Allowed

Punjab National Bank (Oriental Bank of Commerce) v. M/s Home Studio

DRT11 Sept 2025OA/441/2022

Case brief

AI extract

What is this about?

Debts Recovery Tribunal allowed an original application by Punjab National Bank to recover Rs. 59,08,234.33 plus future interest at 9% p.a. from defendants who defaulted on a cash credit facility secured by mortgage and hypothecation.

What did the court decide?

Defendants shall jointly and severally pay Rs. 59,08,234.33 plus future interest at 9% p.a. from 05.08.2022; bank entitled to sell mortgaged properties to recover dues.

Punjab National Bank (Oriental Bank of Commerce) versus M/s Home… — Contempt of Court | DRT (2025)

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Presented on: 05.08.2022 Registered on: 01.11.2022 Decided on: 11.09.2025 Duration: Y M D 03 01 06

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IN THE DEBTS RECOVERY TRIBUNAL AT AURANGABAD (Before Dr. J. R. Chauhan Presiding Officer) ORIGINAL APPLICATION No. 441/2022

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TOTAL CLAIM AMOUNT – Rs. 59,08,234.33/Punjab National Bank, (Erstwhile Oriental Bank of Commerce) A Body Corporate constituted under the Banking companies (Acquisition and Transfer of Undertakings) Act 1970 & having it’s Head Office at Plot No. 4, Sector-10, Dwarka, New Delhi-110075, having branches amongst the other places at Savedi, Tq. & Dist. Ahmednagar through its Senior Manager Mr. Madhav s/o Marutirao Shinde, Age: 51 yrs, Occ.: Service, R/o.: Savedi, Tq. & Dist. Ahmednagar 414001. … Applicant

(OA No.441/2022)

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[AMBADAS]

Versus

M/s. Home Studio Through it’s proprietor, Mr. Abhijeet Nandkishor Sarda Age: Major, Occu.: Business, R/o.: Basment Shop No. 1 & 2, Business Centre, Professor Colony Chowk, Ahmednagar 414401.

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2. Mr. Abhijeet Nandkishor Sarda Age: Major, Occu.: Business, R/o.: Sarda House, Sarda Lane, Ahmednagar 414401. AND/OR Mr. Abhijeet Nandkishor Sarda Age: Major, Occu.: Business, R/o.: Sarda Retail World, Sarda Lane Ahmednagar 414401.

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3. Mrs. Shailja Nandkishor Sarda

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Age: Major, Occu.: Business, R/o.: Sarda Retail World, Sarda Lane Ahmednagar 414401. AND/OR Mrs. Shailja Nandkishor Sarda Age: Major, Occu.: Business, R/o.: Flat No. 503, 5^th Floor, H, Mystique Moods Building, Viman Nagar Pune 411014

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4. Mr. Rajeev Goverdhan Bihani, Age: Major, Occu.: Business, R/o.: Shukleshwar Road, Bihani Traders, Main Road, Vidya Mandir, Rahuri,

(OA No.441/2022)

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[AMBADAS]

Ahmednagar 413705.

5. Mr. Jitendra Shamsunder Bihani Age: Major, Occu.: Business, R/o.: Balram Nagar, Tapovan Road, Ahmednagar 414401.

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APPEARANCES

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…Defendants

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For the Applicant Mr. K. D. Pande -Advocate For Defendants Ex-parte

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JUDGMENT

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Delivered on 11.09.2025

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The Applicant Bank has filed the present application for the recovery of a sum of Rs. 59,08,234.33/- ( Fifty Nine Lacs, Eight Thousand, Two Hundred Thirty Four and Thirty Three Paisa only), along with future interest from the date of filing of the Original Application, i.e., 05.08.2022, 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 states that the Defendants No. 2 being proprietor of defendant No. 1 approached the bank to sanction a

(OA No.441/2022)

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[AMBADAS]

Cash Credit Facility. Upon considering the request and financial needs of the Defendants, the Applicant Bank sanctioned a Cash Credit Facility of Rs. 50,00,000/- vide sanction letter dated 06.08.2014 on certain terms and conditions. The agreed rate of interest for the aforesaid loan was @13.25% p.a. with monthly rests. The Defendants also agreed to pay additional interest by way of liquidated damages in the event of any default in repayment. The applicant bank further states that the defendants thereafter approached to the bank to renew the said cash credit facility herein above. Upon considering the representations, request and need of the defendants, the applicant bank renewed the said facility vide sanction letter dated 03.12.2018. The agreed rate of interest was @10.90 % p.a. with monthly rests.

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In order to secure the aforesaid loan facility, the Defendants executed various loan documents in favour of the Applicant Bank. These included sanction letters, letters of undertaking,

(OA No.441/2022)

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[AMBADAS]

sole proprietorship letter, registered mortgage deed bearing

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daybook no. 3340 dated 11.08.2014 & hypothecation agreements etc. Additionally, Defendant Nos. 3, 4 & 5 stood as guarantors for defendant No. 1 and executed deeds of guarantee dated 21.08.2014 in favour of the Applicant Bank.

