Allowed

Punjab National Bank v. M/S Yummy'S

DRT26 Dec 2025TA/847/2022

Case brief

AI extract

What is this about?

The Debts Recovery Tribunal allowed the applicant bank's original application for recovery of a sum of Rs. 14,33,321.4/- along with interest. The Tribunal rejected the defendants' contentions regarding fraudulent document preparation and unauthorized fund transfers. The bank was granted permission to issue a recovery certificate and sell the mortgaged property for payment.

What did the court decide?

Seven lakhs rupees, being well over the limit claimed. Reiterating that the judgment must be made on the date of citation, we hold that the suit filed by the Bank is allowable. The Defendants are dire

Punjab National Bank versus M/S Yummy'S — Banking and Recovery | DRT (2025)

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Before SUSHIL^{KUMARRASTOGI, Presiding Officer} Debts^{RecoverYTribunal-Il' Delhi}

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TA No.847^OF20.22 PUNJAB^{NATIOI{AL BANKVS }USYU}I}IY'S&ORS}

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Reserved on t 28,'lj'2025

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Pronounced^{on z 26'l,2'2O25}

Punjab^NationalBank

-Applicant bank

Vs.

M/s^YummY's

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Smt.^{Sangeeta Kapoor}

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Sh.^{Shiv Narain Sharma}

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Late^{Smt' ChanchalSharma}

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Through^{her legal heirs}

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(I). Sh. Shiv^{Narain Sharma}

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(II). Smt'^{DeePti Sharma}

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(III). Smt'^LaxmiJaitlY

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Defendants

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Present:^{Ms. RadhikaGupta'Counselappears for} aPPlicant^FI'

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Defendants^{are exparte'since 30'04'2025'}

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FINAL^ORDER

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This original^{application has been filed by the} applicant^{bank, on 04'07 '20L6 through Sh' Rohit} Kumar,^{SeniorManagerof the applicantbank' under} SectionlgoftheRDBAct,lgg3againstthedefendants forrecoveryofasumofRs'14'33'3214/-togetherwith pendent-lite^{interest and futureinterest i'e'' present} effective^{rate with monthly rests as regards the cash} credit^{limit, beside 2o/o p'a'towards penal interestfrom} the date^{of filingof this O'A'till the realization in full'} ,-l-s\

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TANO. 847^{of 2022}

I I that at^the , 2. The^{brief facts of the case are} I request of^{the defendantno'1, throughits proprietor} i I i i.e., defendant^{no.2, the applicant bank sanctioned a} I; Cash Credit^{Facilityof Rs'10 Lakhs, vide sanctionletter} i dated 10.09.Z}tl.Tofurther^{secure the aforesaidloan} , : as advance^{by the applicantbank in favour of the} defendant^{nos.l and 2, the defendant no'4 has created} i' I I I equitable^{mortgage in favourof the applicant bank by} I I deposit of^{original title deedswith respect to the} I immovable^{propertyi'e', Property bearing no' P-73'} I I i First Floor^{with Roof Rights,Area' measuring approx'} 65 Sq.^{Yds. Part of Khasra No'117 & 118' Situated in} the Village^{Bindapur,Colony Known as V'rjay Vihar'} Uftam^{Nagar, Najafgarh Road' DelhFl10059'}

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It^{is further submitted that the defendants} enjoyed^{and utilized the Loan facility'but failed to} maintain^{the financial discipline and failed to repay the} due amounts.^{The applicantbank requested the} defendantstoregularizetheloanaccountbyvisitsand letters,^{but there was no response from the} defendants,^{hencethe account was classified as NPA} dated 30.09.2014.^{Therefore, the applicantbank} served a demand^{noticedated 08'10'2014 and} 18.03.2016^{to the defendantsbut failed to recover the} same.^{Thus, the present O'AII'A' is preferredby the} applicant^{bank to recover its dues'}

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On^{notice by this Tribunal' defendant nos'1 to 3} put appearance^{through counsel' The defendant no'4} (I), (U) A^{(III) failed to appear in the matter'The} defendant^{nos.l & 2 have filed wriftenstatementand} evidence.^{Thereafter, the} -defendants^{failed to put} s^

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TANO.847 of2022

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appearance in the^{matter despiteissuanceof default} notice. Accordingly,^{the defendantswere proceeded} against exPafte^{on 30.04.2025.}

