Allowed

Central Bank of India v. M/s City in Mall

DRT6 Apr 2026OA/118/2025

Case brief

AI extract

What is this about?

The Debts Recovery Tribunal, Patna decided an application under Section 19 of the Recovery of Debts and Bankruptcy Act, 1993. The court upheld the bank's claim of Rs. 49,51,770.87 with interest based on documentary evidence and a statement of accounts.

What did the court decide?

Debt determined at Rs. 49,51,770.87 with interest @ 8.70% p.a. from 19.02.2025; recovery certificate issued against defendants jointly and severally.

Central Bank of India versus M/s City in Mall — Contract and Commercial Disputes | DRT (2026)

OA 118 of2025jJl

DRT, PATN A

Debts Recovery Tribunal, Patna Karpuri Thakur Sadan, Aashiana Digha Road Patna-800025

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Presiding Officer : Shri Kaushalendra Yadav

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OA Case No. 118 of 2025

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Central Bank of India, branch at IVlanpur, PO & PS- Manpur, District- Gaya (Bihar)

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. . . . . . .Applicant

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M/s City in MaII, at Mohalla- Tekari Road, Kirani Ghat, Tut Ki Gali, Near Kolkata Biryani, Gaya, P.O.- H.O.- Gaya, P.S.- Kotwali, DistrictGaya

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Vicky Kumar, Son of Shri Raj Kumar Prasad, resident of MohallaGopalganj Road, Ner UCO bank, Durga Stahn, P.O.- Buniyadganj, P.S.Buniyadganj, District- Gaya

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. . . . . . . Defendants

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Present:

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For the Applicant For the Defendants

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Shri Rakesh Ranjan, Advocate Shri Dileep Kumar :Tha, Advocate

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Dated:06.04.2026

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JUDGMENT

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The Applicant bank has made this application u/s 19 of the Recovery of Debts and Bankruptcy Act, 1993 (here-in-after referred to as Act) on 19.02.2025 against the defendants to recover its debts from defendants of Rs.55,55,388/- as on 3 1.01.2025 along with pendente-lite and future interest at the contractual rate from 01.02.2025 with costs till realization.

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The application has been filed with the contention that the applicant bank, is a body corporate, carries on the business and is competent to file the suit through various branches including the applicant.

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Defendant no. 1 is a proprietorship firm of which defendant no.2 is the proprietor. Defendants approached the applicant bank for sanction of financial loan of Rs.55 Lakh for business loah, vide loan application, which was sanctioned by the applicant bank on 05.09.2022 under CGTMSE Scheme on various terms and conditions, as stipulated in the sanction letter, which were duly accepted by the defendants. To secure the loan facilities defendants have

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OA 118 of 2025jJl

DRTq PATNA

executed various loan and security documents. The defendants have lastly paid Rs.3,000/- only on 30.04.2024.

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After availing the sanctioned credit facilities, the defendants became irregular in repayment of their dues as per agreed terms and failed to adhere to the financial norms of the bank and avoiding the repayment of its dues to the bank, in spite of several assurances given by it to the applicant bank resulting in the account turning as NPA on 16.06.2024.

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Since, the defendants failed and neglected in spite of several reminders to make payment of the dues recoverable to the bank, hence this application has been filed by the bank.

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The total liability in the loan account is Rs.55,55,388/- as on 31.01.2025 with pendente-lite and future interest contractual rate from 01.02.2025 till the realization.

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This Tribunal issued summons/notices copies of application & paper book to the defendants by registered/speed post on 26.03.2025, requiring them to show-cause within 30 days of the service U/s 19 (4) of the Act & Rule of the DRT [Procedure] Rules, 1993 .

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In response to the notice, the defendants have appeared by filing vakalatnama on 16.04.2025 but they have failed to file their written statement within the statutory period hence the opportunity for the same was closed vide order dated 09.09.2025 and an opportunity was granted to the defendants to file rebuttal evidence but the same has not been filed. Hence on 16.02.2026, case was finally heard and again an opportunity of 10 days was granted to the parties to file written notes of arguments but again the same has not been filed by the defendants.

