Debts Recovery Tribunal allowed an application by HDFC Bank Limited to recover a loan amount of Rs. 58,54,593.89 along with interest and costs from the defaulting borrowers and guarantors who did not appear.
Order to jointly and severally pay Rs. 58,54,593.89 with interest and costs; issuance of Recovery Certificate; attachment of assets.
This page shows the compact analysis of this judgement. The full analysis — procedural history, issue-by-issue holdings with ratio and obiter, advocates, and paragraph-level evidence for every claim — is being added to the record in batches and will appear here when this judgement has been through it.
1
DRT, PATNA
OA 519 of 2024jJl
Debts Recovery Tribunal, Patna Karpuri Thakur Sadan, Aashiana Digha Road Patna-800025
Presiding Officer : Shri Kaushalendra Yadav
OA Case No. 519 of 2024
HDFC Bank Limited, branch office at lst Floor, Rajendra Ram Plaza, Exhibition Road, Patna 800 001
Vs.
. . . . . . . Defendants
Present:
For the Applicant Ms. Tanushri, Advocate For the Defendants None
Dated : 06.09.2025
JUDGMENT
2
OA 519 of 2024jJ I
DRT, PATNA
3 . Defendants approached the applicant bank for sanction of cash credit facility vide loan application dated 28.08.2015 and after due consideration, the applicant bank has sanctioned cash credit facility of Rs.15 Lakh on 08.10.2015 on various terms and conditions, as stipulated in the sanction letter, which were duly accepted by the defendants. To secure the loan facilities defendants have executed various loan and security documents and also created mortgage in favour of the applicant bank, details of which are given in OA.
Defendants again approached the applicant bank for an increase of the sanctioned limit of working capital and upon the request of the defendants, the applicant bank issued a sanction letter dated 29.09.2016 whereby the sanctioned limit was increased by Rs.6 Lakh and the total limit was now Rs.21 Lakh. Subsequently the defendants kept approaching the applicant bank over the years for increase in the sanctioned limit and the same was honoured by the bank through multiple sanction letters for the years, 2017, 2018, 2021 and 2022 respectively .
The defendants also approached the applicant bank in the year 2021 to availing a working capital term loan –GECL facility for a sum of Rs.9 Lakh and the same was sanctioned on 26.02.2021.
Since, the defendants failed and neglected in spite of several reminders to make payment of the dues recoverable to the bank, hence this application has been filed by the bank.
The total liability in the loan account is Rs.58,54,593.89 as on 30.06.2024 with pendente-lite and future interest contractual rate from 01.07.2024 till the realization.
p,,,iding o ficer Tribunal Debts Recovery PATNA
3
OA 519 of2024jJI
DRT, PATNA
| Sl.No | Description Documents Photocopies of |
1 Date of Execution |
IAmount I(in Lakh) |
ISignature 1Executants |
of | 1Ex./ Ann No. |
|---|---|---|---|---|---|---|
| Powerof Attorney | 16.07.2022 | Bank | ||||
Photocopy of PAS/Aadhar |
Defendants | |||||
| o | Defendants | |||||
| r | 15.00 | Bank accepted defendants |
and by |
|||
| 5 | Master facility agreement |
26.10.2015 | 15.00 | e | ||
| 6 | :uarantee | e | ||||
| 7 | e recording past transaction of creationofmortgage bydeliveryoftitle deeds |
19.09.2020 | e | |||
| 8 | Renewal cum enhancement sanction letter |
29.09.2016 16.12.2017 07.06.2018 |
a 27.00 |
- accepted 1def.no.1&2 |
by |
:: n:sMB A
4
OA 519 of2024jJ]
DRT, PATN A
| 22.04.2019 17.04.2021 26.02.2021 03.01.2022 |
37.00 4.00 2.00 37.00 9.00 37.00 4.00 2.00 9.00 57.00 9.00 |
|
|---|---|---|
| Loan recallnotice |
06.08.2024 | |
| of Statement accounts |
b7 Presidjyii Oficer Debts Rec9 v= =7 Tlibuna1 PATNA
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OA 519 of2024jJI
DRT, PATN A
bank has filed the case within the limitation period. As such, it is established that the present application has been filed well within the period of limitation.
The rule 12 (10) of the Debt Recovery Tribunal (Procedure) Rules, 1993, provides that if the defendant denies his liability to pay the claim made by the applicant, the tribunal may act upon the affidavit of the applicant who is acquainted with the facts of the case or who has on verification of the record sworn the affidavit in respect of the contents of the application and the documents as evidence.
