Allowed

Punjab National Bank v. M/s Patanjali Chikitsalay

DRT25 Jul 2025OA/522/2022

Case brief

AI extract

What is this about?

The Debts Recovery Tribunal allowed the applicant bank's application to recover dues. Determining the debt to be Rs. 40,95,839.29 with interest, the Tribunal passed a recovery certificate authorizing the Recovery Officer to realize the amount through the sale of mortgaged and other assets of the defendants.

What did the court decide?

Recovery certificate issued for Rs. 40,95,839.29 with interest and costs to be realized from the sale of mortgaged and other assets of the defendants.

Punjab National Bank versus M/s Patanjali Chikitsalay — Banking and Recovery | DRT (2025)

OA 522 of 2022jJl

DRT, PATN A

Debts Recovery Tribunal, Patna

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Karpuri Thakur Sadan, Aashiana Digha Road Patna-800025

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Presiding Officer : Shri Kaushalendra Yadav

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OA Case No. 522 of 2022

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Punjab National Bank (e-UBI), Belwa Branch, Belwa, P.O.- Adapur, DistrictEast Champaran- 845301

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M/s Patanjali Chikitsalay, through its proprietor Shri Snehashish Kumar Gupta, Registered address- Bank Road, Near Oil Depot, Raxaul, P.O. & P.S.- Raxaul, District- East Champaran 854305 (Firm)

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Shri Snehashish Kumar Gupta, Son of Shri Suresh Kumar @ Suresh Prasad Gupta, Bank Road, Near Oil Depot, Raxaul, P.O. & P.S.Raxaul, District- East Champaran 854305, PAN No.ATSPG1040K (Proprietor)

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Shri Suresh Kumar @ Suresh Prasad, Son of Late Sitaram Sah, Bank Road, Near Oil Depot, Raxaul, P.O. & P.S.- Raxaul, District- East Champaran 854305, PAN No.BOIPK8093Q

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Shiv Shankar Prasad, son of Late Sitaram Sah, resident of Bank Road, Near Oil Depot, Raxaul, P.o. & P.S.- Raxaul, District- East Champaran 854305, PAN No. AFEPP8393J

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Present:

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For the Applicant For the Defendant

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Dr. Binod Bihari Sinha, Advocate Shri Brajesh Kumar Jha, Advocate

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Dated:25.07.2025

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JUDGMENT

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The Applicant bank has made this application u/s 19 of the Recovery of Debts and Bankruptcy Act, 1993 (here-in-after referred to as Act) on 23.09.2022 against the defendants to recover its debts from defendants of Rs.40,95,839.29 as on 31.08.2022 along with pendente-lite and future interest at the contractual rate from 01.09.2022 with costs till realization.

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The application has been filed with the contention that the applicant bank, is a body corporate, carries on the business and is competent to file the suit through various branches including the applicant.

OA 522 of2022jJI

DRT1 PATNA

Defendant no.1 is a firm of which defendant no.2 is the proprietor. Defendant no. 3 & 4 are the guarantors of the loan facilities granted to the borrower. Defendants approached the bank for enhancement of cash credit facility upto Rs.35.00 Lakh from Rs.15.00 Lakh vide loan application dated 20.12.2011 and after due consideration, the bank has enhanced the Cash Credit limit upto Rs.32 Lakh vide sanction letter dated 21.02.2012 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/extended mortgage in favour of the applicant bank, details of which are given in OA

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After availing the sanctioned credit facilities, the defendants became irregular in repayment of their dues as per agreed terms and failed to adhere to the financial norms of the bank and avoiding the repayment of its dues to the bank, in spite of several assurances given by it to the applicant bank resulting in the account turning as NPA on 01.05.2021.

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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.

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The total liability in the loan account is Rs.40,95,839.29 as on 31.08.2022 with pendente-lite and future interest contractual rate from 01.09.2022 till the realization.

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This Tribunal issued summons/notices copies of application & paper book to the defendants by registered/speed post on 10.11.2022, requiring them to show-cause within 30 days of the service U/s 19 (4) of the Act & Rule of the DRT [Procedure] Rules, 1993.

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In response to the notice the defendants have appeared but have failed to file written statement within the statutory period hence vide order dated 23.11.2023, opportunity to file the same was closed.

