Allowed

Central Bank of India v. Gangotri Sarangpur Sujalpur Tollway Pvt. Ltd.

DRT5 Sept 2026TA/641/2022

Case brief

AI extract

What is this about?

Debt Recovery Tribunal allowed the original application filed by Central Bank of India for recovery of Rs.20.02 crores against four respondents. The court directed respondents 1-3 to pay the sum with interest and ordered respondent 4 to release payable amounts, citing uncontested documentary evidence.

What did the court decide?

Direct respondent no.1-3 to pay Rs.20.02 crores with interest within 30 days and direct respondent no.4 to release amounts; recovery through sale of assets on default.

Central Bank of India versus Gangotri Sarangpur Sujalpur… — Banking and Recovery | DRT (2026)

¶1

, T.A. No.641 of 2022

¶2

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

¶3

Presiding Officer: Shri Govind Ballabh Sharma

¶4

T.A. No. 641 of 2022

¶5

Central Bank of India Link House, 3, Press Area Bahadur Shah Zafar Marg New Delhi-110002

¶6

Applicant

¶7

Versus

¶8

M/s Gangotri Sarangpur Sujalpur Tollway Pvt.Ltd. Regd. Office: B-158, Sector-A Mahanagar, Lucknow-226006

¶9

Also at:

¶10

M/s Gangotri Sarangpur Sujalpur Tollway Pvt.Ltd. Corporate Office: C-101, Sector-22 Noida, UP-201301

¶11

Also at:

¶12

M/s Gangotri Sarangpur Sujalpur Tollway Pvt.Ltd. A-101, Sector-26, Noida, UP-201301

¶13

Also at:

¶14

M/s Gangotri Sarangpur Sujalpur Tollway Pvt.Ltd. MD-39, Sector-D, LDA Colony Kanpur Road, Lucknow-226006

¶15

Also at:

¶16

M/s Gangotri Sarangpur Sujalpur Tollway Pvt.Ltd. 509, Vikram Khand, Gomati Nagar Lucknow-226006

¶17

Sh.Vinay Shankar Tewari B-1581 Sector-A, Mahanagar, Lucknow-226006

¶18

Also at:

¶19

Sh.Vinay Shankar Tewari C-101, Sector-22 Noida, UP-201301

¶20

¶21

T.A. No.641 of 2022

¶22

Also at: Sh.Vinay Shankar Tewari 508/50, 3-Rai Bihari Lal Road New Hyderabad Mahanagar, Lucknow-226006 3. M/s Gangotri Enterprises Limited B-158, Sector-A, Mahanagar, Lucknow-226006

¶23

Also at: B-1, Sector-72, Noida, UP-201308

¶24

Madhya Pradesh Road Development Corporation Ltd. 16-A, Arera Hills, Bhopal Madhya Pradesh-462001 Defendants

¶25

Present: Shri Anuj Jain, Counsel for the applicant bank

¶26

Date of Reserve: 14.08.2026 Date of Pronouncement: 05.09.2026

¶27

FINAL ORDER

¶28

This original application has been filed by the applicant bank on 22.02.2018 before DRT-III, Delhi & then transferred to DRT-I, Delhi under Section 19 of Recovery of Debts and Bankruptcy Act, 1993 against the defendant no.1 to 3 for recovery of a sum of Rs.20,02,74,748/- (Rupees Twenty crores Two lacs Seventy Four thousand Seven hundred Forty Eight only) as on 20.02.2018 @11.85% rate of interest with monthly rests from 20.02.2018 till the date of its realization and costs.

¶29

The brief facts of the case are that defendant no.1 was awarded one road construction project of defendant no.4 on BOT basis vide Concessioner Agreement dated 30.07.2011 between defendant no.4 and 1 and requested the applicant bank for financial assistance totaling Rs.23.37 crores against

T.A. No.641 of 2022

hypothecation of stocks, book debts, plant & machinery and pledge of 30% total equity share of defendant no.1 along with personal / corporate guarantee of defendant no.2 and 3 for business purpose. The defendant no.1, 2 and 3 jointly and severally offered to execute loan and security documents and offered to repay the outstanding amounts in loan accounts and informed that defendant no.3 shall execute, implement, develop and construct the road project on behalf of defendant no.1 as per Contract agreement dated 29.11.2011. On the request dated 17.11.2011 of defendant no.1 through its holding company along with Concessioner Agreement dated 30.07.2011 and the applicant bank sanctioned term loan facility of Rs.20.00 crores @13.00% rate of interest and Bank Guarantee of Rs.3.37 crores @18.75% subject to change from time to time, on 03.02.2012 against hypothecation of stocks, book debts, plant & machinery and Pledge of 30% equity shares of defendant no.1.

