Allowed

Punjab National Bank v. M/S Vinayak Holidays India Pvt. Ltd.

DRT15 Jun 2026TA/1572/2023

Case brief

AI extract

What is this about?

The Debt Recovery Tribunal allowed the applicant bank's original application for recovery of dues amounting to Rs. 6.30 crores. The court found the bank had proved its claim against the respondents, who defaulted on a cash credit facility and did not appear to contest the case. The order validates the recovery amount, directs credit for proceeds from already sold properties, and authorizes future

What did the court decide?

Order allowing recovery of Rs. 6,30,12,197/- with interest and penal charges; crediting sale proceeds towards dues; liberty to sell personal assets of respondents 2-4 for balance due; issuance of reco

Punjab National Bank versus M/S Vinayak Holidays India Pvt. Ltd. — Banking and Recovery | DRT (2026)

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T.A. No.1572 of 2023

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15.06.2026

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IN THE DEBTS RECOVERY TRIBUNAL-III, CHENNAI

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Dated this the 15^th day of June, 2026

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Present: SMT. S.V. GOWRAMMA Presiding Officer

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TRANSFERRED APPLICATION No.1572 of 2023

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(Originally filed before DRT- II, Chennai as OA No.926 of 2019 and thereafter transferred to this Tribunal and renumbered as TA No.1572 of 2023)

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***** Punjab National Bank (Erstwhile Oriental Bank of Commerce) Circle Sastra Chennai North, Anna Salai, Chennai – 600 002 Represented by its Chief Manager …Applicant

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***** (Amended vide order in memo dated 08.03.2022 in view of merger)

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-Vs-

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Ms. Vinayak Holidays India Pvt Ltd Represented by its Director Mr.Viivekk Gupta, S/O Mr. Jai Bhagwan Gupta, Fagun Mansion, 3^rd floor, No.74, Ethiraj Salai, Egmore Chennai – 600008

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Mr. Viivekk Gupta, S/o Mr.Jai Bhagwan Gupta, Flat.No.3A 3^rd Floor Vayou Flats, Plot No.A3, Door No.19, Canal Road, Kilpauk Garden, Chennai – 600 010

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Also at Mr. Viivekk Gupta, S/o Mr.Jai Bhagwan Gupta, Flat. No. 3B, 3^rd Floor Vayou Flats, Plot No.A3, Door No.19, Canal Road, Kilpauk Garden, Chennai – 600 010

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T.A. No.1572 of 2023

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Also at Mr. Viivekk Gupta, S/o Mr.Jai Bhagwan Gupta, Dugar Sky City Apts Tower 6, Vanagaram, Chennai-600 095

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Mrs. Deepika Gupta, W/o Mr. Viivekk Gupta Flat.No.3A 3^rd Floor Vayou Flats, Plot No.A3, Door No.19, Canal Road, Kilpauk Garden, Chennai – 600 010

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Also at: Mrs. Deepika Gupta, W/o Mr. Viivekk Gupta Flat. No. 3B, 3^rd Floor Vayou Flats, Plot No.A3, Door No.19, Canal Road, Kilpauk Garden, Chennai – 600 010

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Also at: Mrs. Deepika Gupta, W/o Mr. Viivekk Gupta Dugar Sky City Apts Tower 6, Vanagaram, Chennai-600 095

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Mr. Manoj Goel S/o Mr. Radheshyan Goel Arihant Vaikunt Apartments, Block No.1, Flat No.8F, Door No.123, 124 & 125, Brick Klin Road, Purasaiwakkam, Chennai-600010 ….Defendants

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Counsels on record / appeared:

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Counsel for Applicant : M/s. E. Kumar Defendants 1 to 4 were set ex-parte on 23.06.2022

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T.A. No.1572 of 2023

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15.06.2026

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: - FINAL ORDER- :

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This Original Application is filed on 14.10.2019 by Erstwhile Oriental Bank of Commerce (since merged with Punjab National Bank), under Section 19 of Recovery of Debts and Bankruptcy Act, 1993 (formerly Recovery of Debts Due to Banks and Financial Institutions Act, 1993) against the defendants, jointly and severally for recovery of a total sum of Rs.6,30,12,197/(Rupees Six Crores Thirty Lakhs Twelve Thousand One Hundred and Ninety Seven only) due in respect of Cash Credit facility (A/c No.01654015005319) repayable together with further interest @ 10.6% p.a. with monthly rests along with penal interest @ 2% p.a. from the date of Application till the date of realization in full and for costs of this OA.

