Allowed

Indian Bank v. M/s Dhananjay Kumar Poddar

DRT10 Jul 2025OA/524/2024

Case brief

AI extract

What is this about?

The Debt Recovery Tribunal Patna allowed an application under Section 19 of the RDB Act filed by Indian Bank against a proprietorship firm and its guarantors. The defendants, who were summoned, failed to appear. Consequently, the Tribunal proceeded ex-parte, found the defendants liable for the outstanding loan amount based on documentary evidence, and issued a recovery certificate.

What did the court decide?

Debt of Rs. 3,47,45,890/- with interest granted; Recovery Certificate issued.

Indian Bank versus M/s Dhananjay Kumar Poddar — Banking and Recovery | DRT (2025)

OA 524 of2024jJl

DRT, PATN A

Debts Recovery Tribunal, Patna

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Karpuri Thakur Sudan, Aashiana Digha Road Patna-800025

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Presiding Officer : Shri Kaushalendra Yadav

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OA Case No. 524 of 2024

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Indian Bank (erstwhile Allahabad Bank), SAM Vertical, District- Patna

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.Applicant

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M/s Dhananjay Kuln:ll' l>oddar through its proprietor Mr. Dhananjay Kumar Poddar, registered office at Village- Dumar, P.O.- Dumar, P.S.Falka, District- Katihar. Bihar 854104 (Proprietorship firm)

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Mr. Dhananjay Ku11rar Poddar, Son of Mr. Mahendra Poddar, resident of Village- Dtlln:Ir, P.O.- Dunr;Ir. P.S.- Falka, District- Katihar, Bihar 854104 (Proprietor cum guarantor), PAN No.AZNPP1249A

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Mr. Mahendra Pod(I tlr. Son of Krip Lal Poddar, resident of VillageDumar, P.O.- Dumar. P.S.- Falka, DistrictKatihar, Bihar 854104 (Guarantor cum mortgage!'). PAN No.i '- M EPP4886H

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Mrs. Sulekha Devi. \''il'c of Mr. MlIIlclrdra Poddar, son of Krip Lal Poddar, resident ol’ Village- Dumar, P.o.- Dumar, P.S.- Falka, DistrictKatihar, Bihar 854104 (Guarantor cum mortgager), PAN No.DTHPD8597K

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. . . . . . . Defendants

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Present:

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For the Applicant Shri Sachindra Kt:mar Tiwari, Advocate For the Defendants None

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Dated : 10.07.2025

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JUDGMEfq'i

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The Applicant bank has lnade this application u/s 19 of the Recovery of Debts and Bankruptcy Act. 1993 (here-ill-after referred to as Act) on 23.10.2024 against the del'L';lClal lts to recover its debts from defendants of Rs.3,47,45,890/- as on 09.1{).:024 along with 1lcndente-lite and future interest at the contractual rate frc>m 1{ i. i o.2024 with ct /sts till realization.

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The application has been frIed with tile contention that the applicant bank, is a body corporate. c iii-rics on the busiii_':;s and is competent to file the suit through various bra11chcs iilcluding the ap irlicant.

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Defendant no.1 is a projll'ietorship Hull of which defendant no.2 is the proprietor-cum-guarantor. Dc!-,',!d:lllt no. 3 & + :lrc guarantor cum mortgagers.

OA 524 of20241JI

DRT! PATN A

The applicant bank has tdI,len over the OCC limit of rs.150 Lakhs and GECL term loan of Rs.30.29 Lanl from HDFC Bank, along with the enhancement of the OCC to Rs.195 Lakh to hI/'; Dhananjay Kumar Poddar.

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The defendants have availed earlier credit facijity in the form of Cash Credit of Rs.150 Lakh and in form of Term Loan of Rs.30.29 Lakh from the HDFC Bank. Again on 04.09.2021 in order to carry on for working capital requirement, the defendant no. 1 through its proprietor approached the applicant bank for sanction/enhancement of credit facilities as Cash Credit of Rs.195/and Rs.30.29 Lakh as Term Loan for smooth running of business. The applicant bank considered the applicant c)f del’L'trdant no.2 and on 30.09.2021 sanctioned Credit facility in form of Cash Credit of Rs. 195/- Lakh and Term Loan of Rs.30.29 Lakh 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 loil11 and security documents and also created registered mortgage in favour ol' the applicant bank, details of which are given in OA.