¶34

In order to avail the credit facility, the defendant no.1 and 3 on the basis of their respective board resolutions dated 04.02.2012 and defendant no.2 being borrower, guarantor and pawnor executed Term Loan Agreement along with Power of Attorney, Deed of Hypothecation along with Power of Attorney for Deed of Hypothecation, Supplementary Escrow Agreement, Counter Indemnity Bond, Promoter's Undertaking, Deed of Personal Guarantee, Deed of Corporate Guarantee on 13.02.2012 in favour of applicant bank.

¶35

That in order to secure the credit facilities, the defendant no.1 and 3 created pledge of 30% equity shares of defendant no.1 lying in the name of defendant no.3 by signing Deed of Pledge of Shares and assigning 6 Share certificates and one

¶36

Sc/-

¶37

T.A. No.641 of 2022

¶38

Share Transfer Form to the extent of 1,50,000 share dated 13.02.2012 with applicant bank. After sanction of non fund based limit of Rs.3.37 crores, the defendant no.1 had not availed Bank Guarantee limit of Rs.3.37 crores.

¶39

The applicant bank got registered its charge over the hypothecated assets of defendant no.1 in the office of Registrar of Companies as per search report dated 04.01.2018.

¶40

The defendant no.1 and defendant no.4 entered into Substitution Agreement for Development of Sarangpur-AkodiaSujalpur Road on BOT basis dated 24.05.2012 in terms of Concessioner Agreement dated 30.07.2011 in favour of applicant bank as security in the loan. The applicant bank opened Escrow Account in the name of defendant no.1 for disbursement of defendant no.4 towards defendant no.1 arising out of execution of road project and borrowers' contribution/margin money of loan. On the request of defendant no.1, the applicant bank disbursed Rs.12.93 crores upto 06.06.2013 by transferring from term loan account to Escrow account. The defendant no.1 initially not provided the documents for renewal but on follow up, requested for restructuring the account on the basis of resolutions dated 25.02.2015 of defendant no.1 and 3 and acknowledged the debt of Rs.12,89,73,057/- as on 27.02.2015.

¶41

The applicant bank restructured the term loan account and disbursed another instalment of Rs.2,08,00,000/- on 28.02.2015 and entire amount to be repaid in 40 quarterly installments of Rs.28,68,279/- @12.50% interest per annum till loan is adjusted in full. The defendant no.1 got sanctioned in its favour a sum of Rs.10.00 crores from Govt. of India on the basis of "Scheme for support of public private partnership's

sct

T.A. No.641 of 2022

infrastructure" for financing of completion of aforesaid road project and entered into agreement dated 13.06.2014 between Empowered Institution (Department of Economic Affairs, Ministry of Finance) along with defendant no.4 and bank. It has been submitted by applicant bank that after restructuring, the applicant bank received one show cause notice dated 26.02.2015 issued by defendant no.4 and terminated the Concessioner Agreement on 09.04.2015. The applicant bank in terms of various agreements entered, demanded from defendant no.4, the amount payable to defendant no.1 through numerous letters with respect to work done of aforesaid road project but defendant no.4 refused to make any payment in term of clause 37.3.1 of Concessioner Agreement dated 30.07.2011.

¶46

It has been submitted by the applicant bank that defendants neither deposited nor paid the balance outstanding in both the accounts despite various request letters and constrained to classified both the accounts as NPA on 30.04.2016 as per extant RBI guidelines and issued legal recall notice dated 11.07.2016 to repay the outstanding dues with interest but defendants failed to repay the outstanding amount, hence the applicant bank has approached this tribunal for recovery of its dues.

¶47

The defendant no.1 initiated arbitration proceedings against defendant no.4 before Jabalpur bench of High Court of Madhya Pradesh being AC No.76/2016 and applicant bank also moved impleadment application which was dismissed on 07.12.2017.

¶48

The defendant no.1 acknowledged the outstanding amount of term loan of applicant bank in its audited balance

¶49

¶50

¶51

, T.A. No.641 of 2022

¶52

sheets dated 31.03.2013, 31.03.2014, 31.03.2015 and 31.03.2016.

¶53

Notices of this O.A. were issued to the defendants and defendant no.1 to 3 have filed their written statement but failed to complete their pleadings nor exhibited the documents despite being allowed by depositing cost but chosen to absent from the proceedings. As per order dated 16.06.2022 and 06.02.2024, the defendant no.1 to 3 have been proceeded exparte as they have not appeared before the Tribunal and even written statement, evidence and affidavit of assets have not been filed by the defendants. Vide order dated 13.09.2019, the defendant no.4 has been proceeded ex-parte due to nonsubmission of written statement, evidence and affidavits etc.