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In the^{written statementthe defendant nos'1& 2} have denied the^{fact mentionedin the O'A' It is} submitted that^{the original application has not been} signed, verified^{or instituted by a duly authorizedand} I competent^{person. It is further submitted that no limit} i was sanctioned^{to the defendant no' 1' No sanction} t i letter, communication^{or notice has ever been received} I t by the defendant^{nos. 1 & 2 duly signedby defendant} I I no. 1 regarding^{the sanction of alleged limits or alleged} I I default^{in the alleged accounts having been committed} by the defendant^{no. 1. It is submittedthat the said} I I I money used^{by applicantbank in collusionwith} I I { defendant^{no. 3. It is submittedthat the present} i Original application^{is filed without any causeof action} I I against the^{defendant no. 1 as the defendant no' 1} never stood^{as guarantorfor the advancementof the} I I credit facilities^{by the applicant bank to the defendant} no. 1 in the^{present case as claimed by the applicant} bank. The^{perusal of the record shows that the} applicant^{bank has misuseddocuments'which had} been^{given for the sanctionof the loan and its disbursal} thereafter.^{The documentswere not signedby the} defendant^{nos.l & 2. The perusal of the relevant} document^{shows that the same had been signed by the} defendant^{nos.1 & 2 before the sanction of the loan} facility and^{had been filed by the applicant bank for} their vested^{interest.The applicant bank with malafide} intentions^{has taken undue advantageof the fact that} the blank^{documentsweresignedby defendantnos'1} s,\

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TANO. 847^{of 2022}

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& 2. The^{documents, if any, had been signedfor} and on^{behalf of defendantno' 1 for the sanction of the} credit facility^{only' But the bank did not sanction and} disbursed^{any amountto defendant nos'1 & 2 and the} entire amount^{was transferredto third party account} within 2^{months' time in fraudulent manner from} 13.09.2012^{to 17.11'2012'It is further submittedthat} the statement^{of account has not been filed which is} being^{maintained in regular courseof businessand the} statementofaccountflledbytheapplicantbankhave not followed^{the decision of Hon'ble Supreme Court of} India and^{the law laid down there under in the matter} of Central^{Bank of India V/s Ravindra'(2002)-1-SCS-} 367,^{wherebyit was held that the details of eachand} every^{entry must be clear with pafticulars of each entry} mustalsobeclearandthatiswhythebankhasnot supplied^{the statement of accounts since the inception} of the^{account(s) and also not given any detailsof the} nature of^{the facility there under nor mentionedthe} rate of^{interest charged from time to time since} inception^{of the accounts' As the sanctionof the} applicant^{bankin CC(H)accountand Term loan account} is illegal,^{therefore, the bankis required to file separate} sbtement^{of account,an in lieu of that the claim of the} applicant^{bank is liable to be rejected' It is prayed that} this Hontle^{Tribunalmay dismissthe presentO'A'}

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6.^{The applicantbank and defendant nos'1 & 2 have} filed their^{respective evidence'}

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Heard^{the Ld' Counsel of the applicant bank and} perused the^record'

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8.^{The main contention of the defendant no'1and 2} is that^{the amount was transferredto the third party}

TANO. 847^{of 2022}

account^{within 2 monthstime in fraudulent manner} from^{13.09.2012 to 17'11'2012, therefore' theyare} not obligation^{to pay any amount to the applicant bank'} In this^{regardthe defendant has filed letter addressed} to the^{Punjab NationalBank whichhas been exhibited} as DW-1/1'^{In this letter the defendant has madea} complaint^{that my running originalaccountsbeing} manipulated^{and the funds from my originalaccounts} weretransferredwithoutmyknowledgeandtheabove 2 fake^{accounts of Yummys and fake term loan account} was being^{maintainedby the bank by making entries to} save these^{accountswithout my knowledge' The} defendant^{has mentioned the four accounts and also} mentioned^{the debit balance in these accounts'The} defendant^{has requestedfor investigationof the matter} and further^{submitted that I am ready to settle my} original^{loans taken by me vide account no'} 1847008700001833^{for Rs'10 lakhs and term loan vide} account^{no'184700IB0040883showing balance of} Rs.5,43,7241-^{dated 13'05'2014 and I want to settle} the matter'^{In response to this lefter the PNB vide letter} dated^{20.12.2014 has provided the copy of the} vouchers^{by whichthe amount has been transferred'} These^{copieshave also been filed by the defendant} which^{are exhibited as DW-U2 to DW-U6'The} defendant^{has again sent the replyof the reply issued} by the^{bank claimingthat the detailed reply has not} been^{filed by the bank and para wise explanationhas} not been^{given.But from perusal of these documents'} it is clear^{that the amount has been transferredon the} basis of^{vouchers issued by the defendant no'1 and 2'} Therefore,^{the contention of the defendant no'l and 2} that the^{bank has} ['!qs(4^{the account of the}

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TANO. 847^{of 2022}

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defendant^{and transferred the amountwithouthis} knowledge^{cannot be accepted' From perusal of the} entire documents^{and statementof account and} vouchers^{providedby the bank it is clear that the} amount^{has been transferredas per banking norms and} there is^{no irregularity/illegality in thesetransactions'} The defendant^{on one side is claiming that he has} never^{taken a loan and the bank has got the signatures} on blank^{papers,on the other hand in the reply he is} claiming^{that he is ready to settle the matter and few} debits^{has wrongly been made which shows that the} defendant^{is on one side claims that no loan was over} sanctionedandhehasneverappliedfortheloan'on the other^{hand, he himself is writing a letter that he is} ready to^{settle the matter and merely some entriesin} the bank^{accounB are wrong' Therefore'the entire} defense^{of the defendantsis contradictoryand is} merely^{fake defense to avoid the paymentof the dues'}

