Allowed

Bank of Baroda v. M/s Human Care Pharma

DRT29 Jun 2026OA/248/2025

Case brief

AI extract

What is this about?

In ex-parte proceedings for recovery of dues under the RDB Act, the Tribunal, satisfied with the bank's documentary evidence and affidavit, allowed the application, determined the debt, and directed the issuance of a recovery certificate under Section 19(22).

What did the court decide?

Recovery of Rs. 23,54,451.62 along with pendente-lite and future interest at 10% p.a. with issuance of recovery certificate under Sections 25 to 28 for recovery by sale of assets.

Bank of Baroda versus M/s Human Care Pharma — Banking and Recovery | DRT (2026)

DRT, PATN A

OA 248 of 2025jJI

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 2025

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Bank of Baroda, B.O.- Danapur, District- Patna, Bihar

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,Applicant

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M/s Human Care Pharma, Shop at B.M. Complex, Saguna More9 Danapur, Patna 801503, Bihar

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Mr. Chan(lan Mahajan, S/o Sri Bimal Prasad Sinha, R/o Block No.29, Flat No.22 1, Bahadurpur Gumti, Kadamkuan, Rajendra Nagar, Patna 8000 16, Bihar

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. . . . . . . Defendants

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Present:

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For the Applicant Shri Jyoti Prakash, Advocate For the Defendants None

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Dated:29.06.2026

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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 03.04.2025 against the defendants to recover its debts from defendants of Rs.23,54,451.62 as on 27.02.2025 along with pendente-lite and future interest at the contractual rate from 28.02.2025 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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Defendant no.1 is a proprietorship firm of which defendant no.2 is the proprietor. Defendants approached the applicant bank for sanction of cash credit of Rs.10 Lakh, vide loan application dated 15.02.2019, which was sanctioned by the applicant bank on various terms and conditions, as stipulated in the sanction letter, which were duly accepted by the defendants. To secure the loan facilities defendants have executed various loan and security documents in favour of the applicant bank, dq\ails #which are given in OA dv

OA 248 of 2025jJl

DRT, PATNA

Defendants again approached the applicant bank for sanction of Term Loan of Rs.11.80 Lakh, vide loan application dated 20.02.2020, which was sanctioned by the applicant bank on 20.02.2020 on various terms and conditions, as stipulated in the sanction letter, which were duly aCcepted by the defendants. To secure the loan facilities defendants have executed various loan and security documents in favour of the applicant bank, details of which are given in OA. The applicant bank has also sanctioned WCTL of Rs.1.99 Lakh on 27.08.2020 due to covid- 19.

¶25

Defendants approached the applicant bank for enhanced of said cash credit of Rs.10 Lakh to Rs.16 Lakh, vide loan application dated 01.06.2022, which was sanctioned by the applicant bank on 21.08.2022 on various terms and conditions, as stipulated in the sanction letter, which were duly accepted by the defendants. To secure the loan facilities defendants have executed various loan and security documents in favour of the applicant bank, details of which are given in OA

¶26

After availing the sanctioned credit facilities, the defendants became irregular in repayment of their dues as per agreed terms and failed to adhere to 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 15.01.2024.

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Since, the defendants 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.23,54,451.62 as on 27.02.2025 with pendente-lite and future interest contractual rate from 28.02.2025 till the realization.

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This Tribunal issued summons/notices copies of application & paper book to the defendants by registered/speed post on 06.05.2025, requiring them to show-cause within 30 days of the service U/s 19 (4) of the Act & Rule of the DRT [Procedure] Rules, 1993. But the defendants have not appeared, hence, the Registry of this Tribunal has ordered to publish the notice in newspaper and subsequently, substituted service by publication/ of notice by way of b a\

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PresIding Oficar D©bts Recovery Tdbuiw PATNA

OA 248 of 2025jJI

DRT1 PATNA

advertisement in newspaper was also made against the defendants on 03.09.2025 in “Dainik Bhaskar” and “Morning India” newspapers.