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The Applicant Bank further contends that, in order to secure the aforesaid loan facility, the Defendants created first charge over their immovable property under daybook no. 3340 dated 11.08.2014 in favour of the Applicant Bank. The mortgage was created in respect of the following properties

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All that piece and parcel of commercial shop on ground floor, bearing CTS No. 3310/A, admeasuring 818.50 sq.mtrs. situated at Sarda Lane, Ahmednagar City, Ahmednagar, which is owned by Mr. Rajeev Govardhan Bihani, which is bounded as under:

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East: Property owned by Shrinivas Devkaran Sarda West: Property owned by the branch of Zumbarlal Sarda South: Sarda Lane

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North: Property owned by New Trend Retail India Pvt. Ltd.

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All that piece and parcel of Plot No. 32 out of Survey No. 104/2B/2/3/4 admeasuring 157.70 sq.mtrs. situated at Mauje Kedgaon, Tq & Dist. Ahmednagar, which is owned by Mrs.

(OA No.441/2022)

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[AMBADAS]

Shailaja Nandkishor Sarda, which is bounded as under:

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East: Road West: Plot No. 29 South: Plot No. 31 North: Plot No. 33

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The Applicant Bank further states that Defendants also executed a Hypothecation Agreement, thereby hypothecating in favour of the Applicant Bank all stocks of raw materials, semi-finishedgoods, consumable stores and spares, book debts etc., and all other movables of the borrowers including unencumbered plant and machineries.

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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

(OA No.441/2022)

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[AMBADAS]

defendants became irregular and classified as NPA on 31.03.2021. Therefore, on 02.03.2022 the applicant bank issued legal notice to the defendants through their advocate. Despite service of 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 defendant No. 1 to 4 appeared in matter but failed to submit written statement whereas defendant No. 5 failed to appear in matter though he was served through summons. Hence, the right of defendant Nos. 1 to 4 to file written statement stands closed and defendant No. 5 was proceeded ex-parte as per Order dated 10.11.2023.

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The applicant Bank has filed Claim Affidavit of evidence at Exhibit-4 of Mr. Madhav s/o Marutirao Shinde, Senior Manager of the applicant Bank, and has produced on record the original loan transaction documents as Exh. A-1 to A-32 along with list of documents Exh.5 which corroborates the case of the applicant Bank.

(OA No.441/2022)

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[AMBADAS]

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 evidence of the applicant Bank. Therefore, the applicant Bank is entitled for the 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 @10.85 p. a. from the date of filing i.e. 05.08.2022 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 of interest.

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ORDER

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(A) Original Application No. 441/2022 is allowed with

costs.

(OA No.441/2022)

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[AMBADAS]

(B) The defendants shall pay jointly and severally to the applicant Bank a sum of Rs. 59,08,234.33/- ( Fifty Nine Lacs, Eight Thousand, Two Hundred Thirty Four and Thirty Three Paisa only), along with future interest @ 9% per annum (simple) from the date of filing of the O.A. i.e. 05.08.2022 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 the following immovable properties bearing daybook no. 3340 vide registered mortgage deed dated 11.08.2014 at Exh A-9, Exh. A-11 and Exh. A-12 in list of documents Exh. 5

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All that piece and parcel of commercial shop on ground floor, bearing CTS No. 3310/A, admeasuring 818.50 sq.mtrs. situated at Sarda Lane, Ahmednagar City, Ahmednagar, which is owned by Mr. Rajeev Govardhan Bihani, which is bounded as under:

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East: Property owned by Shrinivas Devkaran Sarda West: Property owned by the branch of Zumbarlal Sarda

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South: Sarda Lane

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North: Property owned by New Trend Retail India Pvt. Ltd.

(OA No.441/2022)

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[AMBADAS]

All that piece and parcel of Plot No. 32 out of Survey No. 104/2B/2/3/4 admeasuring 157.70 sq.mtrs. situated at Mauje Kedgaon, Tq & Dist. Ahmednagar, which is owned by Mrs. Shailaja Nandkishor Sarda, which is bounded as under:

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East: Road West: Plot No. 29 South: Plot No. 31 North: Plot No. 33

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(D) The applicant Bank is entitled to sell the mortgaged immovable properties and hypothecated articles/goods etc., 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 copy 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:.11.09.2025 Debts Recovery Tribunal, Aurangabad

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(OA No.441/2022)

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Page 10 of 10

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[AMBADAS]

Punjab National Bank (Oriental Bank of Commerce) v. M/s Home Studio

Case brief

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Punjab National Bank (Oriental Bank of Commerce) v. M/s Home Studio

Case brief

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