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OA 522 of2022jJ]

DRT, PATN A

To prove its case, the applicant Bank has referred various certified photocopies of documents before this Tribunal. The applicant bank has also given evidence on affidavit by way of affidavit by Shri Shailendra Kumar, Chief Manager of the applicant bank. The details of documents are as follows:

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FDesc	ription of Documents Photocopies	1 Date of IExecution 1	IAmount 1(in 1Lakh)	I Signature 1Executa I	of nts	1Ex./ IAnn. INo.
	Gazettenotification	04.03.2020		Bank
	Loan application	20.12.2011	35.00	Def.no.1&2
	Sanctionletter	21.02.2012	32.00	Bank accepted def.no.1&2	and by
4	Hypothecation agreement	22.02.2012		Def.no.I&2		4
5	> debs & Moveable assets		32.00	Def.no.1&2		5
6	r :oods		32.00	Def.no.1&2		6
	Consentclause			Def.no.I&2
	Letter of Lien	21.02.2012		Def.no.1&2
	o	21.02.2012 05.01.2015	32.00	Def.no.1&2
	P			Def.no.1&2
	e		32.00	Def.no.1&2
	r		32.00	Def.no.2to4
	l deed
I	e	a
r		a
nSa
8.	Heard arguments and	perused the	case rec	ord. During	the	course of

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arguments, there is no any specific denial on behalf of the defendants with regards to the sanction of loan facilities and its utilization and further there is no any specific denial with regards to the execution of loan and security documents in favour of the applicant bank.

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Ld. Counsel of applicant bank submitted that the defendants have taken the loan and utilized the same and also executed the various loan documents to secure the loan. Further, submitted that the claim of the bank has been proved by documentary evidence. All the transactions were entered in the ledger of the loan accounts in the name of the defendant duly maintained by the applicant bank in its usual course of business. The interest /compound interest has been charged at such rates, and capitalized at such periodical rests as are permitted by and do not run counter to the directives of Reserve Bank of India.

OA 522 of 2022jJI

DRT, PATNA

It is further submitted by Id. Counsel of applicant bank that there is no stay granted by any Higher Court, in respect of the proceedings of the present OA and requested to issue recovery certificate, as claimed for, in OA.

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It has been established that defendants are living and carrying on their business' in the state of Bihar. Cause of action also arose in the State of Bihar. The said claim on the date of filing of application exceeded Rs.20 laos. The applicant bank is functioning within the jurisdiction of this Tribunal. Therefore, this Tribunal has territorial as well as pecuniary jurisdiction to adjudicate upon the present application.

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On the issue of Limitation, to prove it, the applicant bank has submitted that the applicant bank has declared the account as NPA on 01.05.2021, whereas the present application has been filed on 23.09.2022. Even, it is counted for the purpose of Limitation, then it is established that the applicant 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.

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Shri Shailendra Kumar, Chief Manager of the applicant bank has filed the affidavit in support of contents of application and the documents as evidence and proved on oath the pleadings and documents of the applicant bank as stated above.

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Section 19(3) of the Recovery of Debts and Bankruptcy Act, 1993 provides that the application u/s S.19 (1) shall be accompanied with true copies of all the documents relied on in support of the claim.

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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.

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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

OA 522 of 2022jJl

DRT, PATNA

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.

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As such the certified true copies of the documents are admissible in

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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.

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On perusal of the application, documents, affidavit and on consideration of the arguments, it is proved that the defendants have applied for loan and the bank had sanctioned the loan and to secure the loan and for repayment of loan amount with interests etc., the defendants have executed various loan documents, as stated in the application and proved by aforesaid evidence. 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.

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The evidence discussed above goes to establish that the amount of loan as mentioned in the O. A., was availed by the borrower under the agreed terms and conditions for repayment with interest. The balance amount till 31.08.2022 has been proved to be Rs.40,95,839.29 only by way of statement of accounts. There is nothing to prove the amount more than that disclosed in the aforementioned statement. As such this amount is recoverable till fUll and final realization of the claim.

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In my view, facts of the case stand proved by evidence of the applicant bank. Accordingly, the applicant bank is entitled to recover from defendants jointly and severally of Rs.40,95,839.29 along with pendente-lite and fbture interest @ 10% p.a. simple from 23.09.2022 (The date of filing of this OA) till realization. So the final order may be passed accordingly, to meet the ends of justice.

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ORDER

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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.40,95,839.29 along with pendente-lite and future r/?interest @ 10% p.a. simple

OA 522 of2022jJl

DRT, PATN A

from 23.09.2022 (The date of filing of this OA) till realization of the entire sum due and recoverable with costs.

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It is made clear that any amount deposited by the defendants, be deducted in the claim amount, if not deducted.

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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 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.

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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.

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Parties are directed to appear before the Recovery Officer, DRT, Patna on 03.09.2025. The order be communicated accordingly.

