Delhi District Court
Bank Of Baroda Through Its Authorised ... vs Imtiaz Hussain Propriter Of M/S Unique ... on 13 May, 2025
In the court of Sh. Umed Singh Grewal,
District Judge-Commercial Court-02, North District
Rohini Courts, Delhi.
CS (Comm) No.: 364/22
In the matter of:
Bank of Baroda
Bharola Branch, 17-18, Indraprastha Building
New Subzi Mandi, Azadpur
New Delhi 110033 ..... Plaintiff
Vs
Imtiaz Hussain
Proprietor of M/S Unique Design
s/o Abdul Bahab, WZ-339
Naraina Village, Delhi 110028
Also at:
WZ-572, B/2, Club Road
Naraina Village, Delhi 110028 .... Defendant
Date of Institution : 11.07.2022
Date on which arguments were concluded : 06.05.2025
Date of pronouncement of judgment : 13.05.2025
(Suit for recovery of ₹14,00,418/-)
***************************
CS (COMM) 364/2022 Page No. 1 of 6 Digitally
Bank of Baroda Vs Imtiaz Hussain UMED UMED
signed by
SINGH
Date:
SINGH 16:06:07
2025.05.13
+0530
Present: Sh. Mohd. Azhar, Ld. Counsel for the plaintiff.
Defence of the Defendant has already been closed on
02.12.2024
JUDGMENT:-
1. This is an ordinary suit for recovery of ₹14,00,418/- alongwith pendent-lite and future interest and costs.
2. The defendant, being proprietor of M/s Unique Design, approached and requested plaintiff for grant of cash credit facility for sum of Rs. 10,00,000/- under Pradhan Mantri Mudra Tarun Finance Scheme as working capital for his firm M/S Unique Design. The loan of Rs. 9,99,000/- was sanctioned in the loan account No. 76840600000276 of the defendant on 31.05.2017. The agreed rate of interest was 10.20% which the defendant acknowledged through sanction letter dated 31.05.2017. After sanctioning of loan, the defendant executed loan agreement, sanction letter, master agreement and agreement of goods and book in favour of plaintiff.
On another request of defendant, the plaintiff bank sanctioned a Term Loan under BGELCS for a sum of Rs. 1,95,000/- on 24.06.2020 vide loan account no. 76840600000573 at the agreed rate of interest of 7.85% for which the defendant executed term loan agreement on the same day in favour of plaintiff.
On another request of defendant, the plaintiff bank sanctioned a Term Loan under FITL Covid Loan for a sum of Rs.
CS (COMM) 364/2022 Page No. 2 of 6
Bank of Baroda Vs Imtiaz Hussain
Digitally
signed by
UMED UMED SINGH
Date:
SINGH 2025.05.13
16:06:14
+0530
49,641/- on 30.03.2021 vide loan account no. 21420600000448 at the agreed rate of interest of 7.60%. for which the defendant executed Term Loan Agreement on the same day in favour of plaintiff.
The defendant failed to adhere to the terms and conditions of the loan facilities despite request of the plaintiff. Due to financial indiscipline, the loan account became NPA on 29.06.2021. The plaintiff is claiming interest at the rate of 2% per annum over and above the applicable rate of interest.
Despite repeated reminders and requests made, defendant did not pay a single penny to clear the outstanding dues. Finding no alternative, plaintiff issued them with notice u/s 13(2) SARFAESI ACT dated 23.07.2021. Thereafter, plaintiff filed an application for pre-institution mediation on 25.03.2022. However, the defendant did not appear there as well and consequently, NDLSA issued a Non Starter Report on 05.05.2022.
3. Despite service done through publication in "Statesman" on 04.09.2024 and "Veer Arjun" on 06.09.2024, none appeared for de- fendant nor written statement was filed and so, his right to file the written statement was closed on 02.12.2024.
4. To prove its case, the plaintiff examined Sh. Sushant Kumar, AR as PW-1 who repeated the averments of the plaint in his affi- davit. He relied upon following documents:-
i. Ex. PW1/1 (OSR)is copy of power of attorney in my favour.
