Allowed

Canara Bank v. Baidya Nath Banerjee

DRT8 May 2026OA/376/2024

Case brief

AI extract

What is this about?

The Debt Recovery Tribunal allowed the bank's application for recovery of dues amounting to approximately Rs. 80.82 lakhs. The court held the claim was within limitation due to acknowledgments and directed the defendant to repay the principal, calculated interest, and pay an additional 11.50% pendente lite interest. A 60-day repayment period was granted before enforcement.

What did the court decide?

Application allowed; Defendant directed to pay Rs. 80,82,646.98 plus future interest at 11.50% per annum pending realization. Recovery certificate to be issued.

Canara Bank versus Baidya Nath Banerjee — Banking and Recovery | DRT (2026)

¶1

Page No.

¶2

KOLKATA DEBTS REGOVERY TRIBU]IIAL NO. 2

¶3

ORDER SHEET (Continuation)

¶4

0.A./376 ot 2024 Canara Bank
Case No. Vs
Baidya Nath Baneriee
ffice action wilh
Date date and dahd
of Order with Signature Signature ol
Order parties when
necesiary
'10 Counsel for the parties:
08.05.2026
Mr. Subhadip Basu, Ld. Advocate for the applicant Bank
None for the defendant.
0.A.1376 of 2024 is afiowed and disposed of.
Final Order / Judgment is in s
sheet of 6 pages'
Fire be consigned to record #rate
Order be uploaded on the Tribunat,s website.
1ffi"o,nrut
Presiding Ofiicer
DRT-2, Kotkata

¶5

Central Bank of lndia

¶6

¶7

0.A.1376 ol 2OZ4 - DRT_2tKot

¶8

DEBTS RECOVERY TRIBUNAL - 2, KOLKATA Jeevan Sudha Bldg. 0Ztn Fbor,42\C,J.L. Nehru Road, Kolkata _7OOO71

¶9

Before Shri Arbind Madhav. Presidinq Officer

¶10

o.A. No. 376 of 2024

¶11

ln the matter of canara Bank, a body corporate dury constituted under the Banking companies (Acquisition and rransfer of Undertaking)Act V of 1970, having its Head ofiice at 112, J'C' Road, Bengaruru - 560002, and carrying on business, inter-aria,at Vikurdihi Branch, at Vill + P.o.- Mkurdihi, p.s.- Bankura, District - Bankura, pin -722146,west Bengar.

¶12

Applicant Bank

¶13

-Versus-

¶14

1' Baidya Nath Banerjee, prop. of M/s sneha Erechonics, vir.- Beria, p.o.- Jambedia, District - Bankura, pin _722139, West Bengal.

¶15

. Defendant

¶16

Counsel for parties: For the Applicant Bank : Mr. Subhadip Basu For the Defendant : Ex-Pafte.Ex-Pafte.

¶17

: Ex-Pafte.Ex-Pafte.

¶18

FINAL ORD ER/JU DGMENT Delivered on 08.05.2026

¶19

Applicant, canara Bank, instituted the present Apprication being the originar Application No.376 of 2o24 on 30.10.2024 against sore Defendant under section 19(1) of ihe Recovery of Debts & Bankruptcy Act, 1993 (amended from time to time) for recovery of due amount of Rs.80,82,646.99 (Rupees eighty lakh eighty two thousand six hundred forty six and paisa ninety eight) inclusive of interest calculated upto 30.0g.2024 with further interest @ 120/o per annum in KCC Accounl, @ 15.050/0 per annum in occ Account and @^{16.50Yo perannum} in the Bike Loan Account fro m 31 .0g.2024, till realization. 2. The brief facts of the case as set out by applicant Bank in its original Application, as under:

¶20

(i) The defendant is carrying on business as a sole proprietor under the name and style of 'M/s sneha Electronics'. The defendant applied to the applicant bank for a loan under Kishan credit card scheme (KCC) to the extent of Rs.50,000/- vide loan application dated 01 .09.201 1 ; copy of loan application dated 01 .09.2011 is annexed and marked with Letter'A-1'. At the request of defendant, applicant bank was pleased to sanction the said loan under Kishan credit card scheme (KCC) of Rs.s0,000/- (Rupees fifty thousand) to the defendant vide sanction Memorandum dated 01.0g.201 1 . copy of the sanction Memorandum dated 01.09.2011 is annexed and marked with Lefter,A-2,.

