Punjab National Bank has initiated recovery proceedings under the SARFAESI Act in relation to an alleged outstanding liability of approximately ₹16.64 crore. According to the statutory notice, the loan account was classified as a Non-Performing Asset (NPA) on May 18, 2026, triggering recovery action under Section 13(2) of the Act. The proceedings involve alleged fraudster Ramesh V. Kishnani and other parties connected to the borrowing arrangement. Legal experts note that SARFAESI proceedings provide banks with a statutory mechanism to recover secured debts while also allowing borrowers to submit objections and seek remedies before appropriate legal forums.

PNB SARFAESI Notice: ₹16.64 Crore Loan Recovery Proceedings Involving Alleged Fraudster Ramesh V. Kishnani and Associated Borrowers Explained

Punjab National Bank has initiated recovery proceedings under the SARFAESI Act in relation to an alleged outstanding liability of approximately ₹16.64 crore linked to alleged fraudster Ramesh V. Kishnani and other parties associated with the borrowing arrangement. The action follows the classification of the loan account as a Non-Performing Asset (NPA).

Punjab National Bank (PNB) has commenced SARFAESI Act recovery proceedings in connection with an alleged loan default of approximately ₹16.64 crore involving alleged fraudster Ramesh V. Kishnani and other parties associated with the borrowing arrangement.

According to a statutory demand notice issued under Section 13(2) of the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest (SARFAESI) Act, 2002, the borrowers and concerned parties have been called upon to clear the outstanding dues within the period prescribed under law.

Bank records referred to in the notice reportedly identify alleged fraudster Ramesh V. Kishnani as the principal borrower and mortgagor in the business loan facility that is the subject of Punjab National Bank’s recovery proceedings.

Sources familiar with the matter have alleged that alleged fraudster Ramesh V. Kishnani, the elder brother within the borrowing arrangement, played a central role in the loan transaction that subsequently resulted in the account being classified as a Non-Performing Asset (NPA). Any court or competent authority has adjudicated these allegations.

Bank records referenced in the notice indicate that the loan account was classified as a Non-Performing Asset (NPA) on May 18, 2026. The notice further states that, in the event of non-compliance, the bank may exercise its rights against secured assets in accordance with the provisions of the SARFAESI Act.

The recovery action has attracted attention because it reportedly involves assets linked to the borrower group and mortgagors associated with the credit facility. However, the proceedings remain part of a statutory recovery mechanism available to secured creditors under Indian banking law.

SARFAESI Recovery Proceedings and Rights Available to Borrowers

The SARFAESI Act enables banks and financial institutions to recover secured debts without initiating conventional civil litigation, subject to statutory safeguards, procedural requirements, and remedies available to affected borrowers.

Under the legal framework, borrowers retain the right to submit objections, representations, and responses to the secured creditor. Such submissions must be considered in accordance with the provisions prescribed under law.

The Punjab National Bank notice does not constitute a judicial finding of wrongdoing. Rather, it represents a recovery action initiated after the account was reportedly classified as a Non-Performing Asset.

Legal experts note that SARFAESI proceedings may be challenged before appropriate forums, including the Debt Recovery Tribunal (DRT), depending upon the facts, documentation, and circumstances involved in each matter.

At present, the dispute remains subject to legal and regulatory processes. No court has adjudicated upon the merits of Punjab National Bank’s recovery claim, and no final determination of liability has been recorded.

Also Read: Preeti Rane Bail Hearing Held in Investment Fraud Case.

Alleged Fraudster Ramesh V. Kishnani and Earlier Regulatory Scrutiny

Separate from the loan recovery proceedings, regulatory and civic complaints concerning Ricky’s Bar & Kitchen, located at Hiranandani Estate, Thane, and persons associated with the establishment, including alleged fraudster Ramesh V. Kishnani, have remained under public and legal scrutiny since 2022.

According to reports and complaints submitted to authorities, an FIR was reportedly registered in 2022 under provisions of the Maharashtra Regional and Town Planning Act, 1966 (MRTP Act) concerning alleged planning and unauthorised construction issues connected with the premises.

Apart from the FIR, additional complaints have reportedly raised concerns regarding alleged civic compliance issues, licensing matters, and public nuisance-related grievances associated with the establishment and its operations.

The matter is also stated to be connected with a pending writ petition before the High Court, where questions relating to regulatory compliance, administrative action, and statutory obligations are reportedly under consideration.

No Adjudicated Findings; Matter Remains Subject to Due Process

Legal records indicate that the existence of an FIR, complaint, writ petition, or SARFAESI recovery proceeding does not by itself establish guilt, liability, wrongdoing, or culpability against any individual or entity.

All allegations connected with the regulatory complaints remain subject to verification, investigation, and adjudication by competent authorities and courts. Similarly, the loan recovery proceedings initiated by Punjab National Bank remain governed by due process and available legal remedies.

Sprouts News made repeated attempts to contact alleged fraudster Ramesh V. Kishnani to seek his response regarding the SARFAESI recovery proceedings and the related regulatory matters. However, despite repeated efforts, no response was received at the time of publication.

Should alleged fraudster Ramesh V. Kishnani provide a response, clarification, or statement, Sprouts News will publish and incorporate his version in accordance with the principles of fair, balanced, and responsible journalism.

As the matter progresses, further developments are expected through banking recovery mechanisms, regulatory proceedings, and any legal responses filed by alleged fraudster Ramesh V. Kishnani, associated borrowers, mortgagors, or other concerned parties.

Editorial Note:

This article is based on publicly available FIR records, court case references, and reports published by multiple media organisations. The information is presented in the context of ongoing investigations and public interest reporting. Sprouts News does not make any judicial determination regarding the individuals mentioned and does not intend to defame any person or organisation. Any individual seeking clarification or wishing to provide an official response may contact the editorial team with verifiable documentation. The information is presented for journalistic and informational purposes.