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Again in order to nlcct thc working ciljlital requirement, the defendant no.1 through the defendant no.2 approached tile ilpplicalrt bank for sanction of credit facility of Rs.15 Lakh in the form of Term Loan (Ind-GECLS) on 22.06.2022, which was sanctioned by the applicant bank on 22.06.2022.

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Again in order to wholesale of food grtlills business, the defendant no.I through the defendant no.2 approached the applicant bank for credit facility of Rs.45 Lakh in form of Cash Credit (Adhoc Limit) on 06.07.2022, which was sanctioned by the applicant bank on 22.09.2(J22. To secure the loan facilities defendants have executed various loan and sectlriLy documents and also created registered mortgage in favour of the applicant bank, details of which are given in OA.

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After availing the sanctioned credit l’;lcilities, the defendants became irregular in repayment of thcir dues as per agrL’c.I terms IInd failed to adhere to the financial norms of the bank and avoiding the repayment of its dues to the bank, in spite of several assuralrccs given by it to the applicant bank resulting in the account turning as NPA on 25.03.2023 .

/dq

OA 524 of 20241JI

DRT, PATNA

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 iII the loan account is Rs.3,47,45,890/- as on 09.10.2024 with pendente-lite and future interest contractual rate from 10.10.2024 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 20.11.2024, 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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Despite the service of registered summons/notices, the defendants have not appeared before this Tribtllral to contest tllc case. I'he sufficient time has been given to the defendants to dcI'cnd their case. but they failed to appear and to file WS, hence, the Tribunal has passed an order to proceed ex-parte against the defendants on 01.04.2025 .

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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 Manoj Kumar, Chief Manager, SAM V, Patel Nilgar. Patna of the applicant bank. The details of

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documents are as follows :

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SI.No	]Descriptionof Documents Photocopies	FDate of Execution 1	1Allrount 1(III 1 Lakh)	l-Signature IExecutants	of	1Ex./ Ann No.
	Notesheet	10.10.2024	:a
	Loanapplication	br09.2021	FiTt) 30.29	mefm
3	Sanction letter	3d.d9-.2021	TUi:t 30.29	na1l: accepted defendants	Fa by
4	Acknowledgement ofsanction	][09.2021		Def.no.I&2		4
	r [	ib.Ci9:2m	195.00	Def.no.I&2
	e agreement	3ii6cm	3ala	Def.no.1&2
7	r Hypothecation movables a'I of	£ioJ.im	195:00 30.29	Def.no.1&2		7

OA 524 of 2024jJl

DRT, PATNA

8	Agreement :uarantee	of	: 30.09,2021	195.00	1Def.no.2to4		18
9	M mortgagedeed	io		225.29			9
10	)		8106:2022	nJC
11	Sanctio-nletter		ifoi.3022	Bb(	a a accepted def.no.1&2	by
12	Single/jointDP	Note	:3.06.2022	e
13	Term agreement	loan	23.06.2022	e
14	Agreement Hypothecatio movables	of n of	BRc2022	b.C)(e
15	Application adhoc limit	for	b&d7.2022	he			15
16	Sanctionletter		Lodir2022	b.(J(}	TaE		16
17	Singje/iointDP	Note	21.09.2022	Zbie			17
18	r hypothecation movables	i of	2Faq.2022	b5.0( 45.00 30.29 15.00	neIm		18
18	Agreement for cashcredit	open	al9.2022	b.i)(ie			19
20	Agreement :uarantee	of	d9.2022	i5.DUe			20
21	Photocopy mortgagedeed	of	22.09.2022				21
22	e		27.03.2023		Bank		22
23	Statement accounts	of			Bank		23

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Heard arguments and pcrused the case recl)rd.

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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 Cl:!iI11 of the bank has been proved by documentary evidence. All the transactions \vere 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 intercst /compound interest has been charged at such rates, and cil})ilalized at such 1Icl'iodical rests as are permitted by and do not run counter to the directives of Reserve Bank of India.

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It is further submitted b\’ Id. Counsel ('I' ilpplicant bank that there is no stay granted by any Higher C'(>klrt. in respect L) I- tIle proceedings of the present OA and requested to issue reco'cry certificate. iIS claimed for, in OA.

OA 524 of2024jJI

DRT, PATNA

It has been established tllat 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 u-ell 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 25.03.2023, whereas the present application has been filed on 23.10.2024. 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 \ ithill the period of limitation.

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Shri Manoj Kumar, Chief Manager, SAM V, Patel Nagar, Patna of the applicant bank has filed the affidavit in support of contents of application and the documents as evidence tl11cl proved on oatl1 {Irc pleadings and documents of the applicant bank as stated above.

