Allowed

Bank of Baroda v. Ms Gunjan Electricals

DRT9 Jun 2026OA/629/2024

Case brief

AI extract

What is this about?

Debts Recovery Tribunal allowed an applicant bank's original application for recovery of outstanding dues of Rs. 26,53,656.60/- from a proprietorship firm and its proprietor who failed to maintain financial discipline on their credit facility.

What did the court decide?

Declaration of joint and several liability to pay Rs. 26,53,656.60/- with interest; issuance of Recovery Certificate for recovery from hypothecated assets and personal property; costs awarded.

Bank of Baroda versus Ms Gunjan Electricals — Banking and Recovery | DRT (2026)

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“ORIGINAL APPLICATION” No. 629 OF 2024

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BEFORE THE DEBTS RECOVERY TRIBUNAL, JAIPUR PRESENT- SHRI VIMAL GUPTA

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PRESIDING OFFICER

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O.A. NO. 629 OF 2024

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DATE OF DELIVERY OF ORDER 09.06.2026

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BANK OF BARODA , a banking company constituted under the Banking Companies (Acquisition and Transfer of Undertakings) Act,1970 having its Head Office at R.C Dutt Road, Alkapuri, Vadodara and its branch offices throughout India along with a Branch known as Rajawas Branch, Jaipur303704 (Rajasthan) through its Chief Manager Mr. Lalit Kumar Sunthwal.

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…..Applicant Bank…..

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VERSUS

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1. M/S Gunjan Electricals , a proprietorship firm having its registered office at D-12, Ganesh Vihar, Nangal Purohitan, Rajawas, Jaipur (Raj) - 303704.

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2. Mr. Uday Bhan Joshi S/o Mr. Bakulesh Chandra, R/o D- 12, Ganesh Vihar, Nangal Purohitan, Rajawas, Jaipur (Raj) - 303704.

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……Defendants…..

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Counsel for the Applicant Bank Ms. Mamta Pareek Defendants Ex parte

OA No. 629 OF 2024

JUDGMENT

This Original Application was filed by the applicant bank on 30.03.2024 for recovery of outstanding amount of Rs. 26,53,656.60/- from the Defendants.

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As per the pleadings, Defendant No. 1 is a proprietorship firm and Defendant no. 2 is its Proprietor, had approached the applicant bank for availing Cash Credit facility for working capital requirement under CGTMSE.

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After due consideration, cash credit facility was sanctioned by the Applicant Bank in favour of Defendants in the year 2019 vide sanction letter dated 31.07.2019 for a total sum of Rs. 24 Lac.

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It is submitted that after availing the said credit facility, the Applicant Bank upon the request of Defendant No. 1 granted BGECL of Rs. 4,30,000/- vide sanction letter dated 20.07.2020.

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Defendant No. 1 and 2 as primary security duly hypothecated the whole of goods.

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It is submitted that the Defendant No. 1 with a view to acknowledge the liability under the various credit facility accounts did acknowledge the liability by execution of Letter of Acknowledgement of Debts (LAD) respectively on 21.06.2022 and 17.05.2023.

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Defendants failed to maintain financial discipline and therefore, their loan account was classified as NPA on

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OA No. 629 OF 2024

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11.12.2023. Applicant Bank has therefore, filed this original application for recovery of its dues against the Defendants.

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Summons were issued to the Defendants on 28.06.2024 and re-issued through court commissioner on 01.07.2025. The court commissioner filed report dated 10.09.2025. Despite service none were appeared on behalf of the Defendants, therefore, they were proceeded ex-parte vide order dated 27.01.2026.

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Heard arguments and perused the record.

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As stated supra, the Applicant Bank filed the evidence affidavit of Shri Lalit Kumar Sunthwal coupled with the recitals in the documents, viz Exhibit Aw/1 to Aw/23 marked on behalf of the applicant bank, clinches the claim of the applicant bank against the Defendants. Hence, I hold that the Defendants are jointly & severally liable to pay to the applicant bank the claim made in O.A. with future interest and costs.

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In the result, this O.A. No. 629 OF 2024 is allowed declaring that:-

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a) The Defendants are jointly & severally liable to pay to the applicant bank a sum of Rs. 26,53,656.60/- (Rupees Twenty Six Lac Fifty Three Thousand Six Hundred Fifty Six and Sixty Paisa Only) with pendente lite and future interest @ 10% (simple) from 13.09.2023 till the date of realization.

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OA No. 629 OF 2024

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b) The applicant bank is entitled to recover the above amount from the sale of hypothecated assets as well as from the personal movable and immovable properties/assets of Defendants. The applicant bank is entitled to proceed against the same towards recovery of its debt.

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c) The applicant bank is entitled to the costs of the O.A.

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12.The recovery certificate be issued forthwith and be sent to the Recovery Officer, DRT, Jaipur.

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13.Parties are directed to appear before the Recovery Officer, DRT, Jaipur on 20.07.2026 .

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14.Prepare Recovery Certificate accordingly.

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15.A copy of the Judgment and Recovery Certificate be given or sent by registered post to each of the parties free. A copy of the Recovery Certificate be sent to the Recovery Officer of this Tribunal for necessary action as per the law.

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(Vimal Gupta) Presiding Officer, Debts Recovery Tribunal, Jaipur

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Order pronounced in the open court today i.e. 09.06.2026 .

