Allowed

Saraswat Cooperative Bank Limited v. Mrs Sandhya Rajesh Ramrakhiya

DRT15 Apr 2026OA/45/2022

Case brief

AI extract

What is this about?

The Tribunal allowed the bank's application under Section 19(1) of the 1993 Act to recover ₹11.98 crores with interest from defaulting borrowers and guarantors, directing payment and securing the claim through existing hypothecation and mortgage deeds.

What did the court decide?

Directing defendants to pay ₹11,98,74,293/- with interest, declaring existing securities valid, and issuing a Recovery Certificate.

Saraswat Cooperative Bank Limited versus Mrs Sandhya Rajesh… — Banking and Recovery | DRT (2026)

¶1

ORIGINAL APPLICATION NO.45 OF 2022

¶2

DEBTS RECOVERY TRIBUNAL No.2, MUMBAI

¶3

PRESIDING OFFICER: HARISH KUMAR KAUSHIK

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ORIGINAL APPLICATION NO.45 OF 2022

¶5

Date of Institution: 15.12.2021 Date of Decision: 15.04.2026

¶6

TOTAL CLAIM AMOUNT :

¶7

₹ 11,98,74,293/-

¶8

SARASWAT CO-OP. BANK LTD.,

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Scheduled Bank, registered under the Multistate Co-operative Societies Act, 2002 having its Registered Office at Ekanath Thakur Bhawan, 953, Appasaheb Marathe Marg, Prabhadevi, Mumbai-400 025 and its Recovery Department at C/74, Samadhan Buidling, Senapati BapatMarg, Tulsi Pipe Road, Dadar West-400 028 through Mr Milind Gawandi, the Authorised Signatory, of the Applicant.

¶10

… Applicant

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Versus

¶12

MRS SANDHYA RAJESH RAMRAKHIYA,

¶13

The Sole Proprietress of M/s. Pick N Pouch, Plot.11-(A), Industrial Growth Central Kheda Pithampur, Indore-454 774 And also at SF-6, Shubham Corporate, Opp. Inox. 6, 7- Sapna Sangeeta Road,

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Page 1 of 15

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ORIGINAL APPLICATION NO.45 OF 2022

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Indore (M.P.)-452 001

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And also at

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3 C, Javery Colony, Manik Baug Road, Malav Shishu Vihar ke Samne, Indore-452 001.

¶19

MR RAJESH SRICHANDLAL RAMRAKHIYA, 3 C, Javery Colony, Manik Baug Road, Malav Shishu Vihar ke Samne, Indore-452 001.

¶20

MR VINODKUMAR RAMESHKUMAR BULANI, Copy house 128, Jawahar Marg, Indore-452 004.

¶21

MRS SARITADEVI RAMESHKUMAR BULANI, 13, Street no.1, Bairathi Colony, Indore-452 001. …Defendants

¶22

APPEARANCES For the Applicant : Mr Ayush Kothari a/w Mr V. Deshpande i/b M/s V. Deshpande & Co. - Advocate For Defendants : None

¶23

J U D G M E N T

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(1) This is an application under Section 19(1) of the Recovery of the Debts due to Banks and Financial Institutions Act, 1993 renamed as Recovery of the Debt and Bankruptcy Act, 1993 (for short, ‘the 1993 Act’) to recover ₹11,98,74,293/- (Rupees Eleven Crores Ninety-Eight Lakhs Seventy-Four

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Page 2 of 15

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ORIGINAL APPLICATION NO.45 OF 2022

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Thousand Two Hundred Ninety-Three Only) with future interest and charges thereon at contractual rate thereon from the date of presentation of the Original Application i.e. 15.12.2021 till payment/realization and to enforce the hypothecated and mortgaged securities.