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14.' 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 applicilllt. the tribunal may act upon the affidavit of tIle a!)plicant who is ucquainted with the facts of the case or who has tIn verificatit)11 of the record sworn the affidavit in respect ol' the contents c)I' 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 ti-,c Banker’s Books evidence that Act, 1891 ( 18 o J' 1891) shall iIi)piy 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.

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Section 4 of Banker’s Books evidelrce Act, 1891 runs as underS.4. Mode of proof tIf- entries in bUIrkers’ books.–Subject to the provisions of tllis Acl, Ll certifIed copy c).+' ,IIly entry in a banker’s book shall in all legal prc>cecclillgs be receive, i tIS prima yttcie evidence of the existence of sucll t’IIII-)'. and shall IIe ,I(illlitted tls evidence of the matters, trcmsacliolls ulrci accounts ttlcreilr recorded in every case where, and to tIle .';alIIe extent as, the OI'igillut entry itself is now by law admissible, but Ilt)1 fIIrt tIer or otherwise.

OA 524 of 2024jJl

DRT, PATN A

As such the certiHe(I true copies of tIIL 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 entrics in the stdlcmc11t 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 :tlltl 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 a\’ailed by the borrower under the agreed terms and conditions for repayment with interest. TIle billance amount till 09.10.2024 has been proved to be Rs.3.47,45.890/-. only b)’ way of statement of accounts. There is nothing to prove the amount more than that disclosed in the aforementioned statement. As such this amounl is recoverable till full and final realization of the claim.

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In my view, facts ol' 1l16 case stand proved by evidence of the applicant bank. Accordingly, the applicant bank is entitled to recover from defendants jointly and severally of Rs.3.47.45,890/- alollg with pendente-lite and future interest @ 8.90% p.a. with compounded molll irly rests from 23.10.2024 (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 applicalrt bank is allowed and debt is determined with costs against the defendants. ’FIle defendants are hereby jointly and severally, ordered to pay the applicaIlt bank its debt amounting to Rs.3,47,45,890/- along witlr pcndclrte-lite and itltuirc interest @ 8.90% p.a. with

cLa?

OA 524 of2024jJl

DRT, PATNA

compounded monthly rests frc)in 23.10.2024 (’i-llc date of filing of this OA) till realization of the entire suln dir: a lid recoverable \'ith costs.

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It is made clear that any amount deposited by the defendants, be deducted in the claim amoulrt. if nt}L deducted.

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Defendants are debarrcLi frc>m transfCITilrg. alienating encumbering or otherwise dealing with or disposing of the morLgaged or hypothecated or any other properties and assets without paying the ;!foresaid adjudicated dues to the applicant bank to secure the e11d-i of justice. ’l'llc mortgage(i or hypothecated assets to secure the loan in question are hereb} :tttached 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 Indy subllrit the certilicd copy of this Judgment and the Recovery Certificate before tlle Registrar/Sub- Rcgistrar to endorse the charge over the secured assets.

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Let a certificate of rcco'ery be dra\ 11 tip forthwith and put up for signatures in terms ofprovisioils contained in Scction 19(22) of the Act to be issued, on the basis of the order of the TribulrLll 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 mortgage(i/ hypothecated assets as n'ell as c)tIter personal lllt)'ilble/immovable assets of the defendants. The Recovery C)llicer will issue demand notice to the Certificate debtors only after the proof of compliance under rule 16 of DRT (Procedure) Rules 1993, is submitted. l’he copy of this judglncnt be uploaded in the website of the Tribunal.

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Parties are directed to appear before Ihc Recovery Officer, DRT, Patna on 20,08.2025. The order be conllnunicated accordingly.

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Judgment signed. sealed, dated and jlrt}11(lunced in the open court on 10th day of July, 2025.

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Dictated &corrected by me.

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I l<aushalendraYadav] Presiding Officer I)cbts Recovery Tribunal, Patna

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FQRM NO. 9

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DEBTS RECOVERY TRIBUN AL PATNA

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[See Regulation 24( 1 )]

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2nd Floor, ( A. B & F Wing) KarT>uri Thakur Sudan. Kendriya Karamchari Parisar (GPOA), Ashian= Dighu Road. Patna-800025.