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(Vimal Gupta) Presiding Officer, Debts Recovery Tribunal, Jaipur

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OA No. 629 OF 2024

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BEFORE THE DEBTS RECOVERY TRIBUNAL, JAIPUR

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PRESENT- SHRI VIMAL GUPTA

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PRESIDING OFFICER

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O.A. NO. 629 OF 2024

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DATE OF DELIVERY OF ORDER 09.06.2026

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RECOVERY CERTIFICATE

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(UNDER SUB Section 22 of the Recovery of Debts due to Banks and Financial Institutions Act, 1993 (Act 51 of 1993)

…..Applicant Bank…..

VERSUS

1. M/S Gunjan Electricals , a proprietorship firm having its registered office at D-12, Ganesh Vihar, Nangal Purohitan, Rajawas, Jaipur (Raj) - 303704.

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2. Mr. Uday Bhan Joshi S/o Mr. Bakulesh Chandra, R/o D- 12, Ganesh Vihar, Nangal Purohitan, Rajawas, Jaipur (Raj) - 303704.

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……Defendants…..

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Recovery Certificate for Rs. 26,53,656.60/-

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In terms of final order dated 09.06.2026 passed by this Tribunal in the above mentioned case, it is ordered that the-

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OA No. 629 OF 2024

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a) The Defendants are jointly & severally liable to pay to the applicant bank a sum of Rs. 26,53,656.60/- (Rupees Twenty Six Lac Fifty Three Thousand Six Hundred Fifty Six and Sixty Paisa Only) with pendente lite and future interest @ 10% (simple) from 13.09.2023 till the date of realization.

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b) The applicant bank is entitled to recover the above amount from the sale of hypothecated assets as well as from the personal movable and immovable properties/assets of Defendants. The applicant bank is entitled to proceed against the same towards recovery of its debt.

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c) The applicant bank is entitled to the costs of the O.A.

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Parties are directed to appear before the Recovery Officer, DRT, Jaipur on 20.07.2026 .

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The Recovery Officer shall realize the amount as per this Certificate in the manner and mode prescribed under Section 25 and 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 Debtor.

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This Certificate has been issued under my signatures and seal of the Tribunal on this 09.06.2026 .

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(Vimal Gupta) Presiding Officer, Debts Recovery Tribunal, Jaipur

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OA No. 629 OF 2024

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BEFORE THE DEBTS RECOVERY TRIBUNAL, JAIPUR

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PRESENT- SHRI VIMAL GUPTA

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PRESIDING OFFICER

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O.A. NO. 629 OF 2024

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DATE OF DELIVERY OF ORDER 09.06.2026

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SCHEDULE TO RECOVERY CERTIFICATE

MEMO OF COST

…..Applicant Bank…..

VERSUS

1. M/S Gunjan Electricals , a proprietorship firm having its registered office at D-12, Ganesh Vihar, Nangal Purohitan, Rajawas, Jaipur (Raj) - 303704.

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2. Mr. Uday Bhan Joshi S/o Mr. Bakulesh Chandra, R/o D- 12, Ganesh Vihar, Nangal Purohitan, Rajawas, Jaipur (Raj) - 303704.

……Defendants…..

OA No. 629 OF 2024

S. No.	Item of Costs	Amount (Rs.)
1	Fee on the Application	29,005.00
2	Process Fee (Inc. Publication)	85.60
3	Advocate Fee	1,250.00
4	Court Commissioner’s Fees	10,000.00
5	Commission/Receiver/Valuation	NIL
6	Miscellaneous Charges	NIL
	Total	40,340.60

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(Vimal Gupta) Presiding Officer, Debts Recovery Tribunal, Jaipur

OA No. 629 OF 2024

09.06.2026

Counsel: Ms Mamta Pareek, Counsel for Applicant Bank Defendants are ex-parte

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Judgment dictated separately and pronounced in the open court. As per order the O.A. is allowed. Recovery Certificate be prepared accordingly and the Registry is directed to verify the Recovery Certificate as per Regulation 22(1) of Debts Recovery Tribunal Regulation 2024 and after verification place the same before the Tribunal.

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(Vimal Gupta) Presiding Officer, Debts Recovery Tribunal, Jaipur

OA No. 629 OF 2024

09.06.2026

Counsel:

Ms Mamta Pareek, Counsel for Applicant Bank Defendants are ex-parte

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The Tribunal vide order dated 09.06.2026 , directed the Registrar to verify the Recovery Certificate as per Regulation 22(1) of Debts Recovery Tribunal Regulation 2024.

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The Registrar vide order dated 09.06.2026 verified the Recovery Certificate as per Regulation 22(1) of Debts Recovery Tribunal Regulation 2024. Recovery Certificate be prepared accordingly. Copy of the Judgment and Recovery Certificate be given free to the concerned parties as well as be sent to the Recovery Officer for further proceedings. File be put up before the Registrar for compliance. After compliance file be consigned to record.

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(Vimal Gupta) Presiding Officer, Debts Recovery Tribunal, Jaipur

Bank of Baroda v. Ms Gunjan Electricals

Case brief

What is this about?

What did the court decide?

Bank of Baroda v. Ms Gunjan Electricals

Case brief

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What did the court decide?

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