¶28

The details of the claimed amounts are as under:-

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Sr	Nature of	Principal O/s.	Interest	Total Claim as
No	Facility		Outstanding	on 07.12.2021
1	Cash Credit (A/c. ODPUB/3950)	₹5,95,13,790.0 0/-	₹2,24,20,532.00 /-	₹8,19,34,322.00/ -
2	Term Loan-I (A/c.SLPUB/56 64)	₹88,04,143.00/ -	₹51,94,872.00/-	₹1,39,99,015.00/ -
3	Term Loan-I (A/c.SLPUB/56 65)	₹34,12,500.00/ -	₹12,46,627.00/-	₹46,59,127.00/-
4	Term Loan-I (A/c.SLPUB/56 66)	₹51,09,749.00/ -	₹17,85,809.00/-	₹68,95,558.00/-
5	Term Loan-I (A/c.SLPUB/56 67)	₹9,10,000.00/-	₹3,28,819.00/-	₹12,38,819.00/-
6	Term Loan-I (A/c.SLPUB/56 68)	₹79,46,750.00/ -	₹32,00,702.00/-	₹1,11,47,452.00/ -
	Total Amount as on 07.12.2021	-	-	₹11,98,74,293.0 0/-

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(2) It is undisputed fact in the matter that the Defendant nos.1 to 4 were duly served with the summons vide order-sheet dated 17.11.2022. Despite service, the defendants did not enter their

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Page 3 of 15

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ORIGINAL APPLICATION NO.45 OF 2022

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appearance and therefore, they were set ex-parte on 09.02.2026.

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(3) Defendant no.1, a sole proprietress and carrying on business of sellers offering supreme quality of Packaging Pouches, Namkeen Packaging Pouch etc. in the firm, name and style of M/s. Pick N Pouch is the principal borrower who approached the Applicant Bank and sought financial assistance by way of Cash Credit and Term Loan - I, II, III, IV and V Facility wherein defendant nos. 2 to 4 are the guarantors of the said loan. Pursuant to the loan application made by defendants, the Applicant sanctioned the loan vide Sanction Letter dated 11.12.2018 in aggregate sum of ₹1269 Lakhs payable as given in the table below.

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The details of the Sanction amount are as under: -

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Sr No	Date of Sanction	Nature of Facilit ies	Amount	ROI	Repay able	Main Securi try	Collateral Securities
1	11.12.2018	CC	₹800	PLR-	On	Hypoth	(i)	Plot
			Lakhs	3.45 %	Deman d.	ecation of	No.11/A, Industrial
				I.e. subj	Renew al	Stocks plus	Area K Pithampu	heda, r
				ect	every	Debtor	Dist:	Dhar
				to	year	s upto	having	6000
				mini	within	90	sq. Mt.	Land
				mum	maxim	days	area	with
				@	um	less	construct	ion
				10.9	period	Sundry	of 10000	sq.
				5%	of 9	credito	Ft. And	Tin
				per	month	rs and	shade

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Page 4 of 15

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ORIGINAL APPLICATION NO.45 OF 2022

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		annu m	s from the close of the accoun ting year of the compa ny.	Plant and Machin ery and other fixed assets.	construction of 20,000 sq. Ft. Approx. Owned by M/s. Pick N Pounch; (ii) Office Prakoshtha No. SF 06, 3 ^{r d} floor, of Shubham Corporate constructed on west part of Plot No.27, Scheme No.31, Traffic Route No.6, 7, Sapna Sangita Main Road, Indore having 300 sq. Ft. Buit up area owned by Mrs Sandhya Ramrakhiya and (iii) Commercial Property situated at 127, Jawahar Marg main road, owned by Mr Vinod Bulani and Sarita Devi Bulani.
TL-I	₹75 Lakhs	PLR- 3.45 % I.e. subj ect to mini mum @ 10.9 5% per annu m	In remain ing 10 month s-10 install ments of ₹7.50 each.