¶21

¶22

¶23

0.A.1376 ol2024 - DRf -2Kot

¶24

(ii) ln acknowredgement of granting the said credit facirity to the defencrant, the defendant duly executed the following loan documents all dated 03.09.2011 in favour of applicant bank:

¶25

(a) Agreement of Hypothecation for Agriculture Loans;

¶26

(b) Letter of Renewal.

¶27

copy of said documents are annexed and collectively marked with Letter ,A_3,.

¶28

(iii) At the request of the defendant, applicant bank was pleased to renew / enhance the existing credit rimit from Rs.50,000/- to Rs.1,00,000/- (Rupees one rakh) vide application cum sanction for enhancement under KCC scheme dated 31.12.201 1; copy of said sanction retter dated 31 .12.201 1 rs annexed and marked with Letter ,A-4,. rn consideration of the said KCC facility with renewed and enhanced limit, the defendant executed one supprementary Agreement dated 91.12.2011. copy of said document is annexed and marked with Letter^,A-5'.

¶29

(iv) The defendant has acknowledged his liabirity - (a) a sum of Rs.9g,440l- excrusive of interest lrcm 31.12.2011 by executing Acknowledgment of Debts & security on dated 31.12-2012; (b) a sum of Rs.1,17,26gl- exclusive of interest from 30.09.2015 by executing Acknowledgment of Debts & security on dated 20.11.201i; (c) a sum of Rs.1,64,36g/exclusive of interest from 30.09.201g by executing Acknowledgment of Debts & Security on dated 04.10.2018; (d) a sum of Rs.2,14,007/- exclusive of interestfrom 01.04.2021 @ 10% per annum compounded monthly by executing Acknowledgment of Debts & security on dated 05.06.2021; (e) a sum of Rs.2,62,626/- exclusive of interest from 2g.os.2o2g @ 10% per annum compounded monthly by executing Acknowledgment of Debts & security on dated 29.05.2023. copy of said Acknowledgement of Debts and security dated 31.12.2012, 20.11.201 5, 04.10.2018, 05.06.2021 & 29.os.zoo2gare annexed and marked as Annexure 'A€', 'A-7', 'A-8', 'A-9' & 'A-10' respectively.

¶30

(v) The defendant applied to the applicant bank for an open cash credit facility to the extentof Rs.15,00,000/-videloanapplication daled2l .04.2015; copyof loanapplication dald 21-04.2015 is annexed and marked with Annexure 'A-11'. At the request of defendant, applicant bank was pleased to sanction the said open cash credit facility of Rs.15,00,000/- (Rupees fifieen lakh) to the defendant vide sanction Memorandum dated 22.04.2015. copy of the sanction Memorandum dated 22.04.2015 is annexed and marked with Annexure 'A-12'.

¶31

(vi) ln acknowledgement of granting the said cash credit facility of Rs.1S.00 lakh, the defendant duly executed the following loan documents all dated 22.04.201s in favour of applicant bank:

¶32

(a) Letter of Proprietorship;

¶33

(b) Letter Undertaking re: Loans / Advance;

¶34

¶35

(d) Request for Overdraft facility.

¶36

Copy of said documents are annexed and collectively marked with Letters'A-'13'.

¶37

¶38

o .4.t376 0t 2024 - ORT-ztKot

¶39

(vii) ln consideration of the bank agreed to grant the said open cash crectit facility, the defendant has executed an Agreement of Guarantee dated 22.04.2o1s thereby guaranteed repayment of a[ indebtedness of the defendant to the appricant bank. copy of Guarantee covering Letter arong with Guarantee Agreement dated 22.04.201s is annexed and marked with Letter^,A_14,.

