Allowed

State Bank of India v. Ascon Dairy Private Limited

DRT15 Jun 2026OA/215/2024

Case brief

AI extract

What is this about?

The Debts Recovery Tribunal disapproved of the defendant's default in repayment. The applicant bank filed an original application for recovery of credit finance dues. The court allowed the application and directed payment of the outstanding amount with interest.

What did the court decide?

Direct defendants to pay Rs. 11,29,57,409/- with interest within 30 days; failing this, recover from sale of mortgaged/hypothecated properties and other assets.

State Bank of India versus Ascon Dairy Private Limited — Company and Corporate | DRT (2026)

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O.A. No.215 of 2024

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Debts Recovery Tribunal-I, Delhi 4th floor, ]eevan Tara Building, Parliament Street, New Delhi

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Presiding Officer: Shri Govind Ballabh Sharma

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O.A. No. 215 of 2024

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tate Bank of India

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tressed Assets Management Branch-I olstoy Marg, STC Building, 12th Floor, anpath Road, Jawahar Vyapar Bhawan, ew Delhi-110001

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Applicant

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ersus

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Ascon Dairy Private Limited 69, Ground Floor, New Ashok Nagar asundhra Eastend Apartment elhi-110096

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Iso at:

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scon Dairy Private Limited hasra No.84, Village Salgavan nupshahar, Bulandshahar Road, ahangirabad, UP-203394

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Iso at:

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scon Dairy Private Limited tation Road Chopla, Kuchesar Road ist. Hapur, UP-245101

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Sh.Ankur Bhati

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ouse No,181 Duplex-2, Swarnim Vihar ector-82, Noida, Salarpur,

B.Nagar, UP-201304

Iso at:

h.Ankur Bhati

ouse No.408, Tower-D, Prateek Edifice ector-107, Noida, ist.G.B.Nagar, UP-201304

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Iso at:

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h.Ankur Bhati

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-112B, Sector-44, Noida, B.Nagar, UP-201301

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O.A. No.215 of 2024

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Sh.Dinesh Tiwari

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365, Railway Road, Kuchesar Road Chopla Shahpur Jatt, Ghaziabad Babugarh, UP-245201 Defendants

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Present: Sh.Himanshu Lilani, Counsel for the applicant bank Date of Reserve: 20.05.2026 Date of Pronouncement: 15.06.2026

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FINAL ORDER

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This original application has been filed by the applicant bank on 28.03.2024 through Ms Poonam Chugh, authorized representatives of the applicant banks under Section 19 of Recovery of Debts and Bankruptcy Act, 1993 against the defendants for recovery of a sum of Rs.11,29,57,409/- (Rupees Eleven Crores Twenty Nine Lacs Fifty Seven Thousand Four Hundred Nine only) as on 27.03.2024 along with pendentelite and future interest @11.10% per annum in Cash Credit Account and @9.25% interest in GECL account from the date of filing this application till the date of its realization with costs.

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The brief facts of the case are that on the request of defendant no.1 as private limited company engaged in the business of procurement of milk products and delivering to major suppliers, vide application dated 31.05.2022 for takeover the credit facilities availed from Bank of Maharashtra, the applicant bank sanctioned the following credit facilities to defendant no.1 vide Letter of Arrangement dated 27.07.2022:

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S.N	Facilities	Amount in crore
1	Cash Credit (CC)	8.75
2	GECL I	0.51

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sd-

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O.A. No.215 of 2024

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3	GECL Extension	1.14
4	Pre-Approved SMR Car Loan	0.70
	Total	11.10

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The defendant no.1 also furnished Board Resolution dated NIL on 28.07.2022 to the applicant bank in respect of credit facilities sanctioned. The defendant no.2 and 3 stood as Promoters/directors and stood as guarantors for securing the credit facilities. The applicant bank disbursed the loan in favour of defendant no.1 and cleared the dues of Bank of Maharashtra vide letter dated 28.10.2022 requested to release their charge on secured assets on receipt of payment of defendant no.1 in favour of applicant bank. The defendant also agreed to pay additional penal interest @5% in case of default in repayment of interest or instalment.

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That in order to avail the credit facilities, the defendant no.1 as borrower and defendant no.2 and 3 as guarantors executed Letter of Arrangement (SME-1), Agreement of Loan cum Hypothecation (SME-2), Guarantee Agreement (SME-3), Draft Affidavit cum Declaration, Declaration of Beneficial Ownership, Letter of Consent Clause Agreements, Declaration, Authorization Letters, Certificates, Undertakings, Affidavits of Confirmation of Creation of Equitable Mortgage and Acknowledgement for Receipt of Loan Documents etc. dated 27.07.2022/28.07.2022.

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That in order to secure the credit facilities, the defendant no.1 created exclusive first charge by way of hypothecation of entire current assets, all types of stocks, all present and future book debts/receivables etc. and entire assets created out of bank's finance in favour of applicant bank.

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O.A. No.215 of 2024

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Further, the defendant no.1 created equitable mortgage of properties by depositing the title deed along with chain of documents of the following properties with the applicant bank by executing Memorandum of Recording Creation of Mortgage by Deposit of Title Deeds on 29.10.2022 and executed Letter of Confirmation on 31.10.2022 and 27.12.2022:

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a) Commercial building/Plot bearing Khasra No.283 situated at Village Shakarpur, NH-24, Tehsil & District Hapur, UP245304 admeasuring 1370 sq.metres;

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b) Commercial building / Plot situated at Khasra No.34 & 39, Village Shahpur Jatt, Railway Crossing to Mohammadpur Road, NH-24, Tehsil & District Hapur, UP-245101 admeasuring 2846 sq.metres;

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c) Commercial building / Plot bearing Khasra No.84, situated at Village Salgava, Tehsil Anoopshahar, District Bulandshahar, UP admeasuring 1990 sq.metres.