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Page 5 of 15

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ORIGINAL APPLICATION NO.45 OF 2022

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TL-II	₹220	PLR-	In
	Lakhs	3.45 % I.e. subj ect to mini mum @ 10.9 5% per annu m	remain ing 55 month s-55 install ments of ₹4.00 Lakhs.
TL-III	₹59 Lakhs	PLR- 2.90 % i.e. subj ect to mini mum @ 11.5 0% per annu m	In remain ing 40 month s-39 install ments of ₹1.45 and last install ment of ₹2.45.
TL-IV	₹20 Lakhs	PLR- 3.45 % I.e. subj ect to mini mum @ 10.9 5% per annu m	In remain ing 10 month s-10 install ments of ₹2.00 each.
TL-V	₹95 Lakhs	PLR- 1.40 % i.e. subj ect to	In reamin ing 29 month s- First 12

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Page 6 of 15

¶44

ORIGINAL APPLICATION NO.45 OF 2022

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mini install
mum ments
@ of
13% ₹ 2.85,
per next 6
annu install
m ments
of
₹ 3.15,
next 6
instal
ment
of
₹ 3.25
and
next 4
install
ments
of
₹ 3.50
and
last
install
ment
of
₹ 8.40.
Total - ₹ 1269 - - - -
Amount Lakhs

¶46

(4) On the dates given below, defendants signed and executed the loan and security documents as set out in paragraph nos. 5.8 to 5.25 of the Original Application. Defendants hypothecated Stocks plus Debtors upto 90 days less Sundry creditors and Plant and Machinery and other fixed assets and mortgaged the following properties i.e. (i) Plot No.11/A , Industrial Area Kheda, Pithampur Dist: Dhar having 6000 sq. Mt. Land area with construction of 10000 sq. Ft. And Tin shade construction of 20,000 sq. Ft. Approx. Owned by M/s. Pick N Pounch;

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Page 7 of 15

¶48

ORIGINAL APPLICATION NO.45 OF 2022

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(ii) Office Prakoshtha No. SF 06 , 3^rd floor, of Shubham Corporate constructed on west part of Plot No.27, Scheme No.31, Traffic Route No.6, 7, Sapna Sangita Main Road, Indore having 300 sq. Ft. Buit up area owned by Mrs Sandhya Ramrakhiya and

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(iii) Commercial Property situated at 127, Jawahar Marg main road, owned by Mr Vinod Bulani and Sarita Devi Bulani to secure the loan.

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The details of the documents executed by the Defendants are as under: -

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(a) Sanction Letter dated 11.12.2018 bearing Ref. No. SCB:IND/18-19;

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(b) Acceptance Letter of Terms and Condition dated 20.12.2018;

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(d) Letter of Lien and Set off dated 20.12.2018;

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(e) Letter of Continuing Security dated

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20.12.2018;

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(f) Declaration dated 20.12.2018;

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(g) Letter of Installment dated 20.12.2018;

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(h) Agreement for Escrow Arrangement dated 20.12.2018;

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(i) Undertaking from the Borrower for informing the Bank of any changes in their prepositions dated 20.12.2018;

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Page 8 of 15

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ORIGINAL APPLICATION NO.45 OF 2022

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(j) Irrevocable Power of Attorney dated

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20.12.2018;

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(k) Letter of Guarantee dated 20.12.2018;

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(l) Agreement of Hypothecation of Moveable property dated 20.12.2018 and Letter of Declaration of Borrower for Hypothecation of Stocks;

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(m) Demand Promissory Note dated 20.12.2018 under Term Loan Facility-I for an amount of ₹75,00,000/-;

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(n) Letter of lien and set off dated 20.12.2018 under Term Loan Facility-I for an amount of ₹75,00,000/-;

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(o) Letter of Installment dated 20.12.2018;

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(p) Instructions for deduction of loan installment /interest dated 20.12.2018;

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(q) Declaration regarding Plant Machinery being Moveable dated 20.12.2018;

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(r) Letter of Guarantee dated 20.12.2018;

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(s) Agreement of Hypothecation Moveable Property dated 20.12.2018;

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(t) Demand Promissory Note dated 20.12.2018 for Term Loan Facility II of ₹2,20,00,000/-;

