Allowed

Punjab National Bank v. Naman Jain and Ors.

DRT17 Oct 2025TA/2420/2022

Case brief

AI extract

What is this about?

The Debts Recovery Tribunal allowed the applicant bank's original application for recovery of outstanding dues. The respondents, who defaulted on a vehicle loan facility secured by hypothecation of a car and mortgage of property, were proceeded ex-parte. The court directed payment of the sum with interest and costs.

What did the court decide?

The respondents were directed to jointly or severally pay Rs. 82,03,863 plus future interest and costs within 30 days, failing which the amounts shall be recovered from the sale of the hypothecated ve

Punjab National Bank versus Naman Jain and Ors. — Contract and Commercial Disputes | DRT (2025)

¶1

T.A. No. 2420 of 2022

¶2

Debts Recovery Tribunal-I, Delhi 4th floor, Jeevan Tara Building, Parliament Street, New Delhi

¶3

Presiding Officer: Shri Govind Ballabh Sharma

¶4

T.A. No.2420 of 2022

¶5

Punjab National Bank

¶6

Circle Sastra Centre, East Delhi

¶7

CSC, Pocket-El Mayur Vihar

¶8

Phase-II, Delhi-110091

¶9

Applicant

¶10

Versus

¶11

Sh. Naman Jain s/o Raj Kumar Jain 3rd floor, C-10, Ramprastha Colony Chander Nagar, Ghaziabad-201011

¶12

Also at:

¶13

Sh.Naman Jain

¶14

go M/s Laxminarayan Finsol Pvt. Ltd. JS-11, Property no.40 Jagat Puri, Delhi-110051

¶15

Also at:

¶16

Sh. Naman Jain

¶17

go M/s Laxminarayan Finsol Pvt. Ltd. 1/26 A, 1st floor, Gali No.01 Lalita Park, Laxmi Nagar, Delhi-92

¶18

Also at:

¶19

Sh. Naman Jain c/o Kay Aar C Coating Pvt. Ltd. Giriraj Nagar, Sihani Nandgram Road Near Prachin Shiv Mandir Sihani, Ghaziabad, UP-201001

¶20

Also at:

¶21

Sh. Naman Jain

¶22

c/o Smarthhomes Technologies Pvt. Ltd. House no.398, KH. No.93/12

¶23

First floor BLK-A, Baba Colony, Village Burari, Landmark near Swaraj Mandir Delhi-110084

¶24

sd-

¶25

¶26

T.A. No. 2420 of 2022

¶27

Also at: Sh. Naman Jain c/o Spice Office Automation Pvt. Ltd. House No.398, Kh. No.93/1/2 First floor, BLK-A, Baba Colony Village Burari, Near Swaraj Mandir Delhi-110084 2. M/s Laxminarayan Finsol Pvt. Ltd. JS-11, Property no.40 Jagat Puri, Delhi-110051 Also at: M/s Laxminarayan Finsol Pvt. Ltd. 1/26 A, 1st Floor, Gali no.1, Lalita Park, Laxmi Nagar, Delhi-92 Defendants

¶28

Present: Mr. S.V. Tyagi, Counsel for the applicant bank

¶29

Date of Reserve: 06.10.2025 Date of Pronouncement: 17.10.2025

¶30

FINAL ORDER

¶31

This original application has been filed by the applicant bank before DRT-II, Delhi on 20.09.2021 & then transferred to DRT-I Delhi through Shri Surendra Singh, authorized representative of the applicant bank under Section 19(1) of Recovery of Debts and Bankruptcy Act, 1993 against the defendants for recovery of a sum of Rs.82,03,863/- (Rupees Eighty Two Lacs Three Thousand Eight Hundred Sixty Three only) together with pendentelite and future interest @8.15% per annum with monthly rests with penal interest @2% per annum from 01.09.2021 till the date of realization with costs.

¶32

The brief facts of the case are that on the request of defendant no.1 as CEO/ Director of defendant no.2 vide loan application dated 14.05.2019 along with Perform Invoice

¶33

¶34

T.A. No. 2420 of 2022

¶35

dated 15.05.2019 and appointment letter dated 01.08.2018 issued by defendant no.2, the applicant bank sanctioned Car Loan facility for Rs.76,00,000/- (Rupees Seventy Six Lacs only) on 15.05.2019 @9.25% floating rate of interest, which was to be repayable in 84 Equated Monthly Installments of Rs.1,23,243/- against hypothecation of vehicle and mortgage of property. The applicant bank disbursed the loan amount and credited to M/s Scandia Motor Cars Pvt.Ltd. through RTGS on 16.05.2019.

¶36

That in order to avail the vehicle loan facility, the defendants submitted vehicle loan application dated 14.05.2019 and executed Letter of Hypothecation, Irrevocable Letter of Authority and dated 15.05.2019 in favour of the applicant bank.

¶37

That in order to secure the vehicle loan facility, the defendant No.1 created mortgage of the property being Residential Plot no.57, Khasra no.1112, in residential colony known as Bahubali Enclave, Village Morta, Jalalabad, Ghaziabad, Uttar Pradesh, admeasuring 200 sq. yards by depositing the original title deeds along with chain of documents & affidavit on 15.05.2019 and also executed Letter of Confirmation dated 16.05.2019.

