Allowed

Punjab National Bank v. Amit Ray

DRT20 Jan 2026OA/248/2023

Case brief

AI extract

What is this about?

The Debts Recovery Tribunal, Patna, approved an application by Punjab National Bank to recover a loan of approximately Rs. 23.72 lakh from Amit Ray, who failed to repay a term loan. The debt was quantified via bank documents and a statement of account, which were accepted as evidence without contradiction from the defendant.

What did the court decide?

The defendant is ordered to pay the bank Rs. 23,72,938/- along with interest and costs, and the mortgaged assets are attached for realization by the Recovery Officer.

Punjab National Bank versus Amit Ray — Banking and Recovery | DRT (2026)

OA 248 of2023jJ]

DRT, PATNA

Debts Recovery Tribunal, Patna

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Karpuri Thakur Sadan, Aashiana Digha Road Patna-800025

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Presiding Officer : Shri Kaushalendra Yadav

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OA Case No. 248 of 2023

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Punjab National Bank, Branch Office- Main Road, District- East Champaran845401, Bihar

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Amit Ray, S/o Late Rajendra Ray, at Village- Dostiya, P.O.- Barwa, P.S.Lakhaura, Block- Motihari, District- East Champaran, PAN No.CBNPR8108N

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. . Defendant

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Present:

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For the Applicant Shri Arvind Kumar, Advocate For the Defendant Shri Rajesh Ranj an, Advocate

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Dated:20.01.2026

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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 11.05.2023 against the defendant to recover its debts from defendant of Rs.23,72,938/- as on 15.04.2023 along with pendente-lite and future interest at the contractual rate from 16.04.2023 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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3 . Defendant approached the applicant bank for sanction of Term Loan of Rs.15,42,330/- vide loan application dated 05.05.2017, which was sanctioned by the applicant bank on 24.05.2017 on various terms and conditions, as stipulated in the sanction letter, which were duly accepted by the defendant. To secure the loan facilities defendant has executed various loan and security documents and also created mortgage in favour of the applicant bank, details of which are given in OA.

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After availing the sanctioned credit facilities, the defendant became irregular in repayment of their dues as per agreed terms and failed to adhere to

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b)\ r,dave Omcn Debts RenTery TribWIH PATN A

OA 248 of2023jJI

DRT, PATNA

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 31.03.2022.

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Since, the defendant 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.23,72,938/- as on 15.04.2023 with pendente-lite and future interest contractual rate from 16.04.2023 till the realization.

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This Tribunal issued summon/notice copies of application & paper book to the defendant by registered/speed post on 27.05.2023, requiring him 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 defendant has appeared by filing vakalatnama but has failed to file written statement within the statutory period hence opportunity for the same was closed vide order dated 24.07.2025. The case was finally heard on 08.09.2025. As none was present for the defendant, hence an opportunity of 15 days was granted to the defendant to file written notes of arguments. But the same has not been filed.

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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 Shri Shailendra Kumar, Chief Manager of the applicant bank. The details of documents are as follows:

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Description of Documents PhotocoDies	Date of Execution	Amount (in Lakh)	Signatureof Executants
llication Loan	05.05.2017		Defendant
Sanctionorder	24.05.2017	Rs.15,42.330/.	Bank
Hypothecation :ement	25.05.2017	Rs.15,42,330/.	Defendant
Photocopyofsimple le deed mort	24.05.2017			4
Balance confirmationletter	21.01.2023		Defendant	5

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pv:tdI\R OOen Debts RecoverY TlibwIB F'ATiq li

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OA 248 of 20231J

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DRT, PATNA

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6 Statement of account

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Bank

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Heard arguments and perused the case record.

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Ld. Counsel of applicant bank submitted that the defendant has 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 defendant is living and carrying on the business in the state of Bihar. Cause of action also arose in the State of Bihar. 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 31.03.2022, whereas the present application has been filed on 11.05.2023. 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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Shri Shailendra Kumar, Chief 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 i as stated above.