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To prove its case, the applicant Bank has referred various certified photocopies of documents before this Tribunal. The applicant bank has also given evidence on affidavit by way of affidavit by Ms. Savita Kumari, Senior

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DRT, PATN A

OA 118 of2025jJl

Branch Manager of the applicant bank. The details of documents are as follows:

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Sl.No	1Description Documents Photocooies of	1Date of Execution	1Amount F(in Lakh~	ISignature 1Executants	of	1Ex./ Ann No
1	Sanction letter	05.09.2022	rooT	Bank accepted defendants	Ta by
2	Photocopiesof PAN, AADHAR CARD andother certificates			Defendants		2
	CIBIL
	Formofguarantee		50.00	Def.no.2
	e variation			e		5
6	DPNote Letter of Waiver Declaration	05.09.2022	50.00	Defendants		6
7	e IIypothecation		50.00	Defendants		7
	Letter ofcontinui1	05.09.2022	50.00	Defendants
	Finalnotice Notice	12.03.2024 24.01.2024 01.06.2024 10.06.2024		Bank
	Statementof account			Bank
	Photocopy of application toP.S.- Bunjyadgani ,Ga),a			Bank

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Heard arguments and perused the case record

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Ld. Counsel of applicant bank submitted that the defendants have taken the loan and utilized the same and also executed the various loan documents to secure the loan. Further, submitted that the claim of the bank has been proved by documentary evidence. All the transactions were entered in the ledger of the loan accounts in the name of the defendant duly maintained by the applicant bank in its usual course of business. The interest /compound interest has been charged at such rates, and capitalized at such periodical rests as are permitted by and do not run counter to the directives of Reserve Bank of India.

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It is further submitted by Id. Counsel of applicant bank that there is no stay granted by any Higher Court, in respect of the proceedings of the present OA and requested to issue recovery certificate, as claimed for, in OA.

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It has been established that defendants are living and carrying on their business in the state of Bihar. Cause of action also arose in the State of Bihar.

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DRT, PATNA

OA 118 of 2025jJl

The said claim on the date of filing of application exceeded Rs.20 lacs. The applicant bank is functioning within the jurisdiction of this Tribunal. Therefore, this Tribunal has territorial as well as pecuniary jurisdiction to adjudicate upon the present application.

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On the issue of Limitation, to prove it, the applicant bank has submitted that the applicant bank has declared the account as NPA on 16.06.2024, whereas the present application has been filed on 19.02.2025. Even, it is counted for the purpose of Limitation, then it is established that the applicant bank has filed the case within the limitation period. As such, it is established that the present application has been filed well within the period of limitation.

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Ms. Savita Kumari, Senior Branch Manager of the applicant bank has filed the affidavit in support of contents of application and the documents as evidence and proved on oath the pleadings and documents of the applicant bank as stated above.

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Section 19(3) of the Recovery of Debts and Bankruptcy Act, 1993 provides that the application u/s S.19 (1) shall be accompanied with true copies of all the documents relied on in support of the claim.

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The rule 12 (10) of the Debt Recovery Tribunal (Procedure) Rules, 1993, provides that if the defendant denies his liability to pay the claim made by the applicant, the tribunal may act upon the affidavit of the applicant who is acquainted with the facts of the case or who has on verification of the record sworn the affidavit in respect of the contents of the application and the documents as evidence.

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The rule 12 (11) of the aforesaid Rules, provides that the provisions contained in section 4 of the Banker’s Books evidence that Act, 1891 (18 of 1891) shall apply to a certified copy of an entry in a Banker’s Books furnished along with application filed under sub section 1 of section 19 by the applicant.

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Section 4 of Banker’s Books evidence Act, 1891 runs as underS.4. Mode of proof of entries in bankers’ books.–Subject to the provisions of this Act, a certifIed copy of any entry in a banker’s book shaH in all legal proceedings be received as prima facie evidQnce of the existence of such entry, and shall be admitted as evidence of the matters, transactions and accounts therein recorded in every case where, and to the same extent as, the original entry itself is now by law admissible, but not further or otherwise.

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As such the certified true copies of the documents are admissible in

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evidence. The statement of account maintained in the ordinary course of

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DRT, PATNA

OA 118 of 2025FJl

business is not only admissible but shall be taken as the correct statement of account, more so since the entries in the statement of account have not been challenged.

