Allowed

Bank of Baroda v. Rajesab Agasimani

DRT25 Jun 2025OA/792/2022

Case brief

AI extract

What is this about?

The DRT allowed the applicant bank's petition for a recovery certificate against three respondents. The court reduced the claim by penal interest and ordered repayment of the principal with future interest at 9% per annum from the date of filing, alongside a charge on pledged goods.

What did the court decide?

Recovery Certificate, payment of Rs. 55,20,042/- with future interest at 9% per annum, permission to sell pledged property.

Bank of Baroda versus Rajesab Agasimani — Execution and Attachment | DRT (2025)

¶1

Presented on: 20.12.2019 Registered on: 20.08.2022 Decided on: 25.06.2025 Duration: Y M D 05 06 05

¶2

IN THE DEBTS RECOVERY TRIBUNAL AT PUNE (Before Shri Dilip G. Murumkar, Presiding Officer) ORIGINAL APPLICATION No.792/2022.

¶3

Bank of Baroda ,

¶4

A Body corporate constituted by Banking Companies (Acquisition and Transfer of Undertakings) Act, 1970 having its Head Office at Baroda House, Mandavi, Baroda – 390 006, Gujrat and one of its branch at Bank of Baroda, High School Road, Vakhar Bhag, Sangli, Maharashtra 416 416.

¶5

… Applicant

¶6

Versus

¶7

1. Mr. Rajesab Dandesab Agasimani R/at – Post Gabasavalgi, Tal.-Sindgi, District Bijapur.

¶8

2. Mr. Pradumna Balgonda Patil Prop. – Abhuday Cold Storage, Address-Gat No.105/1B, Tasgaon, Manerajuri Road, Matkunki, Taluka Tasgaon, District Sangli.

¶9

3. CNX Corporation Limited Add -301, 3^rd Floor, Embassy Center, Nariman Point, Mumbai-400 021 AND

¶10

12-A, Haji Kasam Building, 3^rd Floor, 66 Tamarind Lane, Fort, Mumbai, Maharashtra - 400 001.

… Defendants

(OA No.792/2022)

Page 1 of 6

[ANIL]

APPEARANCES

For the Applicant

For the Defendants

Mrs. Pooja Mali i/b M.V.Kini and Co. Advocates & Solicitors. Ex-parte.

¶19

TOTAL CLAIM AMOUNT –Rs.55,72,140.88Ps.

¶20

JUDGMENT

¶21

(Delivered on 25^th June, 2025)

¶22

The applicant Bank has filed the present application for recovery certificate of Rs.55,72,140.88Ps as on 30.09.2019 alongwith with future interest thereon @09.30% till repayment/realization of entire dues/debts from the defendants.

¶23

Brief facts of the application are as under:

¶24

Defendant No.1 is a borrower. Defendant No.2 entered in Tripartite Agreement dated 21.02.2018 with the Applicant Bank and Defendant No.3 and thereby agreed to abide by certain obligations in respect of Demand Loan/Short Term Loan Facility extended to Defendant No.1 on the basis of pledged/hypothecated stock of goods in the custody of Defendant No.2. Defendant No.3 in addition to Tripartite Agreement dated 21.02.2018 has entered into collateral Management Agreement dated 31.12.2016 with Applicant Bank in respect of Loan Facility extended to Defendant No.1.

¶25

Defendant No.1 approached and requested the Applicant Bank for availing Demand Loan/Short Term Loan Facility of

(OA No.792/2022)

Page 2 of 6

[ANIL]

Rs.49,00,000/- to facilitate the Farmer of Safe Keep his Agriculture Produce [ i.e. TGURMERIC - CHORA] and to have finance over the same against Pledge of Warehouse / Storage Receipt of the Agriculture Produce. The Applicant Bank considered the request and sanctioned following credit facility vide Sanction Letter reference Number BOB/SANGLI/AGRI/ADV/2018-19 dated 25.05.2018, on certain terms and conditions.

