Allowed

Canara Bank v. M/S Vee Kay Chemicals

DRT27 May 2026OA/1825/2023

Case brief

AI extract

What is this about?

The Debts Recovery Tribunal allowed the applicant bank's application for recovery of Rs.39.66 lakh with interest. The court found the bank's case proved regarding advance limits and dues. The order declared joint and several liability for defendants, with specific provisions for legal heirs of the deceased partner.

What did the court decide?

Recovery of Rs.39,66,048.20 with interest allowed; Recovery Certificate issued; Sale of hypothecated assets directed.

Canara Bank versus M/S Vee Kay Chemicals — Company and Corporate | 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: 1825/2023

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Date of Institution: 21.09.2023 Date of Decision: 27.05.2026

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Canara Bank, having its branches all over India and inter alia a branch office at SME, Industrial Area Jalandhar, District Jalandhar, Punjab.

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. ..Applicant

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Vs.

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M/s Vee Kay Chemicals through its Partners i.e., Plot No. 27, Ground Floor, Durga Colony Tehsil and District Jalandhar Punjab.

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a. Vikram Uppal S/o Sh. Vishwa Mittar (Partner) through his Legal heirs: -

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I. Alka Uppal w/o Late Sh. Vikram Uppal , II. Ayush Uppal S/o Late Sh. Vikram Uppal, III. Kanav Uppal S/o Late Sh. Vikram Uppal,

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b. Smt. Alka Uppal w/o Late Sh. Vikram Uppal,

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c. Sh. Ayush Uppal S/o Late Sh. Vikram Uppal,

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Vikarm Uppal S/o Sh. Vishwa Mittar (Partner) through his Legal heirs: -

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I. Alka Uppal w/o Late Sh. Vikram Uppal,

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II. Ayush Uppal S/o Late Shr. Vikram Uppal,

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III. Kanav Uppal S/o Late Sh. Vikram Uppal,

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Alka Uppal w/o Late Sh. Vikram Uppal,

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Ayush Uppal S/o Late Sh. Vikram Uppal,

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Sh. Vikram Uppal s/o Sh. Vishwa Mittar through his Legal heirs:-

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I. Alka Uppal w/o Late Sh. Vikram Uppal

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II. Ayush Uppal S/o Late Shr. Vikram Uppal

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III. Kanav Uppal S/o Late Sh. Vikram Uppal

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Smt. Alka Uppal w/o Late Sh. Vikram Uppal,

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Sh. Ayush Uppal s/o Late Sh. Vikram Uppal,

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All are resident of #27, Durga Colony, Jalandhar Punjab.

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…Defendants

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Advocates

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Mr. Manu Loona, Counsel for the applicant Bank (on VC). None for defendants.

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OA for the Recovery of Rs.39,66,048.20p with interest @11.05% per annum with monthly rests from 21.09.2023.

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ORDER

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Canara Bank, (Bank) has filed this application under Section 19 of the Recovery of Debts and Bankruptcy Act, 1993 (RDB Act) for the recovery of Rs.39,66,048.20p with interest against M/s Vee Kay Chemicals and others (defendants).

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Bank’s case is that defendant No.1 is a partnership firm comprising Vikram Uppal (defendant No.2); Alka Uppal (defendant No.3) and Ayush Uppal (defendant No.4) as partners. Vikram Uppal defendant No.2 has died and his LRs were impleaded. Defendants. No.5 to 7 are the same persons as defendants No.2 to 4. They are guarantors also. Bank had granted an OCC limit of Rs.30.00 lacs; GECL limit of Rs.6.00 lacs, and another GECL limit of Rs.3,93,000/- on 05.06.2020 for business purposes under the CGTMSE Scheme against the hypothecation of stocks and book debts (fully detailed in para No. 5(viii) of the application). Despite repeated requests, the defendants did not make the repayment. Hence, this application.

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Defendants were duly served, and they filed their written statement wherein they denied the case of the applicant Bank. 4. After perusing the evidence on the record, I am of the considered view, that the Bank has proved its case that it had advanced OCC limit of Rs.30.00 lacs; GECL limit of Rs.6.00 lacs, and another GECL limit of Rs.3,93,000/- and on 03.07.2023, a sum of Rs.39,66,048.20p was due. 5. Accordingly, the application of the bank for the recovery of Rs.39,66,048.20p (Rupees Thirty Nine Lacs Sixty Six Thousand Forty Eight and Paisa Twenty Only) with interest @11.05% per annum with monthly rests from 21.09.2023, till the date of payment is hereby

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allowed with costs. The liability of all the defendants except LRs of Sh. Vikram Uppal would be joint and several. The LRs of Sh. Vikram Uppal would be liable to pay the dues to the extent of property inherited by them from Sh. Vikram Uppal (now deceased). Bank can recover its dues by the sale of hypothecated stocks and book debts fully detailed in para No.5(viii) of the application as well as from the personal movable and immovable property(ies) of the defendants except LRs of Sh. Vikram Uppal.

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Pending IAs, if any, stand disposed of. 7. Recovery Certificate be issued accordingly. 8. Parties are directed to appear before Recovery Officer on 29.06.2026, who is directed to distribute the sale proceeds of the hypothecated stocks and book debts as per the provisions of Section 19(20-AB) of the Act .

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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: 27.05.2026 Presiding Officer DRT-1, Chandigarh Pankaj

Canara Bank v. M/S Vee Kay Chemicals

Case brief

What is this about?

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Canara Bank v. M/S Vee Kay Chemicals

Case brief

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