¶40

(viii) The defendant has acknowredged his riabirity - (a) a sum of Rs.24,39,363/_ excrusive of interest @ 12.95.,/0 per annum compounded monthry by executing Acknowledgment of Debts & security on date d 1 s.o4.2o 1 B; (b) a sum of Rs.32,7 2,256. 1 s r - excrusive of interest @ 12.g50/o per annum compounded monthry by executing Acknowledgment of Debts & security on datedo9.04.2o21;(c) a sum of Rs .s3,71,sog.4sr_ excrusive of interest @ 12.g50/o per annum compounded monthry by executing Acknowledgment of Debts & security on dated 30.03.2024. copy of said Acknowledgement of Debt and security dated 15.04.20 18,09.04.2021 & 3o.03.2024 are annexed and marked with Letter,A-1S,,^,A_16, &'A_lT,respectively.

¶41

(ix) The defendant applied to the applicant bank for a loan of Rs.39,OOO/- vide loan application dated 14.01.2021 for purchasing of a Bike; copy of loan application dated 08.07.2015 is annexed and marked with Letter,A-1g,. At the request of defendant, applicant bank was pleased to sanction a Bike Loan of Rs.39,000/- (Rupees thirty nine thousand) to the defendant vide sanction Memorandum dated 0g.07.2015. copy ofthe sanction Memorandum dated 08.07.2015 is annexed and marked with Lefter,A-19,.

¶42

(x) To avail the said Bike Loan, the defendant executed one Can-mobile Agreement dated 08.07.2015 in favour of applicant bank. Copy of said document is annexed and marked with Letter A-20'.

¶43

(xi) The defendant acknowledged his liability in the Bike Loan Account - (a) a sum of Rs.34,897.44 exclusive of interest @ 14.50o/o per annum compounded monthly by executing Acknowledgment of Debts & security on dated 07.05.201g; (b) a sum of Rs.41,012.95 exclusive of interest @'14.50yo per annum compounded monthly by executing Acknowledgment of Debts & Security on dated 01.05.2021; (c) a sum of Rs.63,951.98 exclusive of interest @ 14.50o/o per annum compounded monthly by executing Acknowledgment of Debts & security on dated 30.02.2024. copy of said Acknowledgement of Debt and Security dated 07.05.2018,01.05.2021 & 30.03.2024 are annexed and marked with Letter 'A-21' ,'A-22' & 'A-23' respectively.

¶44

The Defendant availed and enjoyed the said loan facilities by opening Accounts in Bank's Mkurdihi Branch, Mll. & P.O.- Mkurdihi, Dist.- Bankura. However, the defendant failed and neglected to abide by the terms and conditions of the facilities. The Defendant did not repay the outstanding bank's dues, agreed EMls and overdue interests in loan Accounts. lnspite of repeated requests and several correspondences made by applicant Bank, the defendant failed to regularize the loan Accounts. Since the defendant did not pay any attention to regularize the Accounts, the Accounts became out of order and the _same^{was classified as N.P.A.on 30.05.2016. Since the defendant failed and neglected} -/--y - 'G)

¶45

¶46

0.A.13Z6 ot 2024^_ DRr_2/Kot

¶47

to repay the outstanding roan amount despite severar requests, the appricant bank compelled to issue lawyer's notice dated 1g.10.2024 upon the defendant demanding payment of outstanding Bank's dues, but the defendant did not comply with the said notice; copy of said notice dated19.10.2024 is annexed and marked with Letter,A_24,. Certified copies of Statement of Accounts along with Certificate under Bankers, Books of EvidenceAct, with interest calculation sheet, have been filed to show and prove the dues (Annexure 'A-25'), and further interest @ 12o/o pet annum in KCC Account, @ 15.05% per annum in occ Account and @ 16.500/o per annum in the Bike Loan Account from 31.08.2024, till realization, has been prayed. Applicant Bank submitted that their ctaim in the Application is within limitation.

