Allowed

Idfc First Bank Ltd. v. Raj Impex and Others

DRT23 Mar 2026OA/1332/2025

Case brief

AI extract

What is this about?

This tribunal allowed the original application filed by IDFC First Bank under Section 19 of the Recovery of Debts and Bankruptcy Act, 1993, for recovery of a loan amount of Rs.23,16,708.19.

What did the court decide?

Declaratory of defendants' joint and several liability to pay Rs.23,16,708.19 with costs and future simple interest @ 8% p.a.; Enforcement through attachment and sale of assets.

Idfc First Bank Ltd. versus Raj Impex and Others — Company and Corporate | DRT (2026)

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DEBTS RECOVERY TRIBUNAL-III, CHANDIGARH

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ORIGINAL APPLICATION NO.1332/2025

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PRESIDED OVER BY MRIDULESH KUMAR SINGH

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DATE OF INSTITUTION: 15.09.2025

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DATE OF DECISION: 23.03.2026

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IDFC FIRST BANK LTD (erstwhile Capital First Limited), inter alia having its Registered Office at KRM Towers, 7^th Floor No.1, Harrington Road, Chetpet Chennai-600031 and having its branch office at Plot No. 28, Industrial Area Phase-1, Chandigarh through its Authorized Representative Sh. Savinder Singh, Manager Legal

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……..Applicant

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Versus

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Raj Impex through its proprietor, Sh. Sudhir Kumar Narang, having office at Flat No. 1203, Tower Maple 1, Centra Green, Pakhowal Road, Ludhiana-142022

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IInd Address:

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Flat No.2, Tower Hazel 2, Centra Greens, Pakhowal Road, Ludhiana-142022

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IIIrd Address:

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Shakti Enclave, 44C Dugri Road, Model Town Extension, Ludhiana-141001

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Sh. Sudhir Kumar Narang S/o Sh. Mehanga Ram, having office at Flat No. 1203, Tower Maple 1, Centra Green, Pakhowal Road, Ludhiana-142022.

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IInd Address:

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Flat No.102, Tower Hazel 2, Centra Greens, Pakhowal Road Ludhiana-142022

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IIIrd Address:

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Shakti Enclave, 44 C, Dugri Road, Model Town Extension, Luhdiana-1410001

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Smt. Santosh Narang W/o Sh. Sudhir Kumar Narang s/o Sh. Mehanga Ram, having office at Flat No. 1203, Tower Maple 1, Centra Green, Pakhowal Road, Ludhiana-142022

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IInd Address:

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2 OA/1332/2025 IDFC FIRST BANK LTD VS. RAJ IMPEX AND OTHERS

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Flat No. 102, Tower Hazel 2, Centra Greens, Pakhowal Road, Ludhiana-142022

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IIIrd Address:

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Shakti Enclave, 44 C, Dugri Road, Model Town Extension Ludhiana-1410001

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….……Defendants

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Advocates:

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Argued by Sh. Pehl Singh, Advocate proxy for Sh. Abhishek Bhateja, Advocate for the applicant

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Sh. Karan Dev Ray, Advocate for Defendants (through VC)

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FINAL ORDER

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Present Original Application was instituted by the applicant under Section 19 of the Recovery of Debts and Bankruptcy Act, 1993, against the defendants for recovery of Rs.23,16,708.19 (Rupees Twenty Three Lacs Sixteen Thousand Seven Hundred Eight and Paise Nineteen Only). The Original Application has been filed through Sh. Savinder Singh, Manager Legal of the applicant, who is competent to institute the Original Application vide Authority Letter dated 10.08.2023, which is Annexure A1 to this OA. 2. The brief facts of the OA are that the defendant no.1 through its proprietor defendant no. 2, and the defendant nos. 2 and 3 as coapplicants approached the applicant for the grant of Business Loan of Rs.25.50 Lacs vide Loan application dated 09.08.2024, which is Annexure A2 to this OA. 3. The applicant sanctioned the Business Loan Rs.25.00 Lacs vide Sanction letter dated 17.08.2024, which is Annexure A3 to this OA and the terms and conditions were duly accepted by the defendants. Documents executed : Loan Agreement dated 29.08.2024 which is Annexure A4 to this OA; Statement of account, loan foreclosure and Certificate under the Bankers Books Evidence Act, which is Annexure A5(Colly) to this OA; Loan Recall Notice dated 05.09.2025 with Postal Receipts, which are Annexures A6 and A7 to this OA.