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Despite the registered summons/notices and publication of notice in newspaper, the defendants have not appeared before this Tribunal to contest the case. The sufficient time has been given to the defendants to defend their case, but they failed to appear and to file WS, hence, the Tribunal has passed an order to proceed ex-parte against the defendants on 29.01.2026.

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

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Sl.No	1Descriptionof Documents Photocopies	1Date of IExecution 1	1Amount I(in 1Lakh)	I Signatur 1 Executa 1	eo nts	nx IAnn. 1No.
	o	2m0	.00	Defendants
	DPlm2			Defendants
	o	2		Defendants
	e	2		Defendants
	o agreement	2		Defendants
6	Composite hypothecation agreement	15.02.2019	10.00	Defendants		6
	Lo)	15.02.2020		Defendants
	Sanction letter	20.02.2020	11.80	Bank accepted defendants	and by
	Dnote	29.02.2020	11.80	Defendants		y
	Letter ofinstalment	29.02.2020	11.80	Defendants
	Composite agreement	29.02.2020	11.80	Defendants
12	InA hypothecation agreement o		11.80	Defendants		12
	Offer letter			Bank
	Sanctionletter	27.08.2020		Bank accepted defendants	and by
	D Pnote	27.08.2020	1.99	Defendants
	Loan-cum- hypothecation agreement	27.08.2020	1.99	Defendants
17	Com agreement	27.08.2020	1.99	Defendants		17
18	Letterof lroDrietorshi s			Defendants		18
19	undertakinJ	27.08.2020	1.99	Defendants		19

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/ (fp

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PresIding OfIce; Debts Recovery TribwW

P .,\

DRT. PATN A

OA 248 of2025jJI

	ADDlication	09.06.2022	16.00	Defendants
	Sanctionletter	21.06.2022	16.00	Bank accepte defendants	and dby
	D P note	21.06.2022	16.00	Defendants
	Letter of sole lroDrietorshi	21.06.2022		Defendants.
	PowerofAttorne'	21.06.2022		Defendants
	Letter ofcontinuing securit'	21.06.2022	16.00	Defendants
	Letterof Pledge	21 .06.2022	e
	Undertakin!	21 .06.2022	e
	Generaldeclaration cum undertakin		e
29	Undertaking cum declaration	21.06.2022		Defendants		29
30	Composite hypothecation agreement	21 .06.2022	e			30
	Le	21 .06.2022	16.00	Defendants
	Letter of acknowledgment of debt	24. 1 1 .2022 11.08.2023		Defendants
	Legal notice	20.12.2024		Bank’sadv.
	Statr accounts			Bank

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Heard arguments and perused the case record.

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Ld. Counsel of applicant bank submitted that the defendants have 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 bark 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 defendants are living and carrying on their 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 laos. The applicant bank is functioning within the jurisdictior}'of this Tribunal. Therefore,

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fI r r / a Iding 'v ’TdbWW I),gbl ilecove f

DRT, PATN A

OA 248 of2025jJ I

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 15.01.2024, whereas the present application has been filed on 03.04.2025. 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.

¶56

Shri Ritesh Kumar Verma, 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 as stated above.

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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 certifIed 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

OA 248 of 2025jJl

DRT, PATN A

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 defendants have applied fQr loan and the bank had sanctioned the loan and to secure the loan and for repayment of loan amount with interests etc., the defendants have executed various loan documents, as stated in the application and proved by aforesaid evidence. Defendants have neither denied the utilization of funds advanced by applicant bank nor have 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 27.02.2025 has been proved to be Rs.23,54,45 1.62 only by way of statement of accounts along with the details of upgrade information of NPA account statements. There is nothing to prove the amount more than that disclosed in the aforementioned statement. As such this amount is recoverable till full 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 defendants jointly and severally of Rs.23,54,45 1.62 along with pendente-lite and future interest @ 10% p.a. with compounded monthly rests from 03.04.8025 (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 defendants. The defendants are hereby jointly and severally, ordered to pay the applicant bank its debt amounting to Rs.23,54,451.62 along with pendente-lite and future interest @ 10% p.a. with compounded monthly rests from 03.04.2025 (The date of filing of this OA) till realization of the entire sum due and recoverable with costs.