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9.^{The next contention of the defendantsis that the} oAhasnotbeenfiledbythecompetentpersonwhois authoized^{to verify and file the presentOA' From} perusal of^{the recordit is clear that Shri Rohit Kumar'} Senior^{Manager of the bank has been authorizedby the} bank to^{file the present OA and therefore' the} contention^{of the defendant that the OA has not been} filed by^{authorized person has no force'}

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10.^{The next contention of the defendant is that the} applicant^{bank has chargedexorbitant rate of interest} which is^{againstthe judgment givenby the Hontle} Supreme^{Court in Central Bankof India Vs' Ravindra} .;\

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TANO.^{847 of2022}

and Ors.^{On the other hand the Ld' counsel of the bank} has submitted^{that the interest has been chargedas} per agreement^{between the pafties' In this regard I} have^{gone through the record' From perusalof the} statement^{of accountit is clear that the applicant bank} is charging^{rate of interest as per agreement'} Therefore,^{it cannot be said that the applicant bankis} charging^{exorbitant rate of interest'}

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11.^{The next contention of the defendantsis that the} document^{on whichthe applicant bank is relying upon} are fabricated^{and manufactureddocuments' It is} submitted^{that the documents have been subsequently} filled up.^{Therefore,all the facts of the OA are based} on forged^{and fabricated documentsand in such} circumstances^{the OA is liable to be dismissed'But the} contention^{of the defendantscannot be relied upon'} The defendants^{are well educated person'therefore' it} cannotbedeemedthattheywillsignedthedocuments without^{goingthrough the documents and signed the} documents^{which have blanks that may be fllled} subsequently.^{There is no evidence on behalf of the} defendants^{that the documents subsequentlyfilted by} the officers^{of the bank'Therefore' the contentionof} the defendant^{has no force'}

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L2. From^{perusal of the entire evidence' it is clear} that the^{defendantshave failed to provetheir caseas} claimed^{in the written statement' On the otherhand'} the applicant^{bank has provedhis caseagainst the} defendants^{and therefore, the defendantsare tiable to} pay^{jointly and severallythe amount claimedby the} s)

TA NO. 847^{of 2022}

I i I I i I I i I I

applicant bank^{and the OAfl-A of the applicant} bank is^{liable to be allowed.}

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In the light^{of the above discussions, the present TA} deserves to^{be allowed'}

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ORDER

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I hereby^{allow this T.A' of the ApplicantBank and} direct the^{defendant nos.1,2,3 and defendant no' 4(I)'} (II) & (ru) to^{pay jointlyand severally to the applicant} bank within^{30 days from today, asum of} Rs.L4,33,3441-^{along with cost, expenses and interest} @l4o/o^{from the date of filing of this O'A' whichhas} become^{T.A till the date of realization' However' the} liability of^{LRs of deceasedSmt' ChanchalSharma is} limited to^{the extent of property/assetsinheritedby} them from^{deceased Smt' Chanchal Sharma' The} defendant^{no.3 as LR of deceasedSmt' Chanchal} Sharma^{is also liable to pay to the applicantbankthe} amount^{to the extent of assets inheritedby him from} deceased^{Smt. ChanchalSharma'}

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In^{case of failure to deposit the above amount} within the^{stipulated period, the same shall be} recovered^{from the sale of the mortgage propefl} bearing^{no. P-73, First Floor with Roof Rights' Area'} measuring^{approx.65 Sq' Yds'Part of Khasra No'117 &} 118, Situated^{in the Village Bindapur' Colony Known as} Vijay Vihar,^{Uttam Nagar, Najafgarh Road' Delhi-} 110059.^{In case of short fall, the same shall be} recovered^{from the sale of personal movableand} d\

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9 TANO.^{847 of 2022} immovable assets^{of the defendant nos' L,2' 3 &} defendant^{no.4(I),(II), (III).}

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Recovery^{Certificatebe issuedforthwith andbe} sent to^{Recovery Officer, Debts Recovery Tribunal-Il'} Delhi.

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The^{registryof this Tribunal is hereby directedto} issue free^{copy of the order and send the same to both} the Parties.

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Parties^{are directedto appear before the Ld'} Recovery^{Officer,DRT-II, Delhion 26'02'2026'Pending} lAs, if anY,^{standdisPosed of'}

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File be consigned^{to records'}

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Date:26.t2.2025

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(SUSHIL KUMAR RASTOGI) PRESIDING^OFFICER DRT-II,^Delhi

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This^{judgement has been} signed, dated^and

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pronounced in oPen^coutt'

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Date:26.12.2025

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"\ (susHIL KUMAR RASTOG) PRESIDING^OFFICER DRT-II,^Delhi

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1 i i I I I I i t

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Punjab National Bank v. M/S Yummy'S

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Punjab National Bank v. M/S Yummy'S

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