Allowed

Indian Overseas Bank v. Ms Paridhi Enterprises

DRT15 Jul 2026OA/1259/2022

Case brief

AI extract

What is this about?

The Debts Recovery Tribunal allowed the original application filed by Indian Overseas Bank to recover Rs. 26.74 lakhs from three respondents, including a proprietorship firm and its guarantor. The respondents proceeded ex-parte. The Court declared them jointly liable and directed the issuance of a Recovery Certificate.

What did the court decide?

Defendants declared jointly and severally liable to pay Rs. 26,74,868 with interest. Recovery Certificate issued for realization of dues from hypothecated assets and personal properties under Sections

Indian Overseas Bank versus Ms Paridhi Enterprises — Banking and Recovery | DRT (2026)

¶1

“ORIGINAL APPLICATION” No. 1259 of 2022

¶2

BEFORE THE DEBTS RECOVERY TRIBUNAL, JAIPUR PRESENT- SHRI VIMAL GUPTA

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PRESIDING OFFICER

¶4

O.A. NO. 1259 OF 2022

¶5

DATE OF DELIVERY OF ORDER 15.07.2026

¶6

INDIAN OVERSEAS BANK , A Body Corporate constituted under the Banking Companies (Acquisition and Transfer of Undertaking) Act of 1970, having its Central Office at 763 Anna Salai, Chennai – 600002, India, AND a Branch Office at Bombay Motors Circle, Jodhpur, Rajasthan through Mr. Himanshu Mittal duly constituted Attorney and authorized Officer.

¶7

…..Applicant Bank…..

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VERSUS

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1. M/s Paridhi Enterprises , through its proprietor Mr. Laxman Daga, at F-89, Kartarpura Industrial Area, 22 Godam, Jaipur – 302019, Rajasthan.

¶10

2. Mr. Laxman Daga S/o Shri Champa Lal, Proprietor M/s. Paridhi Enterprises, R/o Plot No. 161, Behind Pakija Chakki, Kamla Nehru Nagar, Jodhpur, Rajasthan.

¶11

Also At:-

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D-14, Ashpurna Empire, Opposite DAV School, Near Community Center, Amrapali Circle, Vaishali Nagar, Jaipur, Rajasthan 302021.

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3. Mr. Ram Daga S/o Shri Champa Lal, R/o Kila Road, Nagori Gate, Jodhpur.

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Also at:-

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Opposite Adarsh Vatika, Partap Nagar, Jodhpur, Rajasthan342001.

¶16

……Defendants…..

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Order signed & uploaded on 17.07.2026.

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OA No. 1259 of 2022

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Counsel for the Applicant Bank Sh. Satya Prakash Yadav Defendants Ex parte

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JUDGMENT

¶22

This Original Application was filed by the applicant bank on 05.11.2022 for recovery of outstanding amount of Rs. 26,74,868/- from the Defendants.

¶23

As per the pleadings, Defendant No. 1 is Proprietorship Firm of the Defendant No. 2 who is the sole proprietor of the Defendant No. 1. Defendant No. 1 represented as principal borrower and Defendant no. 2 in the capacity of Proprietor and Defendant no. 3 in the capacity of guarantor had approached the applicant bank for availing Cash Credit facility & Term Loan.

¶24

After due consideration, the said cash credit facility of Rs. 10 Lac and Term Loan of Rs. 26 Lac was sanctioned by the Applicant Bank in favour of Defendants in the year 2014 vide sanction letter dated 02.09.2014 which was subsequently renewed / reduced / modified / enhanced from time to time and lastly renewed vide sanction letter dated 17.09.2020.

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The said loans were secured by Defendant No. 3 as guarantor in Term Loan & GECL Loan.

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Defendants were also granted loan under CGECL scheme by the applicant bank vide sanction letter dated 19.09.2020 for sum of Rs. 2 Lac.

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Order signed & uploaded on 17.07.2026.

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OA No. 1259 of 2022

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The said CGECL Loan facility was secured by extending the collateral security of the primary loan after duly executing the agreement of term loan and hypothecation dated 31.10.2020.

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It is submitted that the Defendants have availed the facilities of Term Loan, Cash Credit and GECL loans from the bank and amount which have been availed by them, have been credited to the respective loan account and numerous demand letters and notices, and declaration of the account as NPA failed to move the Respondents to repay their outstanding loan amounts.

¶32

It is submitted that the Statement of Account of the Loans granted to Defendants maintained in Applicant Branch shows the balance of Rs.14,01,486/- for the Term Loan account and Rs. 10,61,134/- for the CC Loan Account and Rs.2,12,248/- for the GECL Loan Account and in total Rs. 26,74,868/- till 31.07.2021.

¶33

Defendants failed to maintain financial discipline and therefore, their loan account was classified as NPA. Applicant Bank has therefore, filed this original application for recovery of its dues against the Defendants.

