Allowed

Idbi Bank v. M S Laxmi Bangles and Ladies Emporium

DRT27 Apr 2023OA/178/2022

Case brief

AI extract

What is this about?

The Tribunal allowed the office application filed by IDBI Bank against defendants for recovery of outstanding dues including cash credit, term loan, home loan, and insurance loan amounts. The Bank established its claim through a witness and documents, and the Tribunal granted the relief subject to amounts already recovered via property auction.

What did the court decide?

Defendants are jointly and severally liable to pay Rs. 52,96,576.60 less Rs. 9,50,000 recovered via auction, with future interest and costs;

Idbi Bank versus M S Laxmi Bangles and Ladies Emporium — Banking and Recovery | DRT (2023)

¶1

IN THE DEBTS RECOVERY TRIBUNAL.I AT HYDERABAD

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DATED THIS THE 27ffrDAY OF APRIL, 2023

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PRESENT: SRI GUMMADI GOPICHAND, PRESIDING OFFICER

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OA.No.178 ot 2022

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Between:

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M/s. IDBI Bank Limited, Kachiguda branch, Hyderabad, Telangana State.

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Represented by its Recovery officer

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Applicant

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VERSUS

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M/s. Laxmi Bangles and Ladies Emporium, Represented by its proprietor M rs. Ka lya n iM ud h raga na m, Near MCH ground, Old Malakpet, Hyderabad - 500 036.

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Mrs. KalyaniMudraganam, w/oMr. M. Praveen Yadav, aged 46 years, H.No.16-9-B3tl ll/4, sarojininagar colony, Near MCH ground, oldmalakpet, Hyderabad - 500 036.

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Mr. M. Praveen Yadav, s/o Sri Mudhraganam Krishna, aged 46 yrs, H.No.16-9-83L/LU4, sarojininagar colony, Near MCH ground, oldmalakpet, Hyderabad - 500 036.

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Defendants

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Counsel for the Parties:

For the Applicant

Sri SrinivasChitturu

For the Defendants

Expafte

(oA.No.178/2022)

ORDER

The Applicant Bank filed the present oA against Defendants for recovery of a total sum of Rs.52rg6,576.6ops (Rupees Fifty Two Lakhs Eighty six thousand Five hundred Seventy six and paise sixty only) i.e.,

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a) Defendants 1 to 3 to pay a sum of Rs.12,00,755l_ plus legat chargesin respect of cash credit with future interest @ 11.65010 p.a with monthry rests from date of firing of oA tiil the date of realization;

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b) Defendants 1 to 3 to pay a sum of Rs.1,75,713l_ plus legal charges in respect of term loan with future interest @ 9,700lo p.a with monthly rests from date of filing of OA till the date of realization;

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c) Defendant No.2 to pay a sum of Rs.34,725.60ps plus legal charges in respect of loan expenses with future interest @ 7.650/o p.a with monthly rests from date of filing of OA till the date of realization;

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ant No.2 to'pay a sum of Rs.37,69,745/- plus legal of home loan with future interest @ 7.650/o p.a from date of filing of OA till the date of

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2 7re#Ea$tr;

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,,sol,o*""1.5f#o^pav a sum of Rs.1,01,301/- plus legal charges f,^-i^rg,qiS;i'insu rance loan with future interest @ 11.650lo

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(oA.No.178/2022)

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p.awith monthry rests from date of firing of oA tiil the date of realization;

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Defendant No.2 to pay a sum of Rs.4,937/- plus legal charges in respect of loan expenses with future interest @ 7.650/o p.a with monthly rests from date of filing of OA till the date of realization;

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and in default for sale of mortgaged properties as described in the schedule^*I & II" to OA.

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As per the averments in the apprication, the Applicant Bank states that defendant No.2 proprietor of defendant no.1 avaired credit facilities for a sum of Rs.10.00 lakhs represented by defendant no.2 availed cash credit facility of Rs.20,00 rakhs. Defendants 1 &2 on 30.01.2016. defendant no.1 executed retter of intent, retter of demand promissory note, hypothecation cum loan agreement. Defendants no.2 &, 3 executed common guarantee deed on o secure the loan availed by defendant no.1. defendant no.1 availed additional limits towards o:".0'":"' ; ii'lffff]: defenda$lj#.r ff^""::: executed demand promissory :,.",':: ,'"'-"_l'i::1" note ror t* dt ". 78.7.2020. rhe cash credit toan avaited by Ug&/" o.1 was secured by equitable mortgage of application schedule property I belonging to defendant no.3. thereafter the defendant no.2 availed home loan of Rs.35.00 lakhs and executed

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(oA.No.u8l2022)

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home loan agreement on 29.L2.20L7 and was also secured by equitable mortgage of immovable property belonging to defendant no.2. After availing the loan facilities, the defendants failed to comply the terms of sanction, hence the applicant bank was constrained to classiFy the account as NpA on 30.I2.2021 and issued recall notice dated 02.02.2022. Inspite of several requests and demands, the defendants did not clear the outstanding. Hence this oA,

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Defendants were called absent and set exparte on 07.03.2023.