CS (COMM) 364/2022 Page No. 3 of 6 Digitally signed by Bank of Baroda Vs Imtiaz Hussain UMED UMED SINGH SINGH Date:
2025.05.13 16:06:21 +0530 ii. Ex. PW1/2 (OSR) is copy of sanction letter dated 14.03.2019. iii. Ex. PW1/3(OSR) is copy of Demand Promissory Note. iv. Ex. PW1/4(OSR) is the copy of letter of continuity. v. Ex. PW1/5 (OSR) is the copy of letter of general general lien and set off.
vi. Ex. PW1/6 is the copy of general undertaking. non starter report.
vii. Ex. PW1/7(OSR) is the copy of agreement of hypothecation. viii. Ex. PW1/8(OSR) is the cop of power of attorney(Books Debts).
ix. Ex. PW1/9(OSR) is the copy of sanction letter. x. Ex. PW 1/10 (OSR) is the copy of Offer Letter. xi. Ex. PW 1/11 (OSR) is copy of DP Note.
xii. Ex. PW 1/12 (OSR) is the copy of letter of sole proprietorship dated 25.06.2020.
xiii. Ex. PW 1/13 (OSR) is the copy of declaration cum undertak-
ing cum authority.
xiv. Ex. PW 1/14 (OSR) is the copy of deed of FITL(Funded Inter-
est Term Loan).
xv. Ex. PW 1/15 (OSR) is the copy of letter of acknowledgement of debt.
xvi. Ex. PW 1/16 (OSR) is true copy of legal notice sent by plaintiff bank under SARFAESI ACT dated 23.07.2021. xvii. Ex. PW 1/17 is bank statement of accounts of the defendant containing four pages from page no. 115 to 118 and from page no 121 to 166.
CS (COMM) 364/2022 Page No. 4 of 6Bank of Baroda Vs Imtiaz Hussain xviii. Ex. PW 1/18 is interest certificate containing two pages from page no. 119 to 120.
xix. Ex. PW 1/19 is certificate u/s 2-A (B) of Bankers Book Act containing two pages from page no. 168 to 169. xx. Ex. PW 1/20 is certificate u/s 165 of Indian Evidence Act. xxi. Ex. PW 1/21 is statement of account from 31.05.2017 to 28.11.020.
5. PW-1 was duly appointed by the plaintiff bank to lead evi- dence on the basis of power of attorney Ex.PW1/1 executed in her favour. She proved loan application form, sanction letter, and state- ment of account etc. As per statement of account, the defendant made last payment of Rs. 15,000/- on 31.12.2020 leaving outstanding amount of Rs. 9,75,464/- for loan account no. 76840500000276. For second loan account no. 76840600000573, the last payment of Rs. 4000/- was made on 21.04.2021, leaving outstanding balance Rs. 1,94,806/- and for loan account no. 21420600009448 defendant did not pay even a single penny despite receipt of notice dated 23.07.2021 Ex PW1/16. Testimony of PW1 is corroborated by documents and it cannot be disbelieved. The bank has successfully proved that defendant had availed loan facility which he did not repay.
6. In view of above discussion, it is held that the plaintiff is entitled to the outstanding balance amount of Rs. 9,75,464/- for loan account no. 76840500000276 with agreed interest rate of CS (COMM) 364/2022 Page No. 5 of 6 Digitally signed by Bank of Baroda Vs Imtiaz Hussain UMED UMED SINGH Date:
SINGH 2025.05.13 16:06:29 +0530 10.20% per annum from the date of last payment i.e. 31.12.2020 and Rs. 1,94,806/- for loan account no. 76840600000573 with agreed in- terest rate of 7.85% per annum from the date of last payment i.e. 21.04.2021 and Rs. 49,641/- for loan account no. 21420600009448 with agreed interest rate of 7.60% per annum from the date of dis-
bursal i.e. 30.03.2021 from defendant being proprietor till realiza- tion, with cost.
7. Decree be prepared accordingly and file be consigned to record room after necessary compliance.
Announced in the open court on 13th day of May, 2025 Digitally signed UMED bySINGH UMED SINGH Date: 2025.05.13 16:06:36 +0530 (UMED SINGH GREWAL) District Judge- Commercial Court-02 North District, Rohini Courts, Delhi CS (COMM) 364/2022 Page No. 6 of 6 Bank of Baroda Vs Imtiaz Hussain