Allowed

Punjab and Sind Bank v. M/S Warp N Weft

DRT27 Apr 2026OA/1015/2024

Case brief

AI extract

What is this about?

The Tribunal allowed the bank's application under Section 19 RDB Act for recovery of ₹49,71,725/- with interest against borrowers who did not appear. The court ruled all defendants liable jointly and several and directed issuance of a Recovery Certificate.

What did the court decide?

Recovery of ₹49,71,725/- with interest at 12.85% per annum allowed; Recovery Certificate issued; case remanded to Recovery Officer for asset sale.

Punjab and Sind Bank versus M/S Warp N Weft — Banking and Recovery | DRT (2026)

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IN THE DEBTS RECOVERY TRIBUNAL-I, CHANDIGARH

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BEFORE: A S NARANG, PRESIDING OFFICER

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OA No: 1015 of 2024 Date of Institution: 31.12.2023 Date of Decision: 27.04.2026

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Punjab & Sind Bank having its branches all over India and a branch at Court Road, Amritsar, Punjab.

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……..Applicant

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Vs.

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M/s WARP N WEFT, Building No.3063/B, Raj Nagar, Opposite Zone No.5, Ramtirath Road, Putlighar, Amritsar through any of its Partners i.e. Defendant No.2 & 3.

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Priya Nayyar wife of Shri Vivek Nayyar resident of B-29, Ranjeet Avenue, Opposite Red Cross Bhawan, Amritsar, Punjab.

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Vivek Nayyar son of Shri Harbans Lal Nayyar, resident of B-29, Ranjeet Avenue, Opposite Red Cross Bhawan, Amritsar, Punjab.

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……….Defendants

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Advocates

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Sh. I.P. Singh, Counsel for the applicant bank. Defendants - ex parte .

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OA for the Recovery of ₹49,71,725/- with interest @12.85% per annum with monthly rests from 31.12.2023.

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ORDER

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Punjab & Sind Bank (Bank) has filed this application under Section 19 of the Recovery of Debts and Bankruptcy Act, 1993 (RDB Act) for the recovery of ₹49,71,725/- with interest against M/s WARP N WEFT and others (defendants).

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Bank’s case is that on 13.02.2015, it had granted a loan of ₹25.00Lacs to defendant no. 1though its partners Defendant nos. 2 and 3 in the form of C.C Limit for agricultural purpose. On 24.05.2017, the C.C. Limit was enhanced ₹25.00Lacs to ₹30.00Lacs. On 07.01.2020, bank granted another loan of ₹8.75Lacs in the form of Term Loan to the

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Defendants. On 20.03.2021, the C.C. Limit was renewed for ₹30.00Lacs. To secure the loan, Defendant no.1 had hypothecated assets (fully detailed in para No.3A of the application). The loans were chargeable to interest @12.85% per annum with monthly rests. The defendants had acknowledged the liability towards the debt on 01.05.2020. On 30.11.2023, a sum of ₹49,71,725/- was due from the defendants. Despite repeated requests, defendants did not make the repayment. Hence, this application.

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On 22.07.2024, summonses were sent to the defendants by registered post, which were duly served. However, defendants did not put in appearance. Vide order dated 11.02.2025, they were proceeded ex parte .

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In order to prove its case, the Bank has placed on record the affidavit of Mr. Gurmeet Singh, Chief Manager along with the loan and security documents and marked them as Exhibit A-1 to A-43.

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I have perused the evidence on the record. I am of the considered view that the Bank has proved its case that it had advanced loans under different schemes and on 30.11.2023, a sum of ₹49,71,725/- was due. 6. Accordingly, the application of the bank for the recovery of ₹49,71,725/- (Rupees Forty Nine Lacs Seventy One Thousand Seven Hundred and Twenty Five Only) with interest @12.85% per annum with monthly rests from 31.12.2023, till the date of payment is hereby allowed with costs. The liability of all the defendants would be joint and several. Bank can recover its dues by the sale of hypothecated assets fully detailed in para No.3A of the application as well as from the personal movable and immovable property(ies) of the defendants.

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Pending IAs, if any, stand disposed of.

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Recovery Certificate be issued accordingly. 9. Parties are directed to appear before Recovery Officer on 29.05.2026, who is directed to distribute the sale proceeds of the hypothecated assets as per the provisions of Section 19(20-AB) of the Act . 10. A Copy of this order along with Recovery Certificate be sent to the Recovery Officer as well as the parties.

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Pronounced in the open Court. (A S Narang) Dated: 27.04.2026 Presiding Officer DRT-1, Chandigarh

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(Law Researcher)

Punjab and Sind Bank v. M/S Warp N Weft

Case brief

What is this about?

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Punjab and Sind Bank v. M/S Warp N Weft

Case brief

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What did the court decide?

What the court decided

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