¶54

In order to prove its case, the applicant bank has filed its evidence by way of affidavit of Shri Atul Kumar Gupta (PW-1) authorized representative of the applicant bank who has proved the documents such as General Power of Attorney, Various Letters to Defendants, Visit Report, Resolutions of Defendant no.1 & 3, Acknowledgement of Debt dated 27.02.2015, Supplemental Term Loan Agreement dated 27.02.2015, Reschedulement/ Rephasement of Term Loan, Letters of Hypothecation, Letter of Interest Variation, Loan cum Hypothecation Agreement along with native lien certificate, Form of Guarantees along with consent clause, Agreement dated 13.06.2014, Show Cause Notice and Order for Termination, Various letters to defendant, Letter dated 15.03.2016 by defendant no.4, Letters for Regularization, Legal Recall Notice with Postal Receipts. Application for Impleadment in Arbitration proceedings, Order dated 07.12.2017, Audited Balance Sheets of defendant no.1, Statement of Term Loan along with Foreclosure Statement and Certificate, Copies of

¶55

¶56

T.A. No.641 of 2022

¶57

Balance Sheets and other documents of defendant no.3 marked as PW-1/1 to PW-1/39.

¶58

The applicant bank filed evidence of Sh.Om Prakash Khokher (PW-2), authorized representative of applicant bank has proved the document such as Proposal for Term Loan & BG dated 17.11.2011, Loan Application & related Annexures, Photocopy of Concessionaire Agreement dated 30.07.2011, Contract Agreement, Sanction Letter, 6 Board Resolutions dated 04.02.2012 of defendant no.1, 2 Board Resolutions of defendant no.3, Term Loan agreement, Deed of Hypothecation, Geneial Power of Attorney, Supplementary Escrow Agreement, Counter Indemnity, Deed of Personal Guarantee, Deed of Corporate Guarantee, Deed of Pledge of Shares, Share Transfer Form, 6 Shares Certificates, Share transfer Form, Share Certificates etc. marked as Exhibit PW2/1 to PW-2/30.

¶59

In addition, the applicant bank filed another evidence by way of affidavit of Ms.Santosh Budhiraja (PW-3), authorized representative of the applicant bank has proved the documents such as Substitution Agreement, Escrow Agreement, Letter dated 07.07.2012, Letters dated 10.08.2012 & 11.10.2012, Statement of Escrow Account alongwith Certificate, Letters dated 16.08.2013 and 28.05.2014 marked as Exhibit PW3/1 to PW-3/8.

¶60

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 proved.

¶61

¶62

T.A. No.641 of 2022

¶63

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

¶64

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

¶65

ORDER

¶66

I, allow this OA and direct the defendant no.1 to 3 to pay to the applicant bank within a period of 30 days, jointly or severally, a sum of Rs.20,02,74,748/- (Rupees Twenty crores Two lacs Seventy Four thousand Seven hundred Forty Eight only) as on 20.02.2018 along with pendentelite interest @11.85% interest from 20.02.2018 till the date of realization, failing which the aforesaid amount shall be recovered from hypothecated stocks, book debts, plant & machineries, goods etc. and sale of 30% of equity shares pledged as described in 5(h) of the application. The defendant no.4 is directed to release the amount payable to defendant no.1 on the work done till 09.04.2015 the date on which Concessioner Agreement dated 30.07.2011 was terminated. In case of shortfall, the same shall be recovered from sale of movable and immovable properties of defendant no.1 to 3.

¶67

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

¶68

(III) Parties are directed to appear before the Recovery Officer, DRT I, Delhi on 04.11.2026.

¶69

¶70

T.A. No.641 of 2022

¶71

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

¶72

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

¶73

(Dictated and pronounced in open court) Dated: 05.09.2026

¶74

Central Bank of India v. Gangotri Sarangpur Sujalpur Tollway Pvt. Ltd.

Case brief

What is this about?

What did the court decide?

Central Bank of India v. Gangotri Sarangpur Sujalpur Tollway Pvt. Ltd.

Case brief

What is this about?

What did the court decide?

What the court decided

A compact analysis

Issues for consideration

Parties & counsel

Coram

Case details

Similar cases

Canara Bank versus Sahruk Trading Co. and Anr.

Karnataka Gramin Bank versus Eranna Alias Eranna Devarmani

City Union Bank Limited versus Ms Rajdeep Tissues

State Bank of India versus M/S R R Brothers

Canara Bank versus Deeyog Metal Pvt. Ltd.

Poonam Kushwaha versus Sammaan Capital Limited