¶30

Nature of Loan	Sanction Limit	Rate of Interest	Repayment period
Demand	Rs.49,00,000/-	One Year MCLR +1	To be done
Loan/ Short		(At present MCLR is	within 12
Term Loan		8.40% & Strategic Premium is 0.25%0.	months.

¶31

In order to secure the Demand Loan/Short Term Loan of Rs.49,00,000/-, defendant No.1 executed necessary loan transaction and security documents, on 25.05.2018 in favour of the Applicant Bank and the same is secured by pledge of Agricultural Produce i.e. Turmeric, stocks stored in the warehouse, as mentioned below.

¶32

Commodity Turmeric - Chora	No. of Units 834 Katta	Net Weight 37.53 MT	Grade Average

¶33

Applicant Bank further submits that it is agreed between the Applicant Bank, Defendant Nos.1 to 3 that Defendant No.3 will issue Storage Receipt for the pledged goods of Defendant No.1 and stored in the Warehouse Godown/Cold Storage of Defendant No.2.

(OA No.792/2022)

Page 3 of 6

[ANIL]

It is contended that the applicant bank come to knowledge that defendant Nos.1 to 3 removed the pledged goods from Godowns/ Warehouse/Cold Storages without consent of the applicant bank. Applicant bank filed FIR on 01.07.2019 for Criminal Breach of Trust and cheating at Sangli Police Station, against the defendants.

¶38

It is contended that Defendant Nos.1 to 3 neglected and defaulted in repayment of loan installments as well as principal sum under Demand Loan / Short Term Loan Account No.04410600002575 despite of various reminders to defendant No.1. Hence, the said loan account become Non-Performing Asset on 31.03.2019, as per Reserve Bank of India norms.

¶39

Thereafter, the applicant Bank 26.11.2019 through its advocate issued Loan Recall Notice to the defendants calling upon to pay the outstanding amounts. Despite service of Notice, defendants failed and neglected to comply with the demand in the said Notice.

¶40

Hence, this application is filed.

¶41

Defendants failed to appear despite service of summons. Hence, the application proceeded ex parte against them vide Order dated 06.05.2025 passed below the Application (Exhibit-01).

¶42

The applicant Bank filed Claim Affidavit of evidence (Exhibit-6) of Mr. Bhrigu Talwar, Authorized Signatory which supports the case of the applicant elucidated in the application.

(OA No.792/2022)

Page 4 of 6

[ANIL]

The applicant Bank has produced in evidence the original loan documents at Annexs.- 1 to 22 which corroborate the case of the applicant Bank.

¶47

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

¶48

Since the defendants failed to appear and contest the application, I find no reason to disbelieve the evidence of the Applicant Bank. Therefore, the Applicant Bank is entitled for reliefs as claimed.

¶49

The Applicant Bank has claimed Penal Interest of Rs.52,099.23Ps/which cannot be granted and the same is required to be deducted from the total claim amount. Therefore, the total claim amount of Rs.55,72,140.88Ps is reduced to Rs.55,20,042/-.

¶50

10 Considering the facts of the present case, I am of the opinion that if future interest is granted @9% per annum (simple) for all the facilities, it would be just and reasonable.

¶51

11 Hence, I pass the following order: -

¶52

ORDER

¶53

(A) Original Application No.792/2022 is allowed with costs.

¶54

(B) Defendant Nos.1 to 3 either jointly or severally shall pay to the Applicant Bank Rs.55,20,042/- (Rupees Fifty Five Lakhs Twenty Thousand Fourty Two only) towards Demand Loan/ Short Term Loan A/c No. 04410600002575 with future interest @9% per annum (simple) from the date of filing of the Original Application i.e.20.12.2019 till payment/ realization of the amount mentioned in this operative order.

(OA No.792/2022)

Page 5 of 6

[ANIL]