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Judgment signed, sealed, dated and pronounced in the open court on 25th day ofJuly9 2025' S+ d / Dictated &corrected by me. 4 + /AP v 1LI•AgABB•p J) !\gP [KaushalendraYadav] Presiding Officer Debts Recovery Tribunal, Patna

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EQRELNU2 [See Regulation 24( 1 )]

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DEBTS RECOVERY TRIBUNAL PATNA

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2nd Floor, (A. B & F Wing) Karl)uri Thakur Sadan, Kendriya Karamchari Parisar (GPOA), Ashiana Digha Road Patna-800025.

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RECOVERY CERTIFICATE UNDER SECTION 19(2) READ WITH SECTION 19(B) OF THE RECOVERY OF DEBTS & BANKRUPTCY

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ACT, 1993, AS AMENDED FROM TIME TO TIME.

RC No. 253/2025

Case No: OA/522/2022

In the Matter of (CH- 1) PUNJAB NATIONAL BANK BELWA BRANCH BELWA. BELWA, PO- ADAPUIt, PURBA CHAMPARAN ,BIHAR -845301

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Applicant(s)

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(CD- 1) M/S PATANJALI CHIKITSALAY through its proprietor shri Snehashish kumar Gupta, Registered Address- Bank Road, Near Oil Depot, Raxaul, P.O. and P.S.- Raxaul. Purba ('hamparalr ,BIHAR -854305

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(CD- 2) SHRI SNEHASHISH KUMAR GUPTA

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( PROPRIETOR) SON OF SHRI SURESH KUMAR ALIAS SURESH PRASAD GUPTA BANK ROAD, NEAR OIL DEPOT, RAXAUL. P.0. AND P.S. RAXAUL, DISTRICT- EAST CHAMAPARAN. 854305

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Defendant(s)

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(CD- 3) SURESH KUMAR ALIAS SURESH PRASAD (GUARANTOR) SON OF LATE SITARAM SAH, BANK ROAD, NEAR OIL DEPOT, I{AXAUL. P.0. AND P.S. RAXAUL, DISTRICTEAST CHAMAPARAN 854305

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(CD- 4) SHIV SHANKAR PRASAD (GUARANTOR) SON OF LATE SITARAM SAH, RESIDENT AT BANK ROAD. NEAR OIL DEPOT. RAXAUL. P.0. AND P.S.-

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RAXAUL, DISTRICT- EAST CHAMPARAN 854305

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Recovery GcrtiDcatc for Rs 4095839.29 1 Rupees Forty Lakhs Ninety Five ThQusBnds Ejght Hundred Thirty Nilit And Pais£ Tw£nly Nine Only_

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In terms of final order dated 25/07/2025 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. 4095839.29 along with cost, expenses and interest from the 23/09/2022 i.e. date of filing / with effective date of the OA/522/2022 and future interest from order date till the date of realisation in full jointly or severally from the Certificate Debtors, hereinafter referred to as:-

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In case of failure to pay the aforementioned adjudicated amount within 30 days, same shall be recovered from the sale of the mortgaged/hypothecated assets as well as other personal movable/ Immovable assets of the certificate debtors.

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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 proceeding in pursuance of the Recovery certificate issued under Section 19(22) of Recovery of Debts and Bankruptcy Act 1993

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Parties are directed to appear before ASHISH KUMAR , Recovery Of}iccr, DEBTS RECOVERY TRIBUNAL PATNA on 03/09/2025

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The Recovery Officer 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

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This Certificate has been issued under my signature and seal of the Tribunal on this 25/07/2025

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PRESIDING OFFICER DEBTS RECOVERY TRIBUNALPATNA

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DAb {:golvsy4Abw<br>PaUla

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FORM NO. 10

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[See Regulation 24(2)]

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DEBTS RECOVERY TRIBUNAL PATNA

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2nd Floor, (A. B & F Wing) Karpuri Thakur Sadan, Kendriya Karamchari Parisar (GPOA), Ashiana Digha Road, Patna-800025.

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SCHEDULE TO RECOVERY CERTIFICATE MEMO OF COSTS

RC No. 253/2025

Case No: OA/522/2022

Applicant(s): PUNJAB NATIONAL BANK Versus

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Defendant(s): M/S PATANJALI CHIKITSALAY

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Sr.No	e	lount inRs.
	'eeon theapplication	L3000
	r	ro
3	(	[0
	r	[0
5	s	ro
	a	L3000

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Place: PATNA

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Date: 25/07/2025

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PRESIDI&x{fFFICER DEBTS RECOVERY TRIBUNAL PATNA

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Note: Strike out whichever is not applicable

Punjab National Bank v. M/s Patanjali Chikitsalay

Case brief

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Punjab National Bank v. M/s Patanjali Chikitsalay

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