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b)\ ?retaIl! OBIe+ Debts aecovery Tribua PATNA

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 certiDed copy of any entry in a banker’s book shall in all legal proceedings be received as prima facie evidence 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 evidence. The statement of account maintained in the ordinary course of 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 defendant has 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 defendant has executed various loan documents, as stated in the application and proved by aforesaid evidence. Defendant has neither denied the utilization of fUnds advanced by applicant bank nor has 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 15.04.2023 has been proved to be Rs.23,72,938/- only by way of statement of account. There is nothing to prove the amount more than that disclosed in the

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bA\ w„tang Ogle.e irJlt- teCovc:r) Tlibwtd r/ITIl /

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' aforementioned statement. As such this amount is recoverable till 6l11 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 defendant of Rs.23972,938/- along with pendente-lite and future interest @ 10% p.a. simple from 11.05.2023 (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 defendant. The defendant is hereby, ordered to pay the applicant bank its debt amounting to Rs.23,72,938/- along with pendente-lite and future interest @ 10% p.a. simple from 11.05.2023 (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 defendant, be deducted in the claim amount, if not deducted.

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Defendant is 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 defendant, by sale of mortgaged/ hypothecated assets as well as other personal movable/immovable assets of the

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DRT, PATNA

OA 248 of2023jJI

defendant. The Recovery Officer will issue demand notice to the Certificate debtors only after the proof of compliance under rule 16 of DRT (Procedure) Rules 1993, is submitted. 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 27.02.2026. The order be communicated accordingly.

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Judgment signed, sealed, dated and pronounced in the open court on 20th day of January, 2026.

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Dictated &corrected by me.

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i„

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[KaushalendraYadav] Presiding Officer

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FORM NO. 9 [See Regulation 24( 1 )]

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DEBTS RECOVERY TRIBUNAL PATNA

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2nd Floorp (A. B & F Wing) Karpuri Thakur Sadanp Kendriya Karamchari Parisar (GPOA), Ashiana Digha Road, Patna-800025.

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CERTIFICATE UNDER SECTION 19(7) RE OF DEBTS & BANKRUPTCY ACT, 1993, AS AMENDED FROM TIME TO TIME.

RC No. 22/2026

Case No: OA/248/2023

In the Matter of:

(CH- 1) PUNJAB NATIONAL BANK BRANCH OFFICE- MAIN ROAD.

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Applicant(s)

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PURBA CHAMPARAN ,BIHAR -845401

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To (CD- 1) AMIT RAY . S/o Late Rajendra Ray Defendant(s) at Village- Dostiya, PO- Barwa, P.S.Lakhaura, Block- Motihari, Purba Champaran ,BIHAR

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Recovery Certifigate for Rs 2372938,00 LEIlpegs TWenty Three Lakh$ Seventy T.v9 ThQy$and$ Nine Hundred Thirty Eight Only_]

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In terms of final order dated 20/01/2026 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. 2372938.00 along with cost, expenses and interest from the 16/05/2023 i.e. date of filing / with effective date of the OA/248/2023 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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Eno	CD Fam	iILoan	It, rpe/Moth	Int. i 'e	IEffective Date	Order Date	lount(Rs.)	Liabilit Type		RC lountCRs.)I
			Simple nterest 6arly)	10i	f16/05/2023F	l20/01/202	6 i72938.00	fIFuny	on IOrder IDate	2372938 F

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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 ASHISH KUMAR , Recovery Officer, DEBTS RECOVERY TRIBUNAL PATNA on 27/02/2026.

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The Recovery Officer shall realize the amount as per this Certificate in the manner and mode prescribed under Sections 25 to 28 of the Recovery of Debts Due to Banks and Financial Institutions Act, 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 29/01/2026

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PRESIDING OFFICER
IE11:1111!)(111SIII IM : q% i b Im a 1
Paula

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FORM NO. 10 [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. 22/2026

Case No: OA/248/2023

Applicant(s): PUNJAB NATIONAL BANK Versus

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Defendant(s): AMIT RAY

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[temofCosts	lountinRs
'eeon the application	m2
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Place: PATNA

PRESIDING OFFICER

Date: 29/01/2026

Note: Strike out whichever is not applicable

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DEBTS RECOVERY TRIBUNAL PATNA

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P,BlaH OFc'1 t)abb BetH• IY TtUlu;'w P4TB4b

Punjab National Bank v. Amit Ray

Case brief

What is this about?

What did the court decide?

Punjab National Bank v. Amit Ray

Case brief

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What did the court decide?

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