Allowed

Punjab National Bank v. M/S J.J. India

DRT21 Feb 2026OA/973/2022

Case brief

AI extract

What is this about?

The Debt Recovery Tribunal allowed the applicant bank's application for recovery of dues against the defendant-proprietorship. The tribunal accepted the bank's evidence regarding Non-Performing Asset classification and sanctioned the recovery of the principal amount along with interest and costs.

What did the court decide?

Directed defendants to pay Rs. 61,12,373.75 with interest and costs within 30 days. Recovery certificate to be issued for enforcement against stocks, machinery, and properties.

Punjab National Bank versus M/S J.J. India — Execution and Attachment | DRT (2026)

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O.A. No. 973 of 2022

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Debts Recovery Tribunal-I, Delhi 4th floor, Jeevan Tara Building, Parliament Street, New Delhi

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Presiding Officer: Shri Govind Ballabh Sharma

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O.A. No.973 of 2022

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Punjab National Bank

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Circe Sastra Centre, East Delhi, Pocket-E, Mayur Vihar Phase-II Delhi-110091 Applicant

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Versus

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M/s J.J.India Through its proprietor Sh.Hari Ram Gambhir

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F-262A, Pocket F, Dilshad Garden Delhi-110095

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Also at: M/s J.J.India 07-A, LIG Flat No.07A, Pocket R Dilshad Garden, Delhi-110095

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Also at: M/s J.J.India

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L-241, Dilshad Garden, Delhi-110095

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Also at: M/s J.J.India 1164, Block H, Gaur Cascades, Rajnagar Extension, Ghaziabad, UP+-201017

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Also at: 485-A/6, Ahinsa Compound Dilshad Garden Industrial Area Delhi-110095

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Sh.Hari Ram Gambhir s/o Mahender Kumar Gambhir Proprietor M/s J.J.India F-803, Pearl Court, Pocket -10 Ramprastha Greens, Sector-7, Vaishali, I.E.Sahibabad, Ghaziabad, UP-201010 Defendants

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O.A. No. 973 of 2022

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Present: Mr. Sunav Rastogi, Counsel for the applicant bank

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Date of Reserve: 02.02.2026

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Date of Pronouncement: 21.02.2026

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FINAL ORDER

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This original application has been filed by the applicant bank on 26.10.2022 through Sh.H.S.Kardam, authorized representative of the applicant bank under Section 19 of Recovery of Debts and Bankruptcy Act, 1993 against the defendants for recovery of a sum of Rs.61,12,373.75 (Rupees Sixty One Lacs Twelve Thousand Three Hundred Seventy Three and paisa Seventy Five only) as on 31.08.2022 along with pendentelite and future interest @11.85% per annum plus @2% penal interest with monthly rests from the date of filing of this application till the date of realization along with costs.

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The brief facts of the case are that on the request of defendant no.1 being proprietorship concern of defendant no.2 in the business of trading and assembling of power tools & machineries vide loan application dated 16.09.2019, the applicant bank sanctioned Cash Credit facility for Rs.42,00,000/- (Rupees Forty-Two lacs only) on 24.09.2019 @11.80% interest against hypothecation of stocks, current assets and receivables etc. covered under CGTMSE scheme. In addition, the applicant bank sanctioned WCTL under GECL of Rs.8.40 lacs on 17.07.2020 to be repaid in 36 EMIs of Rs.23,300/- which was modified to be repaid in 60 EMIs on 27.09.2021. In addition, the applicant bank converted interest in Cash Credit account into FITL loan of Rs.2,65,584.66 on 22.06.2021 and enhanced it to Rs.5,38,078/- on 19.07.2021.

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O.A. No. 973 of 2022

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That in order to avail the loan facilities, the defendant no.1 through its proprietor defendant no.2 submitted loan applications and executed Agreement of Hypothecation of Assets, Sole Proprietorship Letter, Common Agreement and Undertaking dated 24.09.2019 with the applicant bank and in addition, executed Master Agreement, IT Authorization and Term Loan agreement on 22.09.2021.

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It has been submitted by the applicant bank that after availing the aforesaid loan facilities, the defendants failed to maintain financial discipline and not routed their transactions thru the account and failed to clear overdue amount despite various notices lastly on 09.03.2022 issued by the applicant bank in violation of terms of sanction. Ultimately, the applicant bank classified the accounts as NPA on 11.03.2022 as defendant failed to regularize the account as per RBI guidelines, hence, the applicant bank has approached this tribunal for recovery of its dues from the defendants.

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Notices of this O.A. were issued to the defendants and despite of proper service, the defendants have chosen to absent from the proceedings. As per order dated 01.04.2024, the defendants have been proceeded ex-parte as they have not appeared before the Tribunal and even written statement, evidence and affidavit of assets have not been filed by the defendants.

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In order to prove its case, the applicant bank has filed its evidence by way of affidavit of Shri H.S.Kardam, authorized representative of the applicant bank who has proved the documents such as Authorization Letter, Loan Applications, Agreement of Hypothecation of Assets, Sole Proprietorship Letter, Common Agreement, Undertaking, Sanction Letters,

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O.A. No. 973 of 2022

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Master Agreement, IT Authorization, Term Loan Agreement, Letter for Reschedulement, WCTL Loan Sanction, Letter for Extension of period, Demand Letter, Certified Statement of Accounts under Bankers Book of Evidence Act marked as Ex.AW-1/1 to Ex.AW-1/15 (Colly).

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The applicant bank has fully corroborated the averments made in the O.A. Even otherwise the whole case of the applicant bank is based on the documents and the same have been duly approved.

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The case filed by the applicant bank gone unrebutted and there is no question of disbelieving the case of the applicant bank and the applicant bank has proved its case beyond reasonable doubts.

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In the light of the above discussions, the Original Application deserves to be allowed.

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ORDER

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I, allow this OA and direct the defendants to pay to the applicant bank, within a period of 30 days, jointly or severally, a sum of Rs.61,12,373.75 (Rupees Sixty One Lacs Twelve Thousand Three Hundred Seventy Three and paisa Seventy Five only) as on 31.08.2022 together with pendentelite and future interest @11.85% per annum with monthly rests from 01.09.2022 till the date of realization and costs; failing which the aforesaid amount shall be recovered from the sale of stocks, machinery and receivables etc. In case of default / shortfall, the same shall be recovered from the sale of movable and immovable properties of the defendants.

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O.A. No. 973 of 2022

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ii) The recovery certificate be issued forthwith and be sent to the Recovery Officer, Debt Recovery Tribunal-I, Delhi.

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iii) Parties are directed to appear before the Recovery Officer, DRT I, Delhi on 22.042026.

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iv) Copies of final order as well as Recovery Certificate be sent to all concerned free of cost.

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(GOVIND BALLABH SHARMA) PRESIDING OFFICER DRT-I, DELHI

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(Dictated and pronounced in open court) Dated: 21.02.2026

Punjab National Bank v. M/S J.J. India

Case brief

What is this about?

What did the court decide?

Punjab National Bank v. M/S J.J. India

Case brief

What is this about?

What did the court decide?

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