Allowed

Indian Bank v. M/S Baba Frozen Foods Pvt. Ltd.

DRT30 Jan 2026OA/914/2022

Case brief

AI extract

What is this about?

The Debts Recovery Tribunal allowed the bank's application under Section 19 RDB Act. The court held that evidence proved a loan was advanced and the outstanding dues were established. A sum of Rs.62,01,536 with interest was ordered recovered jointly from the company and its directors.

What did the court decide?

Recovery of Rs.62,01,536 with interest allowed; joint and several liability imposed; Recovery Certificate issued; sale proceeds distribution under Section 19(20-AB).

Indian Bank versus M/S Baba Frozen Foods Pvt. Ltd. — Banking and Recovery | DRT (2026)

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IN THE DEBTS RECOVERY TRIBUNAL-II, CHANDIGARH

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BEFORE: A S NARANG, PRESIDING OFFICER

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OA No: 914/2022 Date of Institution: 17.03.2022 Date of Decision: 30.01.2026

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Indian Bank at SCO 38, Sector 7C, Madhya Marg, Chandigarh

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……..Applicant Vs.

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M/s Baba Frozen Foods Pvt. Ltd. at Plot No. 98, Industrial Area, Phase IX, SAS Nagar, Mohali through its director Sh. Amrinder Singh and Smt. Gurvinder Kaur

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Sh. Amrinder Singh s/o Sh. Maninder Pal Singh, r/o House No. 1411-1412, Sector 34C, Chandigarh-160022

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Smt. Gurvinder Kaur w/o Sh. Amrinder Singh, r/o House No. 14111412, Sector 34C, Chandigarh-160022

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……….Defendants

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Advocates

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Sh. Sumit Batra, Counsel for the applicant bank. Defendants- ex parte .

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OA for the Recovery of Rs.62,01,536/- with interest @10.90% per annum with monthly rests from 17.03.2022.

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ORDER

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Indian Bank (Applicant Bank) has filed this application under Section 19 of the Recovery of Debts and Bankruptcy Act, 1993 (RDB Act) for the recovery of Rs.62,01,536/- with interest against M/s Baba Frozen Foods Pvt. Ltd. and others (defendants).

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Defendant No. 1 is a company and defendant Nos. 2 and 3 are its directors. Bank’s case is that on 17.06.2017, it had granted a loan of Rs.50.00 Lacs to defendant No.1 in the form of OCC Limit for business purpose under CGTMSE Scheme. Defendant Nos. 2 and 3 stood as guarantors. The loan was chargeable to interest @10.90% per annum with monthly rests. Defendants had acknowledged and admitted the

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liability for debt on 20.05.2020. On 31.01.2021, a sum of Rs.62,01,536/was due from the defendants. Despite repeated requests, defendants did not make the repayment. Hence, this application.

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On 16.07.2022, summonses were sent to the defendants by registered post, which were duly served. However, defendants did not put in appearance. Vide order dated 29.01.2024, they were proceeded ex parte . 4. In order to prove its case, the Bank has placed on record the affidavit of Ms. Kajal, Chief Manager along with the loan and security documents and marked them as Exhibit A-1 to A-12. 5. I have perused the evidence on the record. I am of the considered view that the Bank has proved its case that it had advanced the loan of Rs.50.00 Lacs and on 31.012.2021, a sum of Rs.62,01,536/- was due. 6. Accordingly, the application of the bank for the recovery of Rs.62,01,536/- (Rupees Sixty Two Lacs One Thousand Five Hundred and Thirty Six Only) with interest @10.90% per annum with monthly rests from 17.03.2022, till the date of payment is hereby allowed with costs. The liability of all the defendants would be joint and several. Bank can recover its dues by the sale of hypothecated goods/stocks/assets/book debts etc. as well as from the personal movable and immovable property(ies) of the defendants. 7. Pending IAs, if any, stand disposed of. 8. Recovery Certificate be issued accordingly. 9. Parties are directed to appear before Recovery Officer on 24.03.2026 , who is directed to distribute the sale proceeds of the mortgage property(ies) as per the provisions of Section 19(20-AB) of the Act . 10. A Copy of this order along with Recovery Certificate be sent to the Recovery Officer as well as the parties. Pronounced in the open Court. (A S Narang) Dated: 30.01.2026 Presiding Officer DRT-2, Chandigarh (Additional charge)

Indian Bank v. M/S Baba Frozen Foods Pvt. Ltd.

Case brief

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Indian Bank v. M/S Baba Frozen Foods Pvt. Ltd.

Case brief

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What did the court decide?

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