¶48

The notice / summons was sent to sole Defendant by the Tribunal. lt is obserued from the S/R on affidavit dated 18.11.2025 and its enclosure that service of Notice / summons upon the Defendant is successful, such has been recorded vide Ld. Registrar,s order dated 20.11.202s. Despite service, the defendant did not appear nor filed the written statement; thus, the defendant was ordered to be proceede d ex-paievide order dated 21.08.2024. Applicant Bank has filed the written notes of argument on dated 26.02.2026 thereby stated the brief facts of the case as has been narrated in the ortginal application. Ld. Advocate of the applicant Bank submitted argument on 06.04.2026. 5. Applicant Bank has filed evidence-on-Affidavit, affirmed by Ravindra Kumar, Manager of Bank's vikurdihi Branch, vill. & p.o.- Vikurdihi, Dist.- Bankura along with the copy of original documents executed by the defendant. original documents have been produced by applicant Bank; the same have been verified with copies of the documents annexed with the o.A. and after verification the originals have been returned to sri Ravindra Kumar, Manager of Bank's Vikurdihi Branch, vill. & p.o.- vikurdihi, Dist.Bankura on 02.09.2025, such has been recorded in Ld. Registrar's order dated 02.09.2025. The documents produced by applicant Bank are exhibited and marked as Exhibits 'A-1' to 'A-25'.

¶49

I have heard the Ld. Advocate ofthe applicant Bank and perused the records.

¶50

Evidence-on-afiidavit, filed by applicant Bank, has remained unchallenged, unrebutted and its veracity cannot be put to dispute. Applicant Bank has corroborated the averments made in the o.A. Applicant Bank has proved the sanction of KCC facility of Rs.50,000/-, KCC enhancement facility of Rs.1,00,000/-, OCC facitity of Rs.15,00,000/and Bike Loan of Rs.39,000/- vide sanction Memorandum dated 01 .09.2011, 51.12.2011 , 22.04,2015 & 08.07.2015 respectively. Applicant Bank has proved the hypothecated movable assets; described in Schedule at page 22 and para 3A at page 2 to 4 of the original application.

¶51

¶52

On the point of limitation, Loan has been sanctioned on 01.09.201 1, 31.12.2011, 22.04.2015 & 08.07.2015; documents have been executed on 03.09.201 1 , 31.12.2011, 22.04.2015 & 08.07.2015; original Application has been filed on 30.10.2024. The iiefendant has acknowledged his liabilities by executing Acknowledgement of Debts /

¶53

¶54

0.A.1376 ot 2024 - DRr-2/(iot

¶55

security dated 29.05.2023 & 30.03.2024 in tavour of appricant bank acknowredging the outstanding balance in roan Account(s). As such, the originar Apprication appears to have been filed well within the period of limitation.

¶56

S Applicant Bank has stated that the outstanding balance in loan Accounts (inclusive of accrued interest and other charges as carcurated upto 30.0g.2024) for an aggregated sum of Rs.80,82,646.98 (Rupees eighty lakh eighty two thousand six hundred forty six and paisa ninety eight) as on 30.09.2024, which is the amount claimed by appricant Bank in the originalApplication, and the sole defendant is liable to repay the said amount to the applicant Bank with pende nte lite and future interest, till realization in full. I allow the claim as made by the applicant Bank in the original Apprication. Appricant Bank has prayed further interest @ 12Yo per annum in KCCAccount, @1s.os%per annum in occAccount and @ 16.50% per annum in the Bike LoanAccount from31.og.2024,till realization; while in sanction letters dated 01 .09.2011 , 22.04.201s &08.07.2015 the rate of interest @ 8.5%, @^13.95o/oand @ 13%^per annum respectivery, have been mentioned. Therefore, in my view, the pende nte lite & future rate of interest @ 11.soo/o per annum, with quarterly rests, from 31.08.2024, is allowed. 9' The matter also matter also falls within the territorial within the territorial the territorial territorial as well as pecuniary as pecuniary pecuniary jurisdiction of thisof thisthis