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(u) Letter of lien and set off dated 20.12.2018 for Term Loan Facility II of ₹2,20,00,000/-;

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(v) Letter of Installment dated 20.12.2018;

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(w) Instructions for deduction of loan installment /interest dated 20.12.2018;

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Page 9 of 15

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ORIGINAL APPLICATION NO.45 OF 2022

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(x) Declaration regarding Plant & Machinery being Moveable dated 20.12.2018;

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(y) Letter of Guarantee dated 20.12.2018;

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(z) Agreement of Hypothecation of Moveable Property dated 20.12.2018;

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(aa) Demand Promissory Note dated 20.12.2018 for Term Loan Facility - III of ₹59,00,000/;

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(bb) Letter of lien and set off dated 20.12.2018 for Term Loan Facility - III of ₹59,00,000/;

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(cc) Letter of Installment dated 20.12.2018;

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(dd) Instructions for deduction of loan installment /interest dated 20.12.2018;

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(ee) Declaration regarding Plant & Machinery being Moveable dated 20.12.2018;

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(ff) Letter of Guarantee dated 20.12.2018; (gg) Agreement of Hypothecation of Moveable Property dated 20.12.2018;

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(hh) Demand Promissory Note dated 20.12.2018 for Term Loan Facility - IV of ₹20,00,000/-;

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(ii) Letter of lien and set off dated 20.12.2018 for Term Loan Facility - IV of ₹20,00,000/-;

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(jj) Letter of Installment dated 20.12.2018;

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(kk) Instructions for deduction of loan installment /interest dated 20.12.2018;

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(ll) Declaration regarding Plant & Machinery being Moveable dated 20.12.2018;

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(mm) Letter of Guarantee dated 20.12.2018;

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(nn) Agreement of Hypothecation of Moveable

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Page 10 of 15

¶98

ORIGINAL APPLICATION NO.45 OF 2022

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Property dated 20.12.2018;

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(oo) Demand Promissory Note dated 20.12.2018 for Term Loan Facility-V ₹95,00,000/-;

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(pp) Letter of Installment dated 20.12.2018 for Term Loan Facility- V ₹95,00,000/-;

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(qq) Instructions for deduction of loan installment /interest dated 20.12.2018;

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(rr) Declaration regarding Plant & Machinery being Moveable dated 20.12.2018l;

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(ss) Letter of Guarantee dated 20.12.2018;

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(tt) Agreement of Hypothecation Moveable Property dated 20.12.2018;

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(uu) Loan Agreement dated Nil December 2018;

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(vv) Recording letter for creation of equitable mortgage dated 12.12.2018 along with Declaration recording creation of mortgage and Irrevocable Power of Attorney executed thereunder.

¶108

(5) After availing the loan, defendants did not adhere to the financial discipline and committed default in payment of instalments and repayment of the loan and accordingly the accounts of the borrowers were declared as Non-Performing Assets (N.P.A.) on 30.09.2019 as per RBI Guidelines. Therefore, on 31.07.2021, the applicant, called upon defendants to liquidate the outstanding in the sum of ₹10,94,63,501/- (Rupees Ten Crores Ninety-Four Lakhs Sixty-Three Thousand Five Hundred One Only) as on 31.03.2021 with further

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Page 11 of 15

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ORIGINAL APPLICATION NO.45 OF 2022

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interest at contractual rate from 01.04.2021 and other charges payable there under within 15 days from receipt of this notice. Despite notice, defendant nos. 1 to 4 failed and neglected to pay. (6) As on 07.12.2021, there was owing, due and payable by defendants to the applicant the aggregate sum of ₹11,98,74,293/- (Rupees Eleven Crores Ninety-Eight Lakhs Seventy-Four Thousand Two Hundred Ninety-Three Only) with future interest and charges thereon at contractual rate thereon. The applicant has maintained the loan ledger extract and the entries posted therein are made in the usual and ordinary course of the banking business.