¶34

Revival letters dated 21.12.2016, 03.01.2019 and 31.10.2020 were filed by the Application Bank. Accordingly, this OA is well within the limitation.

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Summons were issued to the Defendants on 03.12.2022 and summons were re-issued through court commissioner vide order dated 16.04.2025. The said court commissioner filed

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Order signed & uploaded on 17.07.2026.

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OA No. 1259 of 2022

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his report dated 18.06.2025 and as per report address of the Defendant No. 1 to 3 were not found. Despite service none were appeared on behalf of the Defendants, therefore, they were proceeded ex-parte vide order dated 16.09.2025.

¶40

Heard arguments and perused the record.

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As stated supra, the Applicant Bank filed the evidence affidavit of Shri Himanshu Mittal coupled with the recitals in the documents, viz Exhibit A/1 to A/16 marked on behalf of the applicant bank, clinches the claim of the applicant bank against the Defendants. Hence, I hold that the Defendants are jointly & severally liable to pay to the applicant bank the claim made in O.A. with future interest and costs.

¶42

In the result, this O.A. No. 1259 of 2022 is allowed declaring that:-

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a) The Defendants are jointly & severally liable to pay to the applicant bank a sum of Rs. 26,74,868/- (Rupees Twenty Six Lac Seventy Four Thousand Eight Hundred and Sixty Eight Only) with pendente lite and future interest @ 10% (simple) till the date of realization.

¶44

b) The applicant bank is entitled to recover the above amount from the sale of hypothecated assets i.e., stock, plant and machinery including but not limited to computerized embroidery sewing machine (2 in no.) as well as from the personal movable and immovable properties/assets of Defendants. The

¶45

Order signed & uploaded on 17.07.2026.

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¶47

OA No. 1259 of 2022

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applicant bank is entitled to proceed against the same towards recovery of its debt.

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c) The applicant bank is entitled to the costs of the O.A.

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15.The recovery certificate be issued forthwith and be sent to the Recovery Officer, DRT, Jaipur.

¶51

16.Parties are directed to appear before the Recovery Officer, DRT, Jaipur on 18.08.2026 .

¶52

17.Prepare Recovery Certificate accordingly.

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18.A copy of the Judgment and Recovery Certificate be given or sent by registered post to each of the parties free. A copy of the Recovery Certificate be sent to the Recovery Officer of this Tribunal for necessary action as per the law.

¶54

(Vimal Gupta) Presiding Officer, Debts Recovery Tribunal, Jaipur

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Order pronounced in the open court today i.e. 15.07.2026 .

¶56

(Vimal Gupta) Presiding Officer, Debts Recovery Tribunal, Jaipur

¶57

Order signed & uploaded on 17.07.2026.

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¶59

OA No. 1259 of 2022

¶60

BEFORE THE DEBTS RECOVERY TRIBUNAL, JAIPUR PRESENT- SHRI VIMAL GUPTA

¶61

PRESIDING OFFICER

¶62

O.A. NO. 1259 OF 2022

¶63

DATE OF DELIVERY OF ORDER 15.07.2026

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RECOVERY CERTIFICATE

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(UNDER SUB Section 22 of the Recovery of Debts due to Banks and Financial Institutions Act, 1993 (Act 51 of 1993)

…..Applicant Bank…..

VERSUS

1. M/s Paridhi Enterprises , through its proprietor Mr. Laxman Daga, at F-89, Kartarpura Industrial Area, 22 Godam, Jaipur – 302019, Rajasthan.

¶70

2. Mr. Laxman Daga S/o Shri Champa Lal, Proprietor M/s. Paridhi Enterprises, R/o Plot No. 161, Behind Pakija Chakki, Kamla Nehru Nagar, Jodhpur, Rajasthan.

¶71

Also At:-

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D-14, Ashpurna Empire, Opposite DAV School, Near Community Center, Amrapali Circle, Vaishali Nagar, Jaipur, Rajasthan 302021.

¶73

3. Mr. Ram Daga S/o Shri Champa Lal, R/o Kila Road, Nagori Gate, Jodhpur.

¶74

Also at:-

¶75

Order signed & uploaded on 17.07.2026.

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¶77

OA No. 1259 of 2022

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Opposite Adarsh Vatika, Partap Nagar, Jodhpur, Rajasthan342001.

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……Defendants…..

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Recovery Certificate for Rs. 26,74,868/-

¶81

In terms of final order dated 15.07.2026 passed by this Tribunal in the above mentioned case, it is ordered that the-

¶82

a) The Defendants are jointly & severally liable to pay to the applicant bank a sum of Rs. 26,74,868/- (Rupees Twenty Six Lac Seventy Four Thousand Eight Hundred and Sixty Eight Only) with pendente lite and future interest @ 10% (simple) till the date of realization.