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On perusal of the application, documents, affidavit and on consideration of the arguments, it is proved that the defendants have applied for loan and the bank had sanctioned the loan and to secure the loan and for repayment of loan amount with interests etc., the defendants have executed ' various loan documents, as stated in the application and proved by aforesaid evidence. Defendants have neither denied the utilization of funds advanced by applicant bank nor have pointed out any specific error and discrepancy in the Statement of Account.

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The evidence discussed above goes to establish that the amount of loan as mentioned in the O.A., was availed by the borrower under the agreed terms and conditions for repayment with interest. The balance amount till 16.06.2024 has been proved to be Rs.49,51,770.87 only by way of statement of accounts. There is nothing to prove the amount more than that disclosed in the aforementioned statement. As such this amount is recoverable till full and final realization of the claim.

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In my view, facts of the case stand proved by evidence of the applicant bank. Accordingly, the applicant bank is entitled to recover from defendants jointly and severally of Rs.49,51,770.87 along with pendente-lite and future interest @ 8.70% p.a. with compounded monthly rests from 19.02.2025 (The date of filing of this OA) till realization. So the final order may be passed accordingly, to meet the ends of justice.

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ORDER

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In the result, the application of the applicant bank is allowed and debt is determined with costs against the defendants. The defendants are hereby jointly and severally, ordered to pay the applicant bank its debt amounting to Rs.49,51,770.87 along with pendente 'iite and future interest @ 8.70% p.a. with compounded monthly rests from 19.02.2025 (The date of filing of this OA) till realization of the entire sum due and recoverable with costs.

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It is made clear that any amount deposited by the defendants, be deducted in the claim amount, if not deducted.

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OA 118 of 2025jJl

DRT, PATNA

Defendants are debarred from transferring, alienating encumbering or otherwise dealing with or disposing of the mortgaged or hypothecated or any other properties and assets without paying the aforesaid adjudicated dues to the applicant bank to secure the ends of justice. The mortgaged or hypothecated assets to secure the loan in question are hereby attached and shall be subject to the final order under the recovery proceedings in pursuance of the Recovery certificate issued under Section 19(22) of Recovery of Debts and Bankruptcy Act 1993. The applicant may submit the certified copy of this Judgment and the Recovery Certificate before the Registrar/Sub- Registrar to endorse the charge over the secured assets.

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Let a certificate of recovery be drawn up forthwith and put up for signatures in terms of provisions contained in Section 19(22) of the Act to be issued, on the basis of the order of the Tribunal to the Recovery Officer. The Recovery Officer shall realize the amount as per the certificate in the manner and mode prescribed under the Act from the defendants, by sale of mortgaged/ hypothecated assets as well as other personal movable/immovable assets of the defendants. However, no proclamation of sale will be issued, if the Defendant/CertifIcate Debtor ensures payment of the certifIcate amount in 6 months from the date of demand notice to the CertifIcate debtors. The Recovery Of$cer witt issue demand notice to the Certificate debtors only after the proof of compliance under rule 16 of DRT (Procedure) Rules 1993, is submitted by the applicant. If The Applicant/Certificate holder fails to- comply with directions of the Recovery OffIcer, the execution may be dismissed for nonprosecution. The copy of this judgment be uploaded in the website of the Tribunal.

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Parties are directed to appear before the Recovery Officer, DRT, Patna on 20.05.2026. The order be communicated accordingly.

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Judgment signed, sealed, dated and pronounced in the open court on 06th day of April, 2026.

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Dictated &corrected by me.

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[KaushalendraYadav] Presiding Officer Debts Recovery Tribunal, Patna + b =T !!!!:YeT:J E! =t11RII!!I) PATtI A

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FORM NO. 9

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DEBTS RECOVERY TRIBUNAL PATN A

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[See Regulation 24( 1 )]

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2nd Floor, ( A. B & F Wing) Karpuri Thakur Saddnl Kcndriya Kardmchari Parisar (GPOA), Ashiana Digha RoadT Patna-800025'

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i '22) OF THE R (i Ul

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RC No. 145/2026 IN

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Case No: OA/118/2025

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in the Matter of: (CH- 1) CENTRAL BANK OF INDIA BRANCH AT MANPUR, P.0. AND P.S. MANPUR, GAYA ,BIHAR -0