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The defendants admitted and acknowledged their liability as on 31.03.2023 by executing Balance Confirmation Letter on 06.04.2023 towards the applicant bank.

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It has been submitted by the applicant bank that after availing the credit facilities, the account became highly irregular and defendants failed to maintain financial discipline as per terms and conditions of sanction despite various requests, personal visits etc. The applicant bank time and again called upon the defendants to pay the overdue amounts for regularization of the account but defendants failed to do so. The applicant bank issued legal demand notice on various dates but defendants paid no heed. Ultimately, the account was classified as NPA on 29.10.2023 as per RBI guidelines, 5q,-

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O.A. No.215 of 2024

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ence, the applicant bank has approached this tribunal for ecovery of its dues.

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• • Notice under Section 13(2) of the Securitisation and econstruction of Financial Assets and Enforcement of Security nterest Act 2002 dated 16.11.2023 was issued by applicant ank and invoked the guarantees of defendant no.2 & 3 but efendants failed to pay the outstanding amount.

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•^� Notices of this O.A. were issued to the defendants and espite of proper service, the defendants have chosen to bsent from the proceedings. As per order dated 22.09.2025, efendants have been proceeded ex-parte as not appeared efore the Tribunal and even no written statement, evidence nd affidavit of assets have been filed by the defendants.

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In order to prove its case, the applicant bank has filed its vidence by way of affidavit of Mrs.Poonam Chugh, authorized epresentative of the applicant bank who have proved the ocuments as Gazette Notification, Master data of Defendant 0.1, Board Resolution, Loan Application dated 31.05.2022, etter of Arrangement, Agreements of Loan cum ypothecation (SME-2), Guarantee Agreements, Affidavits cum eclarations, Declaration of Beneficial Ownership, Consent lause Agreement for Agreements/ Documents, Sharing of nformation & Disclosure to Information Utility, Authorization etters, Certificates, Undertakings, Affidavits, Declarations, nd Use Certificate, Acknowledgement for Receipt of Loan ocuments & Schedule, Communication dated 28.10.2022 for elease of Charge, Memorandum for Recording Creation of ortgage by Deposit of Title Deeds, Chain of Documents of ortgaaed Properties, Balance Confirmation Letter, Legal remand Notices, Demand Notice under Section 13(2) of 5d—

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O.A. No.215 of 2024

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SARFAESI Act, Certified Statement of Accounts under Bankers' Book Evidence Act, Certified for Computerized Statement marked as Ex.AW1/1 to Ex.AW1/78.

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The applicant bank has fully corroborated the averments made in the O.A. Even otherwise the whole case of the applicant bank is based on the documents and the same have been duly proved.

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The case filed by the applicant bank gone unrebutted and there is no question of disbelieving the case of the applicant bank and the applicant bank has proved its case beyond reasonable doubts.

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In the light of the above discussions, the Original Application deserves to be allowed.

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ORDER

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allow this OA and direct the defendants to pay to the applicant bank within a period of 30 days, jointly or severally, a sum of Rs.11,29,57,409/- (Rupees Eleven Crores Twenty Nine Lacs Fifty Seven Thousand Four Hundred Nine only) as on 27.03.2024, out of which:

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Rs.9,81,78,457/- in Cash Credit account along with pendentelite and future interest @13.10% per annum interest;

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Rs.1,47,78,952/- in GECL account along with pendentelite and future interest @11.25% per annum interest.

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O.A. No.215 of 2024

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rom 27.03.2024 till the date of its realization and costs, failing which the aforesaid amount shall be recovered from the sale of hypothecated stocks, book debts, Receivable etc. of defendant no.1 as well as sale of following mortgaged properties:

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a) Commercial building/Plot bearing Khasra No.283 situated at Village Shakarpur, NH-24, Tehsil & District Hapur, UP245304 admeasuring 1370 sq.metres;

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b) Commercial building / Plot situated at Khasra No.34 & 39, Village Shahpur Jatt, Railway Crossing to Mohammadpur Road, NH-24, Tehsil & District Hapur, UP-245101 admeasuring 2846 sq.metres;

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c) Commercial building / Plot bearing Khasra No.84, situated at Village Salgava, Tehsil Anoopshahar, District Bulandshahar, UP admeasuring 1990 sq.metres.;

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In case of shortfall, the same shall be recovered from sale of movable and immovable properties of the defendants.

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(II) The recovery certificate be issued forthwith and be sent to the Recovery Officer, Debt Recovery Tribunal-I, Delhi.

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(III) Parties are directed to appear before the Recovery Officer, DRT I, Delhi on 17.08.2026.

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(IV) Copies of final order as well as Recovery Certificate are to be sent to all concerned free of cost.

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(GOVIND BALLABH SHARMA) PRESIDING OFFICER DRT-I, DELHI

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(Dictated and pronounced in open court) Dated: 15.06.2026

State Bank of India v. Ascon Dairy Private Limited

Case brief

What is this about?

What did the court decide?

State Bank of India v. Ascon Dairy Private Limited

Case brief

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