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(7) Since, defendants failed and neglected to make the payment, the applicant was left with no other alternate but to file the Original Application which was presented on 15.12.2021.

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(8) The applicant has filed affidavit (exhibit-6) in lieu of examination in chief of Mr Milind Gawandi, Authorized Officer and list of documents (exhibit7) thereby adducing in evidence the documents at Exhibit-A to Exhibit-L, which are admitted in evidence, read, recorded and exhibited.

¶114

(9) Accordingly, in the Original Application was filed for the recovery of ₹11,98,74,293/(Rupees Eleven Crores Ninety-Eight Lakhs Seventy-Four Thousand Two Hundred Ninety-Three Only) with

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Page 12 of 15

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ORIGINAL APPLICATION NO.45 OF 2022

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future interest and charges thereon at contractual rate thereon from the date of presentation of the Original Application i.e. 15.12.2021 till payment/realisation.

¶118

(10) The Tribunal has scrutinised and examined the allegations contained in the Original Application and analysed the evidence adduced by the applicant which has gone unchallenged, uncontroverted and unrebutted.

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(11) Upon careful scrutiny and the examination of the Original Application, analysing the evidence and giving due weightage to the documentary evidence adduced by the applicant, the Tribunal views that there is no reason to disbelieve the claim made by the applicant bank.

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(12) In view of the observations made hereinabove, Original Application filed by the applicant deserves to be allowed.

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(13) Hence, the following order:

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ORDER

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(A) The Original Application No.45 of 2022 is allowed with costs.

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(B) Defendant nos.1 to 4 are ordered and directed to pay to the applicant, either jointly or severally, the aggregate sum of ₹11,98,74,293/- (Rupees Eleven Crores Ninety-Eight Lakhs Seventy-Four Thousand Two Hundred Ninety-Three Only) with future simple interest @ 12% per annum thereon

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Page 13 of 15

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ORIGINAL APPLICATION NO.45 OF 2022

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from the date of presentation of the Original Application i.e. 15.12.2021 till

¶128

payment/realization after adjusting the recoveries made by the Applicant under SARFAESI Act, 2002 or any other amount paid by the borrowers after filing of this present O.A. No.45 of 2022.

¶129

(C) The aforesaid adjudicated amount is secured by the valid and subsisting hypothecated properties, that is, Stocks plus Debtors upto 90 days less Sundry creditors and Plant and Machinery and other fixed assets.

¶130

(D) The aforesaid adjudicated amount is secured by the valid and subsisting mortgaged immovable properties, that is,(i) Plot No.11/A , Industrial Area Kheda, Pithampur Dist: Dhar having 6000 sq. Mt. Land area with construction of 10000 sq. Ft. And Tin shade construction of 20,000 sq. Ft. Approx. Owned by M/s. Pick N Pounch;

¶131

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(iii) Commercial Property situated at 127, Jawahar Marg main road, owned by Mr Vinod Bulani and Sarita Devi Bulani.

¶133

(E) Defendant nos.1 to 4 are entitled to redeem the

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Page 14 of 15

¶135

ORIGINAL APPLICATION NO.45 OF 2022

¶136

hypothecated and mortgaged properties as per law failing which the applicant has right to proceed to sell the hypothecated and mortgaged properties and recover dues as per law.

¶137

(F) Issue Recovery Certificate.

¶138

(G) The learned Registrar is directed to send a copy of the judgment and recovery certificate to (i) the applicant, (ii) defendant and (iii) the Recovery Officer by post and email.

¶139

Sd/-

¶140

(Harish Kumar Kaushik) Presiding Officer, DRT-2, Mumbai

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Page 15 of 15

Saraswat Cooperative Bank Limited v. Mrs Sandhya Rajesh Ramrakhiya

Case brief

What is this about?

What did the court decide?

Saraswat Cooperative Bank Limited v. Mrs Sandhya Rajesh Ramrakhiya

Case brief

What is this about?

What did the court decide?

What the court decided

A compact analysis

Issues for consideration

Statutes considered

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