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Smt V. Sunita, Assistant Manager of the Applicant Bank examined herself as AW.1 and exhibited relevant documents, which are marked as Ex.A.1 to A.30. The Applicant Bank filed part satisfaction memo submitting that during pendency of OA, the Applicant Bank auctioned schedule-I property on 18.08.2022 and

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i '. : r5:: '-',,',};.;
of Rs.8,5o,ooo/- towards CC and TL limits. {4,,4:r;,,.r'
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5.
Heard the Ld. Counset for the Appticant Bank. r:l 2 7 lPn 7m *
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6. The point that arise for consideration is whether point that arise for consideration is whether that arise for consideration is whether arise for consideration is whether for consideration is whether consideration is whether is whether whether the
'.;i::r-. _ .-

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The point that arise for consideration is whether point that arise for consideration is whether that arise for consideration is whether arise for consideration is whether for consideration is whether consideration is whether is whether whether the

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entitled for the claim made in the OA against the Defendants as prayed for?

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¶42

loA.No.t78lzoz2l

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The defendants were cailed absent and set exparte. To substantiate the case of the Applicant Bank, AW.1, official of the Applicant Bank was examined and she exhibited rerevant documents as Ex.A1 to A.30. In view of the above, I hold that the Applicant Bank has estabrished their craim made in the oA against the Defendants and hence the Applicant Bank is entiiled to recover the claim made in the OA with future interest and costs.

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

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The Defendants are jointry and severaily riabre to pay to the Appricant Bank a total sum of Rs.52,96,576.6ops (Rupees Fifty Two Lakhs Eighty six thousand Five hundred Seventy six and paise sixty only) less a sum of Rs.g,5O,OOO/- towards CC and Term loan limits recovered by auction of schedule I property on L4.O8.2022.

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ants 1 to 3 to pay a sum of Rs.12,00,755l- in respect of ,ins glgash\i:t with future interest @ 11.650lo p.a from date of filing Li]i, .:! lty lto e. ^" -,,,4, \ ''0f oA tiil t[e\date of realization; I i 2 7 bfPEemd"rtg# ro 3 to pay a sum of Rs.!,75,7L3l- in respect or 't&#frffi::::: @ e.70olo^p.a rrom date or nrins or ":'"st :: :.-'-'dr0,A:trlLtlle date of rea|ization;

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(OA.No.178/2022)

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c) Defendant No.2 to pay a sum of Rs.34,725.60ps in respect of loan expenses with future interest @ 7.650/o p.a from date of flling of OA till the date of realization;

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d) Defendant No.2 to pay a sum of Rs.37,69,145/_ in respect of

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home loan with future interest @ 7.650/o p.a from date of filing

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of OA till the date of realization;

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e) Defendant No.3 to pay a sum of Rs.1,01,301/_ in respect of insurance loan with future interest @ 11.650lo p.a from date of filing of OA till the date of realization;

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f) Defendant No.2 to pay a sum of Rs.4,937/_ in respect of loan expenses with future interest @ 7.650/o p.a from date of filing of OA till the date of realization;

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The Applicant Bank is entiUed to proceed against the mortgaged property as described in the schedule "II" to OA towards realization of the debt due.

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is also entiiled to proceed against the person and
lnUBHj."
{/ &^
'ifu

tion of the debt due.
i r'i'TPfr"|?!tId'
{
:1*a
rzi }f.h.apprc k is entitled to the costs of the OA.
- .:

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loA.No.LTg/20221

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The Applicant shail fire 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 copy of the order to the parties concerned.

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(Dictated to the P.A., transcribed by her. corrected, signed and pronounced by me in the open court on this the 27th day of April., 2023)

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sdl-

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(G. GOPTCHAND) PRESIDING OFFICER

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'rRuE CRPY oit-t, ^"",YhH[I,^gloEnaaaa

Idbi Bank v. M S Laxmi Bangles and Ladies Emporium

Case brief

What is this about?

What did the court decide?

Idbi Bank v. M S Laxmi Bangles and Ladies Emporium

Case brief

What is this about?

What did the court decide?

What the court decided

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Issues for consideration

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