¶83

b) The applicant bank is entitled to recover the above amount from the sale of hypothecated assets i.e., stock, plant and machinery including but not limited to computerized embroidery sewing machine (2 in no.) as well as from the personal movable and immovable properties/assets of Defendants. The applicant bank is entitled to proceed against the same towards recovery of its debt.

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c) The applicant bank is entitled to the costs of the O.A.

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Parties are directed to appear before the Recovery Officer, DRT, Jaipur on 18.08.2026 .

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The Recovery Officer shall realize the amount as per this Certificate in the manner and mode prescribed under Section 25 and 28 of the Recovery of Debts Due to Banks and Financial

¶87

Order signed & uploaded on 17.07.2026.

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¶89

OA No. 1259 of 2022

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Institutions Act, 1993 (as amended from time to time) from the above named Certificate Debtor.

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This Certificate has been issued under my signatures and seal of the Tribunal on this 15.07.2026 .

¶92

(Vimal Gupta) Presiding Officer, Debts Recovery Tribunal, Jaipur

¶93

Order signed & uploaded on 17.07.2026.

¶94

¶95

OA No. 1259 of 2022

¶96

BEFORE THE DEBTS RECOVERY TRIBUNAL, JAIPUR PRESENT- SHRI VIMAL GUPTA

¶97

PRESIDING OFFICER

¶98

O.A. NO. 1259 OF 2022

¶99

DATE OF DELIVERY OF ORDER 15.07.2026

¶100

SCHEDULE TO RECOVERY CERTIFICATE

MEMO OF COST

…..Applicant Bank…..

VERSUS

1. M/s Paridhi Enterprises , through its proprietor Mr. Laxman Daga, at F-89, Kartarpura Industrial Area, 22 Godam, Jaipur – 302019, Rajasthan.

¶106

2. Mr. Laxman Daga S/o Shri Champa Lal, Proprietor M/s. Paridhi Enterprises, R/o Plot No. 161, Behind Pakija Chakki, Kamla Nehru Nagar, Jodhpur, Rajasthan.

¶107

Also At:-

¶108

D-14, Ashpurna Empire, Opposite DAV School, Near Community Center, Amrapali Circle, Vaishali Nagar, Jaipur, Rajasthan 302021.

¶109

3. Mr. Ram Daga S/o Shri Champa Lal, R/o Kila Road, Nagori Gate, Jodhpur.

¶110

Also at:-

¶111

Opposite Adarsh Vatika, Partap Nagar, Jodhpur, Rajasthan342001.

¶112

……Defendants…..

¶113

Order signed & uploaded on 17.07.2026.

¶114

¶115

OA No. 1259 of 2022

¶116

S.No.	Item of Costs	Amount (Rs.)
1	Fee on the Application	29,000.00
2	Process Fee (Inc. Publication)	110.00
3	Advocate Fee	1,250.00
4	Court Commissioner’s Fees	10,000.00
5	Commission/Receiver/Valuation	NIL
6	Miscellaneous Charges	NIL
	Total	40,360.00

¶117

(Vimal Gupta) Presiding Officer, Debts Recovery Tribunal, Jaipur

¶118

Order signed & uploaded on 17.07.2026.

OA No. 1259 of 2022

15.07.2026

Counsel:

Sh. Satya Prakash Yadav, Counsel for Applicant Bank Defendants are ex-parte

¶124

Judgment dictated separately and pronounced in the open court. As per order the O.A. is allowed. Recovery Certificate be prepared accordingly and the Registry is directed to verify the Recovery Certificate as per Regulation 22(1) of Debts Recovery Tribunal Regulation 2024 and after verification place the same before the Tribunal.

¶125

(Vimal Gupta) Presiding Officer, Debts Recovery Tribunal, Jaipur

¶126

Order signed & uploaded on 17.07.2026.

OA No. 1259 of 2022

15.07.2026

Counsel:

Sh. Satya Prakash Yadav, Counsel for Applicant Bank Defendants are ex-parte

¶132

The Tribunal vide order dated 15.07.2026 , directed the Registrar to verify the Recovery Certificate as per Regulation 22(1) of Debts Recovery Tribunal Regulation 2024.

¶133

The Registrar vide order dated 15.07.2026 verified the Recovery Certificate as per Regulation 22(1) of Debts Recovery Tribunal Regulation 2024. Recovery Certificate be prepared accordingly. Copy of the Judgment and Recovery Certificate be given free to the concerned parties as well as be sent to the Recovery Officer for further proceedings. File be put up before the Registrar for compliance. After compliance file be consigned to record.

¶134

(Vimal Gupta) Presiding Officer, Debts Recovery Tribunal, Jaipur

¶135

Order signed & uploaded on 17.07.2026.

Indian Overseas Bank v. Ms Paridhi Enterprises

Case brief

What is this about?

What did the court decide?

Indian Overseas Bank v. Ms Paridhi Enterprises

Case brief

What is this about?

What did the court decide?

What the court decided

A compact analysis

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Statutes considered

Parties & counsel

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Case details

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