Allowed

State Bank of India v. M/S Aakash Fashion and Decors

DRT25 Aug 2025TA/201/2022

Case brief

AI extract

What is this about?

This is a debt recovery application filed by the State Bank of India against a defaulting borrower who failed to repay a cash credit facility. The defendant did not appear. The Tribunal found the bank's evidence unchallenged and ex-parte in favour of the applicant, allowing the application and directing recovery.

What did the court decide?

Directing the defendant to pay Rs. 22,88,104/- with cost and interest within 30 days along with issuance of a recovery certificate.

State Bank of India versus M/S Aakash Fashion and… — Contract and Commercial Disputes | DRT (2025)

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Beforc SUSHIL^{KUMAR RASTOGI,Presiding Officer} Debts Recovery^{Tribunal-Il,Delhi}

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TANOl2Otl2022

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SIATE^{BANKOF INDIAVS M/S AAKASH FASHIONAND} DECORS

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Reserued on^l24.07.2025 Pronounced on^{: 25.O8.2025}

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State Bank^{of India}

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-Applicant bank

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Vs. M/s Aakash^{Fashionand Decors- Defendant}

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Present:^{Mr. Sunil Sehrawat,Counselfor applicant} bank'

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Defendant^{is expartedated 13'09'2018'}

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FINAL ORDER

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This original^{application has been filed by the} applicant bank,^{on 29.03.2017through Sh' Kamlesh} Kumar Jha,^{Branch Manager of the applicantbank'} under Section^{19 of the RDB Act, 1993 against the sole} defendant^{for recovery of a sum of Rs'22'88'104/-} together with^{cost,charges and pendentelliteand} future interest^{from date of filing of this O'A' till the} realization^{in full.}

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The^{brief facts of the caseare that at the request} of sole defendant,^{the applicant bank sanctioneda} Cash Credit^{LimitFacilityof Rs'20 lacs' vide letter of} arrangement,^{& agreementof loan-cum-hypothecation} dated^{29.03.2016.The sole defendanthad} hypothecated^{entire stoc.Is ang receivables as well as} cN'.

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TN20112022

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movable fixed assets of defendant as Primary

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security in favour^{of the applicant bank'}

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It is fufther^{submittedthat the sole defendant} enjoyed and utilized^{the Loan facility, but failed to} maintain the financial^{discipline and failed to repay the} due amounts. The^{applicantbank requested the sole} defendant to^{regularize the loan account by visits and} letters, but there was^{no response from the sole} defendant, hence the^{accountwas classifled as NPA} dated 28.08.2016.^{Therefore, the applicantbank} served a legal notice^{dated 22.02.20L7to the sole} defendant but failed^{to recover the same. Thus, the} present O.Aff.A. is^preferred by^{the applicant bank to} recover its dues.

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On notice by this^{Tribunal, the sole defendant} failed to^put appearance^{at all, despite publication'} Accordingly, the^{sole defendantproceeded against} exparte on 13.09.2018.

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The applicant^{bank has filedevidenceby way of} affidavit of Sh.^{Alok Kumar, Chief Manager and} Authorized Officer^{of the applicant bank as Annexure} A-1 to Annexure^{A-4 whichhave goneunchallenged} and un-rebutted.^{Hence, the case ofthe applicant bank} stands fully established^{against the sole defendant with} respect to nonpayment^{of outstanding amount'}

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After^{perusing the records, this Tribunalis of the} view that the applicant^{bank has proved its case} beyond reascnable^{dorlF. The evidenceand}

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TN20U2022

documents filed by^{the applicant bank not} rebutted by the sole defendant^{by not placingany} evidence and there^{is no question of disbelieving the} evidence and^{documentsfiled by the applicant bank} based upon the^{written/printed documents.}

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In the light of the^{above discussions, the presentT'A'} deserves to be allowed.

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ORDER

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I hereby allow^{this T'A. of the Applicant Bank and} direct the^{sole defendantto pay to the applicant bank} within 30 days^{from today, a total sum of Rs'22,88,104/-} along with cost,^{expenses and interest@11'40olofrom the} date of^{filing of this OA whichhas become T'A till the date} of realization.

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In case^{of failure to depositthe above amountwithin} the stipulated^{period, the same shall be recoveredfrom} sale of hypothecated^{assets. In case ofshortfall, the same} shall be recovered^{from sale of personal movableand} immovable^{assets of the sole defendant'}

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Recovery^{Certificatebe issued forthwith and be sent} to Recovery^{Officer, Debts Recovery Tribunal-Il, Delhi'}

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The registry^{of this Tribunalis hereby directedto} issue free copy^{of the order and send the same to both} the^parties.

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TN20U2022 4

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Parties are direct to appear before the^Ld. Recovery Officer, DRT-II, Delhi on^{24.10.2025.Pending} IAs, if any, stand disposed of.

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File be consigned to records.

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<"<br>

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Date : 25.08.2025^{(SUSHILKUMAR RASTOGI)} PRESIDING OFFICER DRT-II, Delhi

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This^judgement has been^signed, dated^and pronounced in open court.

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Date : 25.08.2025

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C.t\ ( su s H I L r"u^pt R R'ilhdroq ) PRESIDING OFFICER DRT.II, DCIhi

State Bank of India v. M/S Aakash Fashion and Decors

Case brief

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State Bank of India v. M/S Aakash Fashion and Decors

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