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Originally, this Application was filed before DRT-II, Chennai, assigned OA No.926 of 2019, and thereafter in pursuance to the notification from Ministry of Finance, DFS dated 04.10.2022, OA No.926 of 2019 stood transferred to this Tribunal and renumbered as TA No.1572 of 2023.

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Brief Facts of the case:

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The Applicant submits that the application is filed within the period of limitation as prescribed under Section 24 of the Recovery of Debts and Bankruptcy Act, 1993, and the subject recovery claim falls within the jurisdiction of this Tribunal.

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It is the case of the Applicant Bank that the 2^nd and 3^rd defendants

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were already having relationship with the bank by availing facilities of Housing loan facilities. Hence they approached the bank for availing Cash Credit facility for the 1^st defendant company’s business purpose.

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The Applicant Bank submits that at the request of the Defendants, the bank had sanctioned the Cash Credit facility for amount of Rs.5,00,00,000/- (Five Crores Only) on 28.03.2017 and the Defendants have executed the following loan documents in favour of applicant bank:

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a) Agreement of Hypothecation of Assets (Loan Doc-1) dated 24.05.2017 executed by 1st Defendant.

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b) Common Agreement (Loan Doc-38) dated 24.05.2017 executed by the 1^st defendant

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c) Agreement of Guarantee (Loan Doc-11) dated 24.05.2017 executed by 2^nd Defendant

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d) Agreement of Guarantee (Loan Doc-11) dated 24.05.2017 executed by 3^rd Defendant

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e) Agreement of Guarantee (Loan Doc-11) dated 24.05.2017 executed by 4^th Defendant

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It is submitted by the applicant bank that the above facilities were secured by mortgage of properties more fully described in the Schedule to the OA, which is in the name of 2^nd and 3^rd Defendants, as security for the credit facilities availed by the defendants.

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The Applicant Bank submits that the 2^nd and 3^rd Defendants has offered their properties as security to the loan availed by Defendants and

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T.A. No.1572 of 2023

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executed MODTD’s as detailed below:

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a. Memorandum of Deposit of Title Deeds dated 04.06.2017 registered as Doc.No.2147 of 2017 with SRO Ponneri.

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b. Memorandum of Deposit of Title Deeds dated 09.06.2017 registered as Doc.No.6872 of 2017 with SRO Ambattur.

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c. Memorandum of Deposit of Title Deeds dated 09.06.2017 registered as Doc.No.6873 of 2017 with SRO Ambattur.

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d. Memorandum of Deposit of Title Deeds dated 09.06.2017 registered as Doc.No.1534 of 2017 with SRO Periamet.

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The applicant submits that the said Item No. IX & X Schedule properties herein are also security for another Housing Loan availed by the 2^nd and 3^rd defendants. Hence the related of this Item No. IX & X Schedule Original MODTD and Title Documents are filed with the said original Application already filed separately before this Tribunal.

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It is further submitted that the defendants also deposited the title deeds of the schedule mentioned properties as a security via

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a. Sale Deed dated 21.03.2007 executed by Mr. registered as Doc. No.3296/2007, with SRO Ponneri, in favour of Mr. Vivekk Gupta

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b. Sale Deed dated 22.04.2013 executed by Mr. P. Rahul Surana. registered as Doc. No.5317 of 2013, with SRO Ponneri, in favour of Mr. Vivek Gupta

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c. Sale Deed dated 18.03.2013 executed by Mr. Madurai Muthu

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Naicker represented by his Power agent Mr.

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M.Dhandayuthapani. registered as Doc. No.3427 of 2013, with SRO Ponneri, in favour of Mr.Vivek Gupta

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d. Sale Deed dated 13.04.2009 executed by Mr. M. Dandayuthapani S/o Mr. Muthu Naicker registered as Doc. No.2029/2009, with SRO Ponneri, in favour of Mr. Vivek Gupta.

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e. Sale Deed dated 08.09.2014 executed by Mr.P.Rahul Sharma S/o Mr. Prakash Surana registered as Doc. No.9512/2014, with SRO Ponneri, in favour of Mr. Vivek Gupta.

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f. Sale Deed dated 08.09.2014 executed by Mr. K. Sathishkumar S/o Mr. Kalyanasundaram registered as Doc. No.9511/2014, with SRO Ponneri, in favour of Mr. Vivek.

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g. Construction Agreement dated 30.11.2012 executed by Ms.RMS Infrastructure Private Limited in favour of Mr. Vivekk Gupta.

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h. Sale Deed dated 25.02.2013 executed by Ms. Comptech Electronics Pvt Limited registered as Doc. No.1994/2013, with SRO Ambattur in favour of Mr. Vivekk Gupta.