¶38

That in order to secure the vehicle loan facility, the defendant No.1 hypothecated the Vehicle i.e. Volvo XC-90 having Registration No. UP-14EB-6660 having Chassis no.YV1LF68ACK1464643, Engine no.2862061, Color Crystal White with the applicant bank. The defendant no.1 vide letter dated 21.05.2019 submitted letter dated 21.05.2019 acknowledging sanction letter, Tax Invoice dated 16.05.2019 issued by Scandia Motors Cars Pvt.Ltd. for Rs.79 79,000/- lacs

¶39

¶40

T.A. No. 2420 of 2022

¶41

& Rs.70,000/-, Insurance Policy, Temporary Registration Certificate with the applicant bank.

¶42

It has been submitted by the applicant bank that after availing the vehicle loan facility, the defendants failed to comply with the terms and conditions of sanction and to deposit monthly installments on regular basis and failed to regularize the account with the applicant bank despite repeated notices from 10.08.2019 till February 2020. Ultimately, the applicant bank classified the account as NPA on 29.02.2020 but defendants failed to clear the dues. Hence, the applicant bank has approached this Hon'ble Tribunal for recovery of their dues.

¶43

Notice under section 13(2) of the Securitization and Reconstruction of Financial Assets and Enforcement of Security Interest Act 2002 dated 05.03.2020 was issued to the defendants.

¶44

Notices of this O.A. were issued to the defendants and despite of proper service, the defendants have chosen to absent from the proceedings. As per order dated 26.03.2025 and 23.07.2024, the defendant no.1 & 2 have been proceeded ex-parte respectively as they have not appeared before the Tribunal and even written statement, evidence and affidavit of assets have not been filed by the defendants.

¶45

In order to prove its case, the applicant bank has filed its evidence by way of affidavit of Shri Surendra Singh, authorized representative of the applicant bank who has proved the documents Power of Attorney, Loan Application Form, Salary Slips, Sanction Letter, Letter of Hypothecation, Irrevocable Letter of Authority, Mortgage register/Title Deed Register,

¶46

¶47

T.A. No. 2420 of 2022

¶48

Copy of extracts of Revenue Records, General Power of Attorney, Agreement to Sell, Photocopy of Layout Plan, Permission for Construction Letter, Original Sale Deed, Affidavit, Letter of Confirmation, Email, Various Letters, Tax Invoice, Temporary Registration Certificate, Registration Certificate, CERSAI Report, Notices/ reminders, Notice u/s 13(2) alongwith Tracking report, Certified Statement of Account under Banker's Book Evidence Act, Statement of Penal Interest, Consolidated Statement of Account marked as Ex.AW1/1 to Ex.AW-1/32.

¶49

10.^{The applicant bank has fully corroborated the averments} made in the O.A. Even otherwise the whole case of the applicant bank is based on the documents and the same have been duly approved.

¶50

11.^{The case filed by the applicant bank gone unrebutted and} there is no question of disbelieving the case of the applicant bank and the applicant bank has proved its case beyond reasonable doubts.

¶51

12.^{In the light of the above discussions, the Original} Application deserves to be allowed.

¶52

ORDER

¶53

I, allow this OA and direct the defendants to pay to the applicant bank within a period of 30 days, jointly or severally, a sum of Rs.82,03,863/- (Rupees Eighty Two Lacs Three Thousand Eight Hundred Sixty Three only) together with pendentelite and future interest @10.15% per annum with

¶54

¶55

¶56

T.A. No. 2420 of 2022

¶57

monthly rests from 01.09.2021 till the date of realization and costs failing which the aforesaid amount shall be recovered from the sale of hypothecated car i.e. Volvo XC 90 having registration no.UP-14EU-6660 and Mortgaged Property being Residential Plot no.53, Khasra no.1112, Bahubali Enclave, Village Morta, Jalalabad, Ghaziabad, Uttar Pradesh, admeasuring 200 sq. yards. In case of shortfall, the same shall be recovered from the sale of movable and immovable properties of the defendants.

¶58

(II)^{The recovery certificate be issued forthwith and be sent} to the Recovery Officer, Debt Recovery Tribunal-I, Delhi.

¶59

(III)^{Parties are directed to appear before the Recovery} Officer, DRT I, Delhi on 16.12.2025.

¶60

(IV)^{Copies of final order as well as Recovery Certificate be} sent to all concerned free of cost.

¶61

¶62

(GOVIND BALLABH SHARMA) PRESIDING OFFICER DRT-I, DELHI

¶63

(Dictated and pronounced in open court) Dated: 17.10.2025

¶64

Punjab National Bank v. Naman Jain and Ors.

Case brief

What is this about?

What did the court decide?

Punjab National Bank v. Naman Jain and Ors.

Case brief

What is this about?

What did the court decide?

What the court decided

A compact analysis

Issues for consideration

Parties & counsel

Coram

Case details

Similar cases

State Bank of India versus Anil Kumar Yadav

State Bank of India versus Ritu

Karnataka Gramin Bank versus Manjegowda G a and Others

Ms Balaji Steels and Pipes and Others versus PNB Housing Finance Limited

Bank of Baroda versus Mrs. Jyoti Chauhan

Central Bank of India versus M/S Kiwi Consultancy Pvt. Ltd.