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RECO\’ERV CERTIFICATE UNDER SECTION 19(!) READ WITH SECTION 19(a) OF THE RECOVERY OF DEBTS & BANKRUPTCY /\fT, 1993t ,\S AMENDED FROM TIME TO TIME,

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RC No. 207/2025

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IN Case No: OA/524/2024

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In the Xlatter of:

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(CH- 1 ) INDIAN BANK SAM \’ERTIC AL PA’rNA ,BIHAR -o

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Applicant( s )

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'el'sLIS ---To

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(CD- 1) M/S DHANANJ AY KUMAR PODDAR

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Through its Proprietor Mr. Dhananjay Kumar Poddar. registered office at village Dumar Po- Dumar, PS - Falka Kalihar .BIHAR -85+ 1 04

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(CD- 2) MR. DHANANJAY KUMAR PODDAR SON OF MR. MAHENDRA PODDAR RESIDENT OF VILLAGE- DUMAIt, PO- DUMAR. P.S.- FALKA DISTRICT. KATIH AR, BIHAR- 854 IOI (PROPRIETOR CU M GUARANTOR )

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Defendant(s)

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(CD- 3) MR. MAHENDR A PQDDAR SON OF KRIP LAL PODDAR RESIDENT OF VILLAGEDUMAR. PO- DUMAR. P.S.- FALKA, DISTRICTKATIHAR, BIHAR- 854104, (GUARANTOR CUM MORTGAGOR)

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(CD- 4) MRS. SULEKH A DE'I

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WIFE OF MR. N.IAl-IENDR A PODDAR SQN OF KRIP LAL PODDAR RESIDENT OF VILLAGE- DUNIAR. PODUMAR. P.S.- FALKA. DISTRICT- KATIHAR, BIAHR

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854 1 04 (GtJARANTOR CUM NIORTGAGOR )

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RccQ\cry Ccrtincate fDr Rs 34745890.00 1 Rupees Three Crore Forty Seven Lakhs Forty Five Thorlsands Ejght Hundred Nina)nULl

¶101

In terms of final order dated 10/07/2025 passed by this Tribunal in the above mentioned case. it is ordered that the Applicant L-ertiHcllte Holder Bank is entitled to recover a sum of Rs. 34745890.00 along with cost, expenses and interest from the 23/10/2024 i.e. date of tiling / with effective date of the OA, 524/2024 and future interest from order date till the date of realisation in full. jointly or severally from the Certificate Debtors, hereinafter referred to as:-

¶102

CDName	Int.Type/Mode	Int. Rate	Effective Date	Order Date	Amount(Rs.)	Liability Type	on
M/SDHANANJAY KUMARPC)DDAR		9()	1o/2024	11o/07/2025	17458c)o.00	lointly And ly		1745890.OO
4R.D11ANANJA<br>KLINIAR PODDAR	In teres Nlonthly)		10/2024	tlo/07/'2025
MR. MAHENDRA DDAR	Id	.90	lo/2024	:i10/07/2025	745890.00	FointlyAnd vcrally
		.90	:i23/10/2024 ]	10/07/2025	745890.00	[ointly And ;everally	’lltct-cst As Order

¶103

In case of failtlre to pay the afuremcntioned adjudicated ilmount within 30 days. same shall be recovered from the sale of the mortgaged/hypothecated assets as well as other personal movable/ lllrnrovable assets of the certificate debtors.

¶104

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 1 993

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Parties are directed to appear before ASHISH KUMAR , Recu\’ew Officer, DEBTS RECOVERY TRIBUNAL PATNA on 20/08/2025.

¶106

The Recovery c)nicer 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 Certiticate Debtors.

¶107

This Certificate has been issued under my signature and seal of the Tribuna] on this 1 /07/2025

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a Debts {Eg:::saL{dbuBa Pataa

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k= DEBTS REC'OVERY TRIBUNAL PATNA

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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

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RC No. 207/2025 IN

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Case No: OA/524/2024

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Applicant(s): INDIAN BANK Versus

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Defendant(s): M/S DHANANJAY KUMAR PODDAR

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Item ofCosts	Amount inRs
Fcc on the application	m5
r	Dc
AdvocateFees	W
e	hi
MiscellaneousCharges
TotalCosts:Rs	150000

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Placc: PATNA

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Date: 11/07/2025

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PRES rG OFFICER DEBTS RECOVERY TRIBUNAL PATNA

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Note: Strike out whichever is not applicable

Indian Bank v. M/s Dhananjay Kumar Poddar

Case brief

What is this about?

What did the court decide?

Indian Bank v. M/s Dhananjay Kumar Poddar

Case brief

What is this about?

What did the court decide?

What the court decided

A compact analysis

Issues for consideration

Statutes considered

Parties & counsel

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