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i. Construction Agreement dated 30.11.2012 executed by Ms.RMS Infrastructure Private Limited in favour of Mr. Vivekk Gupta.

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j. Sale Deed dated 25.02.2013 executed by Ms. Comptech Electronics Pvt Limited registered as Doc. No.1995/2013, with SRO Ambattur in favour of Mr. Vivekk Gupta.

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k. Construction Agreement dated 24.06.2014 executed by Ms.Fomra Housing & Infrastructure Private Limited represented

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by its Director Mr. Sharad Fomra, registered as Doc. No.2498/2008, with SRO Periamet, in favour of Mr.Vivekk Gupta & Mrs. Deepika Gupta.

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l. Sale Deed dated 21.10.2014 executed by Mr. Senthil and Mrs. Akilandeswari registered as Doc. No.2501/2008, with SRO Periamet, in favour of Mr. Vivekk Gupta & Mrs. Deepika Gupta.

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m. Construction Agreement dated 24.06.2014 executed by Ms. Fomra Housing & Infrastructure Private Limited represented by its Director Mr. Sharad Fomra, registered as Doc. No.2499/2008, with SRO Periamet, in favour of Mr. Vivekk Gupta & Mrs. Deepika Gupta.

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n. Sale Deed dated 21.10.2014 executed by Mr. Senthil and Mrs. Akilandeswari registered as Doc. No.2502/2008, with SRO Periamet, in favour of Mr. Vivekk Gupta & Mrs. Deepika Gupta.

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It is submitted by the applicant bank that subsequent to availing of

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loan, due to defaulted repayments made by the Defendants, operation of the loan account was highly unsatisfactory. The Applicant submits in spite of repeated requests and demands, the defendants did not care to repay the amounts due to the bank, thereby violating the sanction terms. Consequently, the said account was classified as Non-Performing Asset (NPA) on 31.07.2018 in terms of RBI guidelines in the books of account of applicant bank. The applicant also sent Demand Notice dated 04.08.2018, recalling the loan granted to them and advised them to clear the entire

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liabilities.

The Applicant Bank submits that before filing of OA, the bank has initiated steps under SARFAESI Act 2002 by following the procedure laid down under the SARFAESI Act and Rules 2002 for the disposal of Secured Assets and accordingly one of the property is sold and entire sale consideration amount of Rs.33,80,000/- was credited to the defendants loan account on 27.09.2219 and the sale certificate was also issued in favour of the Auction purchaser.

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The Defendants are personally liable to repay the dues owed by them to the Applicant. Further the immovable Properties which was given as security more fully described in the Schedule to the OA are also liable to be proceeded against, towards the repayment of the dues owed by the Defendants to the Applicant. The Applicant bank submits that in spite of the above the defendants have not paid the amounts due to the bank. Hence, the present Original Application (OA) has been filed by the applicant bank for recovery of its dues from the defendants.

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After the filing of the OA, summons were sent to the Defendants 1 to 4 through Registered Post with Acknowledgment Due, which were returned with remarks “insufficient address”. Applicant Bank had caused paper publication of the notice and filed proof thereof. When OA was taken up on 23.06.2022 even after giving sufficient time, there was no appearance or representation from the defendants. Hence, Defendants 1 to 4 were placed ex-parte on 23.06.2022.

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Heard the submissions of Applicant Bank and perused the

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records.

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During the pendency of OA, at the time of filing proof affidavit, Applicant Bank had reported part satisfaction of OA claim in a sum of Rs.4,09,31,000/- by way of sale of Schedule mentioned immovable properties (Item Nos. 1 to 10) under SARFAESI Act as follows:

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Sr. No.	Item Number of Property as per OA Schedule	Price sold for
1.	I to VI	Rs.1,36,00,000/-
2.	VII	Rs.37,11,000/-
3.	VIII	Rs.45,20,000/-
4.	IX to X (Also security for OA No.931 of 2019)	Rs.1,91,00,000/-
	Total	Rs.4,09,31,000/-

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It is further submitted by the applicant bank that original title deeds of the aforesaid properties (mentioned at Sr. No.7 to 24 of OA) were returned to respective auction purchasers. Therefore, the said 18 documents were not filed by the applicant bank along with Proof Affidavit to mark the same as documents.

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To prove the case of the Applicant Bank, Shri. P. Mahendran, Chief Manager, Circle SASTRA Centre of the Applicant Bank, has filed his Affidavit by way of evidence and same was considered as evidence of AW1 and list of documents came to be marked as Ex A-1 to A-7.