¶57

9' The matter also matter also falls within the territorial within the territorial the territorial territorial as well as pecuniary as pecuniary pecuniary jurisdiction of thisof thisthis Tribunal. The Applicant Bank has proved to claim made in the o.A. The original application being 0.4./376 of 2024 deserves to be allowed; hence allowed. 10. ln view of the above, I pass the following order:

¶58

OR DER

¶59

(D o.A. No.376 of 2024, filed by the appticant Bank, is allowed and debt is determined with cost against the Defendant. lt is hereby ordered that the Defendant is hereby directed to pay the total debt amount of Rs.80,82,646.98 (Rupees eighty lakh eighty two thousand six hundred forty six and paisa ninety eight) due and payable, inclusive of interest and other charges as calculated upto 30.08.2024; and interest for the period pe ndente lite and future @ 11.50o/o per annum, with quarterly rests, from 31.09.2024, till realization of the entire sum due and recoverable.

¶60

(ii) Amount, if any, paid by the Defendant in the loan accounts or amount, if any, recovered by applicant Bank after filing of the original application, the same may be taken into account while arriving at the exact amount of dues/debt payable by the Defendant. Accordingly, the pendente lite and future interest shall be calculated on the reduced amount.

¶61

(iii) The Defendant is debarred from transferring, alienating, encumbering or disposing of the hypothecated movable assets, described in Schedule at page 22 and para 3A at page 2 to 4 of the original application, as under -

¶62

Hvoothecated Movable Assets:

¶63

"Bajaj Platina 100E5 Black Crome Bike, Chassls No. MD2A76AZ6FRBSA61B, Engine No. PFZRFB36016, Key No.0122274, Registration No. tr1/B-685-0775, Date of Registration - 24.08.2015."

¶64

¶65

¶66

O.A.1376 ol 2024 - ORT-2lKot

¶67

The Defendant is arso debarred from hansferring, arienating, encumbering or disposing any other property(s) either movable or immovable and assets belonging to him till the aforesaid adjudicated debt amount are recovered from the Defendant.

¶68

(iv) The Defendant is given a time of sixty days from the date of this Finat order / Judgment for repayment of the above mentioned dues, so intimated to him. rn case the Defendant fails to pay the dues within the above mentioned time, the appricant Bank is entitled to recover its dues by sare of secured properties, as aforesaid. Appricant Bank is also entitled to proceed against personal properties of the Defendants both moveabre and immoveable and arso proceed against the Defendant personafly to recover the dues, in accordance with law.

¶69

(v) Let the certificate of Recovery be drawn up by Ld. Registrar forthwith in terms of Final order / Judgment for issuancb of the same against the single Defendant in favour of applicant Bank under section 19(22) of the Recovery of Debts and Bankruptcy Act, 1993 (amended from time to time) and put up the same for signature for issuance.

¶70

(vi) Ld. Recovery officer shall realize the amount as per the Recovery certificate from the Defendant, in accordance with law.

¶71

(vii) Ld. Registrar of this Tribunal is directed to place Recovery certificate in terms of this Final Order / Judgment under section 19(22) of the Act of 1993.

¶72

Accordingry, the original Apptication, being o.A. No.376 or 2024 is ailowed and stands disposed of.

¶73

This order is dictated and corrected by the undersigned and pronounced on this the 08th day of May 2026.

¶74

copy of the Finar order / Judgment be uproaded in the Tribunals website.

¶75

I^{/r:^,\hDr",.} (Arbind Ma AV Presiding fficer DRT-2, Kolkata

¶76

Canara Bank v. Baidya Nath Banerjee

Case brief

What is this about?

What did the court decide?

Canara Bank v. Baidya Nath Banerjee

Case brief

What is this about?

What did the court decide?

What the court decided

A compact analysis

Issues for consideration

Statutes considered

Parties & counsel

Coram

Case details

Similar cases

Punjab National Bank versus Sri Dipanjan Kumar Nayak

Yes Bank Limited versus Munee Devi

Uco Bank versus Chiranjib Roy

Canara Bank versus Saifuddin Mondal

State Bank of India versus Sri Rupamoy Kundu

Punjab National Bank versus Sri Tapan Kumar Ghosh