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3 OA/1332/2025 IDFC FIRST BANK LTD VS. RAJ IMPEX AND OTHERS

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The loan account became irregular and was classified as NPA and after adjusting debit and credit entries in loan account there was a debit of Rs.23,16,708.19 which is recoverable and the defendants were served recall notices but they did not repay the outstanding amount, therefore, the applicant requested to accept the application and to issue Recovery Certificate accordingly.

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The defendants were served notices to appear before this Tribunal. Sh. Karan Dev Ray, Advocate for defendants appeared on 04.11.2025 and file his Power of Attorney of behalf of defendants. However, no WS was filed by defendants, therefore, opportunity to file WS by defendants was closed and their defense was struck off vide order dated 10.02.2026.

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In support of the OA, affidavit of Sh. Savinder Singh, Manager Legal, IDFC First Bank Ltd., has been filed.

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Heard ex-parte arguments and perused record.

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It was argued by learned proxy counsel through video conferencing that in view of the documentary evidence brought on record which had gone unrebutted, the applicant had proved its case. From the perusal of all the Annexures A1 to A7 to this OA, it is proved that the defendants approached applicant for availing of the loan facility which was granted to them and for that they had executed all the relevant documents in favour of the applicant. The defendants failed to pay back the loan as per terms and conditions of the agreement between the parties. Subsequently, account of the defendants was classified as NPA. From the documentary evidence brought on record, it is proved that applicant is entitled to recover a sum of Rs.23,16,708.19 (Rupees Twenty Three Lacs Sixteen Thousand Seven Hundred Eight and Paise Nineteen Only) with interest from the defendants, jointly and severally, from the date of filing of the present Original Application till realization of the account.

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In so far as pendente lite and future rate of interest is concerned, the applicant in relief clause has claimed interest @24.00%p.a. from 06.09.2025 till the realization.

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4 OA/1332/2025 IDFC FIRST BANK LTD VS. RAJ IMPEX AND OTHERS

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The Tribunal is of the considered opinion that sometimes in appropriate cases the prerogative of mercy is the brightest jewel in the crown of the Judge. Keeping in view the facts and circumstances of the instant case including undertaking of the defendants, quantum of loan and prevalent market rates of interest which have gone drastically downhill in yester years, while exercising the discretion vested in this Tribunal, this Tribunal deems it just and appropriate to grant uniform simple interest @8.00%p.a. in the loan account from the date of filing of the OA till realization of the amount ordered vide this final order. It is ordered accordingly.

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In the result, the application is allowed declaring that the defendants are liable to pay to the applicant a total sum of Rs.23,16,708.19 (Rupees Twenty Three Lacs Sixteen Thousand Seven Hundred Eight and Paise Nineteen Only), jointly and severally, with costs, current and future simple interest @8.00%p.a. in the loan account from the date of filing of OA till the date of realization of the amount. Accordingly, the applicant shall be entitled to recover aforesaid amount by attachment and sale of personal assets of the defendants. The applicant is at liberty to enforce the claim through due process of law.

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11. Any other application pending stands disposed of.

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Issue Recovery Certificate accordingly.

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Parties to appear before Learned Recovery Officer of this Tribunal on 15.04.2026.

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Copy of this order be given dasti to the applicant and be sent to defendants through registered/speed post and this order be also uploaded on the official website of this Tribunal and record be consigned.

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Pronounced by me in the open Tribunal .

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Dated: 23.03.2026.

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(MRIDULESH KUMAR SINGH) Presiding Officer, DRT-III, Chandigarh

Idfc First Bank Ltd. v. Raj Impex and Others

Case brief

What is this about?

What did the court decide?

Idfc First Bank Ltd. v. Raj Impex and Others

Case brief

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What did the court decide?

What the court decided

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