The rule 12 (11) of the aforesaid Rules, provides that the provisions contained in section 4 of the Banker’s Books evidence that Act, 1891 (18 of 1891) shall apply to a certified copy of an entry in a Banker’s Books furnished along with application filed under sub section 1 of section 19 by the applicant.
Section 4 of Banker’s Books evidence Act, 1891 runs as underS.4. Mode of proof of entries in bankers’ books.–Subject to the provisions of this Act, a certifIed copy of any entry in a banker’s book shaH in all legal proceedings be received as prima facie evidence of the existence of such entry, and shall be admitted as evidence of the matters, transactions and accounts therein recorded in every case where, and to the same extent as, the original entry itself is now by law admissible, but not further or otherwise.
As such the certified true copies of the documents are admissible in evidence. The statement of account maintained in the ordinary course of business is not only admissible but shall be taken as the correct statement of account, more so since the entries in the statement of account have not been challenged.
VAq PresIding O$icer Debts Recovery Tribunal PATNA
6
OA 519 of2024jJI
DRT, PATNA
Defendants have neither denied the utilization of funds advanced by applicant bank nor have pointed out any specific error and discrepancy in the Statement of Account.
ORDER
In the result, the application of the applicant bank is allowed and debt is determined with costs against the defendants. The defendants are hereby jointly and severally, ordered to pay the applicant bank its debt amounting to Rs.58,54,593.89 along with pendente-lite and future interest @ 10% p.a. with compounded monthly rests from 22.08.2024 (The date of filing of this OA) till realization of the entire sum due and recoverable with costs.
It is made clear that any amount deposited by the defendants, be deducted in the claim amount, if not deducted.
Defendants are debarred from transferring, alienating encumbering or otherwise dealing with or disposing of the mortgaged or hypothecated or any other properties and assets without paying the aforesaid adjudicated dues to the applicant bank to secure the ends of justice. The mortgaged or hypothecated assets to secure the loan in question are hereby attached and shall be subject to the final order under the recovery proceedings in pursuance of the Recovery certificate issued under Section 19(22) of Recovery of Debts and Bankruptcy
7
OA 519 of 20M11
DRT, PATNA
Act 1993. The applicant may submit the certified copy of this Judgment and the Recovery Certificate before the Registrar/Sub- Registrar to endorse the charge over the secured assets.
Let a certificate of recovery be drawn up forthwith and put up for signatures in terms of provisions contained in Section 19(22) of the Act to be issued, on the basis of the order of the Tribunal to the Recovery Officer. The Recovery Officer shall realize the amount as per the certificate in the manner and mode prescribed under the Act from the defendants, by sale of mortgaged/ hypothecated assets as well as other personal movable/immovable assets of the defendants. The Recovery Officer will issue demand notice to the Certificate debtors only after the proof of compliance under rule 16 of DRT (Procedure) Rules 1993, is submitted. The copy of this judgment be uploaded in the website of the Tribunal.
Parties are directed to appear before the Recovery Officer, DRT, Patna on 16.10.2025. The order be communicated accordingly.
Judgment signed, sealed, dated and pronounced in the open court on 06th day of September, 2025.
Dictated &corrected by me.
[KaushalendraYadav] Presiding Offi9e£ DebtbB%R?verY Tribunel'Patna PATHA
FOR$! NO. 9 [See Regulation 24( 1 )]
DEBTS RECOVERY TRIBUNAL PA’rNA
:nd Floor. ( A B & F Wing) Karpuri Thakur Sudan. Kendrlya Kammchari Parisar (GPO A), Ashiana Digha Road, Patna-800025.
RECOVERY CERTIFICATE UNDER SECTIQN J 9(7) RF,\UnITIT$EC'TJON 1%(B) OF THE RECOVERY OF DEBTS &
BANKRUPT(-- A("I.p)PR .IS A.\IEN D_EL)Ut(}M TIME TO TIME.