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Applicant(s)

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To. (CD- 1) M/S CITY IN MALL at Mohalla- Tekari Road, Kirani Ghat, Tut Ki Gali, Near Kolkata Biryani, Gaya, P.O.- H.O.- Gaya, P.S.- Kotwali, (]aya ,BIHAR

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(CD- 2) VICKY KUMAR SON OF SHRI RAJ KUMAR PRASAD RESIDENT OF MOH ALLA- GOPALGANJ ROAD, NEAR UCO BANK DURGA STAHN, P.0.- BUNIYADGANJ, P.S.- BUNIYADGANJ, DISTRICT- GAYA

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Defendant(s)

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Recovery L'ertHicate fQr R$ 4951770.87 [ Rupees Forty Nine Lakh$ Fifty One Thou$ands Seven Hundred Seventy And Paise EigLty Seven Only_]

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In terms of final order dated 06/04/2026 passed by this Tribunal in the above mentioned case, it is ordered that the Applicant Certificate Holder Bank is entitled to recover a sum of Rs. 4951770.87 along with cost. expenses and interest from the 19/02/2025 i.e. date of filing / with effective date of the OA/118/2025 and future interest from order date till the date of realisation in full, jointly or severally from the Certificate Debtors, hereinafter referred to as:-

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CD Name	IJ1)a Type	Int. i Type/Mode,	Int. IRate	Effective Date	Order Date	It(Rs.) 1110	Li:bUity	Interest (as 0 Order Date)	RC !Amount(Rs.)
		Compound Interest (Monthly )				DS 1770.87	Fointly ,nd ly	:1lltcrcst on Order Date	F95177C).87
ICKY UMAR		!Compound Interest !(Monthly)	70	119/02/2025		951770.87	lointly ,nd ;evemlly	lterest on Order Date	1495 1770.87

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In case of failure to pay the aforementioned adjudicated amount within 30 days, same shall be recovered from the sale of the mortgaged/hypothecated assets as well as other personal movable/ Immovable assets of the certificate debtors.

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The mortgaged or hypothecated assets to secure the loan in question are hereby attached and shall be subject to the final order under the recovery proceeding in pursuance of the Recovery certificate issued under Section 19(22) of Recovery of Debts and Bankruptcy Act 1993. Parties are directed to appear before MANOJ KUMAR , Recovery Officer, DEBTS RECOVERY TRIBUNAL PATNA on 20/05/2026

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The Recovery Officer shall realize the amount as per this Certiticate in the manner and mode prescribed under Sections 25 to 28 of the Recovery of Debts Due to Banks and Financial Institutions Act2 1993 (as amended from time to time) from the above named Certificate Debtors.

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This Certificate has been issued under my signature and seal of the Tribunal on this 07/04/2026

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PRESIDING OFFICER DEBTS RECOVERY TRIBUNAL PATNA P?esldel Often IUla R•COV• IY Tdbu'e1 ?rT84

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FORM NO. 10

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[See Regulation 24(2)]

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DEBTS RECOVERY TRIBUNAL PATNA

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2nd Floor, (A. B & F Wing) Karpuri Thakur Sadan, Kendriya Karamchari Parisar

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(GPOA), Ashiana Digha Road, Patna-800025 .

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SCHEDULE TO RECOVERY CERTIFICATE MEMO OF COSTS

RC No. 145/2026

Case No: OA/118/2025

Applicant(s): CENTRAL BANK OF INDIA Versus

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Defendant(s): M/S CITY IN MALL

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temofCosts	lount inRs
)	158000
s	b
AdvocateFees
s ;–	[0
e	[0
Fotal Costs:Rs,	_f5 8099

Place: PATNA

b/ PRESIDING OFFICER

Date: 07/04/2026

DEBTS RECOVERY TRIBUNAL PATNA

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PyeSldinq f31ftcap

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Note: Strike out whichever is not applicable

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I)ebU RecoverY THbu11ai PA'FNA

Central Bank of India v. M/s City in Mall

Case brief

What is this about?

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Central Bank of India v. M/s City in Mall

Case brief

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What did the court decide?

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