW-1(6) to Exh. AW-1(12), Exh. AW-1(14), Exh. AW-1(20 to Exh. AW-1(23) in the list of documents at Exh. 5 as per details given below :-

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A. Land Gut No. 142 owned by Shri Ambadas A. Mankape Patil

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All that piece and parcel of land bearing Gut No. 142 admeasuring 1H 86R within the village limits of Babhulgaon Tal. Paithan Dist. Aurangabad, and bounded as under:

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East: Land Gut No. 143 of Sheshrao Gobu Pawar West: Land Gut No. 143 of Baban Dada North: Land Gut No. 139 of Sheshrao Gobu Pawar South: Land Gut No. 171 of Pundalik Dhanaji

(OA No.205/2023)

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[AMBADAS]

B. Land Gut No. 139 owned by Shri Ambadas A. Mankape Patil

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All that piece and parcel of land bearing Gut No. 139 admeasuring 2H 68R within the village limits of Babhulgaon Tal. Paithan Dist. Aurangabad, and bounded as under:

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East: Land Gut No. 175 of Laxmibai B. Deshmukh West: Land Gut No. 135 of Laxmibai B. Deshmukh North: Land Gut No. 143 of Rukhmanbai & Baban Dada South: Land Gut No. 138 of Latabai B. Gaikwad

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C. Land Gut No. 141 owned by Shri Ambadas A. Mankape Patil

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All that piece and parcel of land bearing Gut No. 141 admeasuring 54R within the village limits of Babhulgaon Tal. Paithan Dist. Aurangabad, and bounded as under:

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East: Land Gut No. 174 of Kanchanbai Balkrishna West: Land Gut No. 142 of Sheshrao Gobu Pawar North: Land Gut No. 139 of Sheshrao Gobu Pawar South: Land Gut No. 171 of Pundalik Danaji

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D. Land Gut No. 141 owned by M/s Adarsh Dairy Products Pvt Ltd.

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All that piece and parcel of land bearing Gut No. 141 admeasuring 80R within the village limits of Babhulgaon Tal. Paithan Dist. Aurangabad, and

(OA No.205/2023)

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[AMBADAS]

bounded as under:

East: Land Gut No. 140 West: Land Gut No. 142 North: Land Gut No. 141/p South: Land Gut No. 141/p

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(D) The applicant Bank is entitled to sell the mortgaged

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immovable properties and hypothecated articles/goods, to recover its dues.

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(E) Issue Recovery Certificate accordingly.

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(F) The Registrar is directed to send the copies of the Judgment and Recovery Certificate to the applicant and defendants.

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(G) File be consigned to the record room.

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Sd/-

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Pronounced in open court. (Dr. J. R. Chauhan) Place : Aurangabad Presiding Officer Date : . 12.08.2025 Debts Recovery Tribunal, Aurangabad

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(OA No.205/2023)

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[AMBADAS]

Bank of Maharashtra v. M/s Adarsh Dairy Products Pvt. Limited

Case brief

What is this about?

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Bank of Maharashtra v. M/s Adarsh Dairy Products Pvt. Limited

Case brief

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