RC No. 288/2025 IN Case No: OA/519/2024
In the Matter of (CH- 1 ) HDFC BANK LIMITED BRAN('H OI: I:iCI.: AT IST FLOUR, RAJENDR A RAM bI.A/A. FX I-t iRl’rION ROAD,
Applicant(s )
PATN A .BIHAR -{i
To
(CD- 1) M/S JAI MAA BHAGWA’FI TRADING Indra Nagar, Ward No- 09, Jogbani Haripur, Maheshwari, city /Town- Forbesgunj. Araria ,BIH AR -854328
(CD- 2) R AJFSH KUMAR SIN}{ /\ ( PROPRIETOR AND GL; ARA NT(.)R ) S/o- ( JI)F.NDl< A 1)it ASAD SIN11 A. INDRA hAGAR. WARD No- (19, JO(,BANI HARIPUR. MAHESHW. ARI GI1-1' ,’T-OW\’-FORBESGANJ. DISTR ICT- AR ARIA - 854328
Defbndant( s )
(CD- 3) SARASWATI DEVI (GUARANTOR AND
NI ( ) R'1-G AGO it )
\V/ C)- UPI iN 1)RA PRASAD SINH A. INDR'\ N AGAR \VAR D NO- (i9, J( )G 13 ANI HAR IDL JR. MAI IFSH \V/\ R I ( IT', TOWN’-l"OR B I'ISG AN J. DISTR I('T- .\R A R I A - 854328
Recovery CcrtiHcnte for Rs 585+593.89 1 Rupees Fit-t\aght I.akhs Fifty Four Thousands Five Hundred Ninety Three And Paise EigUy Nine OnI) I
In terms of final order dated 06'09/2025 passed by this Tribunal in the above mentioned case. it is ordered that the Applicant Certificate Holder Bank is entitled to recover a sum of Rs. 5854593.89 along with cost. expenses and interest from the 22 lib/2024 i,e. date of filing / with cft'ccti\ e dlllc tIt- the OA/519/2024 and future interest from order date till the date of reaIIsation in full. jointly or severally from the C-crtilicatc Dct)tors. hercinaftcr referred to as:-
| CD NiIIlle | Int. leIType/hhde |
Int. IRate |
1Date | Order Date |
Anrount(Rs.) | lbilit | RC lunt(Rs.) |
,emark |
|---|---|---|---|---|---|---|---|---|
| 4,'SJAIMAA HAGWATITRADING |
IPC)und MontIIly |
2 '08/2024 | }3.89i | ly IAnd |
||||
| 0111 Intcrcs Nlontlljy ) |
;854593.89 | |||||||
| SARAS\VATI I)PVI | 'ompound ntercst MonthIY ) |
In case of failure to pay the nforenrentioned adjudicated amount within 30 days, same shall be recovered from the sale of the mortgagccthypothecated assets as \’cII as trthcr lrcrstJnal lnovablc/ Inrmovablc assets of the certificate debtors.
Thc mortgagcd or hypothccatccl assets to secure the loan in qucstit in are hereby ilttachcd and shall be subject to the final order rlnder thc recovery proceedIng Ill prlrsuanct.' of the Rcct)vel)' certificate ISSued under Section 1 9(22) of RecoverY of Debts and Bankruptcy Act 1993
Parties arc directed to appear before ASHISH KUMAR . Rccovcry Otbccr. DEBTS RECOVERY TRIBUNAL PATN A on 16/10 2025
The Rccuvely C)fReer shall realize the amount as per this Certificate in the manner and mode prescribed under Sections 25 to 28 of the Recovery of Debts Due to Banks and Financial Institutions Act. 1993 (as amended from time to time) from the above named Certificate Debtors
This Ccrtincate has bccn issued under my signature and seal of thc Tribunal on this 1 0/09/2025
Ga
Registrar
Debts Recovery Tribunal
P4taa
PRESIDING OFFICER DEBTS RECOVERY TRIBUNAL PATNA
FORM NO. 10 [See Regulation 24(2)]
DEBTS RECOVERY TRIBUNAI. PA'1-NA
2nd Floor, ( A. B & F Wing) Karpuri Thakur Sadan, Kendriya Karamchari Parisar (GPOA), Ashiana Digha Road, Patna-800025.
SCHEDULE TO RECOVERY CERTIFICATE MEMO OF COSTS
RC No. 288/2025
IN
Case No: OA/519/2024
Applicant(s): HDFC BANK LIMI'FED
Versus
Defendant(s): M/S JAI M AA BHA(IWATI TRADING
| Sr.No | [ItemofCosts | r |
|---|---|---|
| Feeontheapplication | !61000 | |
| ProcessFees(Inc.PublicM I'•"''• |
rd | |
| 3 | .dvocateFees |
[15 |
| 4 | o vm |
in |
| iscellaneousCharges | @ | |
| 'otal Costs:Rs | f6 looo |
Place: PATNA
Date: 10/09/2025
\ /
PRESIDINFOFFICER DEBTS RECOVERY TRIBUNAL PATNA
2 issues framed by the court
Whether the applicant bank is entitled to recover the determined debt amount from the defaulting debtors.
Whether the Tribunal has jurisdiction to adjudicate upon the application.
1 provisions across 1 enactments
HDFC Bank Limited
M/s Jai Maa Bhagwati Trading
Rajesh Kumar Sinha
Saraswati Devi
Kaushalendra Yadav
As recorded by the court registry
Judgements on the same questions, provisions and authorities, from every court
