Ambikapur: In a major crackdown on loan default, the Central Bank of India, with the support of the district administration, sealed Hariom Jewellers and Hotel Mountain at the busy Gudri Chowk in Ambikapur on Wednesday. The action was taken after businessman Rajesh Soni, who had borrowed ₹3 crore for business expansion and hotel construction, failed to repay the loan—even after being offered a final settlement opportunity.
Despite being granted a chance to settle the debt by paying
₹1.5 crore, Soni did not comply, prompting the bank to initiate recovery
proceedings. The incident has sparked concern and discussions among the
business community in Ambikapur and surrounding regions.
Background: COVID-19 Impact and Loan Default
According to bank sources, Rajesh Soni had taken a
substantial business loan in 2019 from the Central Bank of India’s
Ambikapur branch to expand his jewellery business and construct a hotel. Using
the funds, he built a three-storey Hotel Mountain on a 6-disamil
plot at Gudri Chowk—a prominent commercial area in the city.
However, the COVID-19 pandemic severely impacted his
business, leading to missed EMIs. Over time, with accrued interest and unpaid
principal, the total loan amount ballooned to approximately ₹3 crore. In an
attempt to recover the amount, the bank offered a settlement plan requiring
a payment of ₹1.5 crore, but Soni failed to respond or make the payment.
Sealing Under SARFAESI Act
After repeated attempts to reach Soni failed, the bank
initiated proceedings under Section 13(2) of the SARFAESI Act
(Securitisation and Reconstruction of Financial Assets and Enforcement of
Security Interest Act). Multiple notices were served to the defaulter, but no
satisfactory response was received.
On Wednesday, a team led by Naib Tehsildar Jayendra Singh,
revenue officials, bank representatives, and police personnel arrived at the
site. Both Hariom Jewellers and Hotel Mountain were evacuated and sealed in the
presence of onlookers. Soni reportedly requested an extension of 10 more
days, but the request was denied due to prior delays and non-cooperation.
Confiscation and Auction to Follow
Officials clarified that the sealing is a precursor to
confiscation, and the process of attaching and auctioning the properties
will follow. The proceeds will go toward recovering the outstanding loan
amount. The bank has formally moved to initiate asset seizure as part of
its recovery process.
The high-profile sealing operation has sent ripples through
the city’s business community, with traders now more alert about financial
liabilities. Many acknowledge the challenges posed by the post-COVID economic
slump but agree that ignoring debt responsibilities can lead to severe legal
and financial consequences.