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A careful examination of the pleadings in the Proof Affidavit and documents Exhibits A-1 to A-7 evidence that the borrowal of credit

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facilities and execution of loan and security documents are true, in terms of averments made in Original Application as well as Proof Affidavit filed by applicant bank establishing its claim. Applicant bank filed Statement of Accounts duly certified under Bankers’ Book Evidence Act, evidencing the amount claimed against defendants.

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The defendants were set ex-parte on 23.06.2022, but till this day they did not take any action to set aside the ex-parte order and did not choose to contest the claim. Further, a careful scrutiny of records makes it clear that present application is filed well within limitation and this Tribunal possesses necessary and proper jurisdiction to entertain and adjudicate the claim. No oral or documentary evidence on the side of defendants are produced or filed to dispute the claim of applicant bank. Hence, it can be concluded that applicant bank has proved its claim against defendants.

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With regard to the amount advanced, the interest applied the conduct and operations in the account and the default committed, this Tribunal comes to the conclusion that the applicant bank is entitled for a final order on the following terms:

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: O R D E R :

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19. The OA is allowed with costs,

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(a) The applicant bank is allowed to recover from the Defendants, jointly and severally for recovery of a total sum of Rs.6,30,12,197/- (Rupees Six Crores Thirty Lakhs Twelve

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Thousand One Hundred and Ninety Seven only) due in respect of Cash Credit facility (A/c No.01654015005319) repayable together with further interest @ 10.6% p.a. with monthly rests along with penal interest @ 2% p.a. from the date of Application till the date of realization in full along with costs of this OA.

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(b) The sum of Rs.4,09,31,000/- realized by way of sale of schedule mentioned immovable properties (Item Nos. 1 to 10) under SARFAESI Act is directed to be given credit to the borrower’s loan account as on date of realization.

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(c) If the sale proceeds of the immovable properties are not sufficient to satisfy the dues as ordered above, the applicant bank is at liberty to sell the personal assets of the 2 to 4 Defendants (both movable and immovable) to recover the balance dues as required under law for which the 2 to 4 Defendants to disclose to the Tribunal particulars of other properties or assets owned by the Defendants 2 to 4.

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(d) The applicant bank shall file the latest memo of calculation of OA amount together with interest, costs etc., to be paid by the Defendants duly considering the amounts, if any, paid by the Defendant and/or amount realized by sale of assets etc., during the intervening period after the filing of the OA, enabling the Registry to prepare Recovery Certificate for the amount to be paid by Defendants to the applicant bank.

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(e) The applicant bank shall file memo of costs within ten days

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from the date of receipt of this final order.

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(f) Recovery Certificate shall be drawn up and issued to the

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Recovery Officer in terms of the final order.

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A copy of this order be communicated to the parties concerned.

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Sd/(S.V. GOWRAMMA) PRESIDING OFFICER, DRT-III, CHENNAI

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(Dictated to Roshnee, transcribed by her, corrected, signed and pronounced by me on this the 15^th day of June, 2026)

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ANNEXURES

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WITNESSES EXAMINED FOR THE APPLICANT BANK :

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AW-1: Shri. P. Mahendran, Chief Manager, Circle SASTRA Centre of the Applicant Bank

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Exhibits on the part of the Applicant:

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Sl. No.	Date	Description of Documents	Exhibit No.
1.	03.05.2017	Sanction letter for cash credit loan facility for amount of Rs.5,00,00,000/-	A-1
2.	24.05.2017	Agreement of hypothecation of assets (loan Doc-I)executed by1^stdefendant	A-2
3.	24.05.2017	Common agreement (Loan Doc-38) executed bythe 1^stdefendant	A-3
4.	24.05.2017	Agreement of Guarantee (Loan Doc-11) executed by2^nddefendant	A-4
5.	24.05.2017	Agreement of Guarantee (Loan Doc-11) executed by3^rddefendant	A-5
6.	24.05.2017	Agreement of Guarantee (Loan Doc-11) executed by4^thdefendant	A-6
7.		Statement of account for A/c	A-7

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No.01654015005319 for the period from 26.05.2017 to 13.10.2019

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Witness Examined for the Defendants: -Nil-

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List of Documents Exhibited for the Defendants: -Nil –

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:-SCHEDULE-:

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The mortgaged properties have been sold under SARFAESI Act.

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Sd/(S.V. GOWRAMMA) PRESIDING OFFICER, DRT-III, CHENNAI

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Punjab National Bank v. M/S Vinayak Holidays India Pvt. Ltd.

Case brief

What is this about?

What did the court decide?

Punjab National Bank v. M/S Vinayak Holidays India Pvt. Ltd.

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

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