Allowed

State Bank of India v. Sri. Ratan Pillay

DRT26 Sept 2023OA/17/2023

Case brief

AI extract

What is this about?

In an Original Application for recovery, the Debts Recovery Tribunal allowed the bank's claim for outstanding loan dues, future interest, and the sale of hypothecated property to realize the debt after the defaulting defendant was set ex-parte.

What did the court decide?

Defendant to pay Rs.35,54,416 with interest; Bank entitled to sell hypothecated property and proceed against defendant's person and property.

State Bank of India versus Sri. Ratan Pillay — Banking and Recovery | DRT (2023)

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IN THE DEBTS RECOVERY TRIBUNAL-I AT HYDERABAD DATED THIS THE 26TH DAY OF SEPTEMBER'2023

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PRESENT: SRI GUMMADI GOPICHAND, PRESIDING oFFICER OA.No.17 of 2023

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Between :

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State Bank of India, Asset Recovery Management branch (SARB-2), 1-8-563/1, RTC cross !9ads,^{Opp SandhyaTheatre, 1't floor,} Chikkadpally, Hyderabad - 5OO O2O. Represented by its Chief Manager

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Applicant

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VERSUS

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Sri Ratan Plllay, s/o Mr. Chellappa^pillay, plot no.95/A, Road no.70, J ou rna list colony, Jubilee hills, Hyderabad - 500 033.

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Defendant

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Counsel for the Pa rties:

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For the Applicant Sri C. Prabhakar lrt.i,.'. For the Defenqarits -,:.i : Ex pa rte 2iSEP 1. The present OA against Defendant for recovery of of Rs.35,54,4L6/(Rupees Thirty Five

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(OA.No.17 of 2023)

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Lakhs Fifty four thousand Four hundred and Sixteen only) with future interest @ 8.75olo p.a with monthly rests from date of application till the date of realization and in default for sale of hypothecated property as described in the schedule to OA.

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As per the averments in the application, the Applicant Bank states that the defendant availed car loan of Rs.61.00 lakhs for purchase of BMW India, 5 series, 2Ot7 vide arrangement letter dated 77.08.2077. To secure the due repayment of car loan, the defendant executed loan cum hypothecation agreement dated 11.8.2017, The defendant created primary charge by way of hypothecation of aforesaid car. After availing the loan facilities, the defendant failed to comply the terms of sanction, hence the applicant bank was constrained to classify the account as NpA and issued legal notices dated 13.12.2020, 01.08.22022 and t2.0g.2022. Inspite of several requests and demands, the defendant did not clear the outstanding. Hence this OA.

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Defendant was called absent and set exparte on 07.06.2023.

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Shri O, Muralidhar, Chigt:iMelager of the Applicant Bank examined , a.^,u, *,... himself as AW;1 and exhibitb'd.rdlevant documents, which are marked ?'. as Ex.A.1 to A.B. '' I , 2 ! SrP20?3

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(OA.No.17 of 2023)

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Heard the Ld. Counsel for the Applicant Bank.

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The point that arise for consideration is whether the Applicant Bank is entitled for the claim made in the OA against the Defendants as prayed for?

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7 ' The defendant was called absent and set exparte. To substantiate the case of the Applicant Bank, AW.1, official of the Applicant Bank was examined and he exhibited relevant documents as Ex.A1 to A,g. In view of the above, I hold that the Applicant Bank has established their claim made in the OA against the Defendant and hence the Applicant Bank is entitled to recover the claim made in the oA with future interest and costs.

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B. In the result, the present OA is allowed with costs, as under:

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The Defendant is liable to pay to the Applicant Bank a total sum of Rs.35,54,416l- (Rupees Thirty Five Lakhs Fifty four thousand Four hundred and Sixteen only) with future interest @ 8.75olo p.a from date of application till the date of realization ;

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i) The Applicant Bank is entitred to proceed against the hypothecated property as described in the schedule to OA,

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2 3E SEP 2o?3

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(OA.No.17 of 2023)

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ii) the Applicant Bank^{is also entitled to proceedagainst the personand} propertles of defendant towards realization^{of the debt due'}

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iii) The Applicant^{Bank is entitled to the costs of the OA'}

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iv) The Applicant^{shall file a cost memo within two weeks from the date} of receiPt of order'

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Issue Recovery^{certificate accordingly.}

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Communicate a^{copyof the order to the partiesconcerned'}

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(Dictated to the P.A., transcribed by^{her, corrected, signed and pronounced by mein theopen} court on this the^{26th day of Sept, 2023)}

sd/_

(G. GOPICHAND)

PRESIDING OFFICER

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"for**ro'"

¶35

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State Bank of India v. Sri. Ratan Pillay

Case brief

What is this about?

What did the court decide?

State Bank of India v. Sri. Ratan Pillay

Case brief

What is this about?

What did the court decide?

What the court decided

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