DRT, PATN A

OA 248 of 20251 Jl

It is made clear that any amount deposited by the defendants, be deducted in the claim amount, if not deducted.

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Defendants are 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 defendants, by sale of mortgaged/ hypothecated assets as well as other personal movable/immovable assets of the defendants. The Recovery Of$cer will issue demand notice to the CertifIcate debtors only after the proof of compliance under rule 16 of DRT (Procedure) Rules 1993, is submitted by the applicant. If The Applicant /CertifIcate holder fails to comply with directions of the Recovery OffIcer, the execution may be dismissed for non-prosecution. 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 10.08.2026. The order be communicated accordingly.

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Judgment signed, sealed, dated and pronounced in the open court on 29tt1 day of June, 2026.

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Dictated &corrected by me.

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[Kaushalendra Yadav] Presiding Officer Debts Recovery Tribunal, Patna

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FORM NOt 9 [See Regulation 24( 1 )]

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DEBTS RECOVERY TRIBUNAL PATNA

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2nd Floors (A. B & F Wing) Karpwi Thakur Sadan> Kendriya Karamchari Parisar (GPOA), Ashiana Digha Road, Patna-800025.

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RECOVERY CERTIFICATE UNDER SECTION 19(a READ WITH SE(,'TION 19(@ OF THE RECOVERY OF DEBTS & BANKRUPTCY ACT, 1993, AS AMENDED FROM TIME TO TIME.

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RC No, 209/2026 IN

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Case No: OA/248/2025

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In the Matter of: (CH- 1) BANK OF BARODA BO DANAPUR, PATNA ,BIHAR -0

Applicant(s)

––-- Versus –-–--

(CD- 1) M/S HUMAN CARE PHARMA Shop at B.M. Complex, Saguna More, Danapur, Patna ,BIHAR -801503

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(CD- 2) MR. CHANDAN MAHAJAN S/0- SRI BIMAL PRASAD SINHA, R/0BLOCK NO 29. FLAT NO - 221 BAHADURPUR GUMTI. KADAMKUAN, RAJENDRA NAGAR, PATNA- 800016. BIHAR.

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Defendant(s)

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RegQvery Certificate for R$ 2354451,$2 [ Rupees Twenty Three Lakh$ Fifty FQpr Tho IISand$ Four Hundred Fifty One And Pai se Sixty TWo C}IIly_I

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In terms of final order dated 29/06/2026 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. 2354451.62 along with cost, expenses and interest from the 03/04/2025 i.e. date of filing / with effective date of the OA/248/2025 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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Interest
r.no, CD Name LoanType ; Type/ModeInt. Rate Int. EfFectiveDate OrderDate Amount(Rs.) LTiT (as Orderon Amount(Rs.)RC Remark
Date)
[Compound
b54451 .62
:onthly )
Interest
DAN Interest 54451.62
iMA[LAJAN lonthly )

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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 MANOJ KUMAR , Recovery Officer, DEBTS RECOVERY TRIBUNAL PATNA on 10/08/2026.

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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 03/07/2026

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PRESIDING OFFICER DEBTS RECOVERY TRIBUNAL PAINA

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¶103

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 (GPOA), Ashiana Digha Road, Patna-800025 .

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SCHEDULE TO RECOVERY CERTIFICATE MEMO OF COSTS

RC No. 209/2026

Case No: OA/248/2025

Applicant(s): BANK OF BARODA Versus

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Defendant(s): M/S HUMAN CARE PHARMA

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iItemofCosts	E Amount inRs
'eeonthe application	.260do
'rocessFees(Inc. Publication)	go
AdvocateFees	:0
Commissioner/Receiver/Valuation/Security Fee	:0
MiscellaneousCharges	to
'otal Costs: Rs	:26000

¶113

Place: PATNA

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Date: 03/07/2026

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PRESIDIN'ICER DEBTS REC'OVERy TRIBUNAL PATTqA

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Note: Strike out whichever is not applicable

Bank of Baroda v. M/s Human Care Pharma

Case brief

What is this about?

What did the court decide?

Bank of Baroda v. M/s Human Care Pharma

Case brief

What is this about?

What did the court decide?

What the court decided

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