Allowed

State Bank of India v. Sri Shesharao Rathod

DRT14 Nov 2023OA/183/2023

Case brief

AI extract

What is this about?

Debts Recovery Tribunal allowed the applicant bank's original application against the defendant for recovery of outstanding dues totaling Rs. 82,31,306 across various loan accounts, ordering payment with future interest and costs.

What did the court decide?

Defendant directed to pay Rs. 82,31,306/- with future interest; bank entitled to recover dues from hypothecated movables and defendant's properties.

State Bank of India versus Sri Shesharao Rathod — Banking and Recovery | DRT (2023)

¶1

IN THE DEBTS RECOVERY TRIBUNAL-I AT HYDERABAD DATED THIS THE 14TH DAY OF NOVEMBER' 2023

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PRESENT: SRI GUMMADI GoPIcHAND, PRESIDING oFFICER OA.No.183 ol 2023

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Between :

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State Bank of India, Asset Recovery Management Branch (SARB-II) D.No.1-8-563/1, l't ftoor, Opp Sandhya theatre, RTC X roads, Hyderabad - 500 020. Represented by its Chief Manager

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Applicant

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VERSUS

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Sri Shesharao Rathod, S/o Sri Thulasya Naiak Rathod, Proprietor of M/s. Akhshitha Food centre, male, aged major, Occ: business, Sy.No.95/1(part A), 3'o floor, block -D, NCL Shankari, Pet Basheerabad village, Quthbullapur, Hyderabad - 500 067. Telangana State.

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Also at:

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9-28, Anarpally Karanjwada, Kerameri Anarpalle, Devapur, Adilabad - 504 293.

¶10

Defenda nt

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Counsel for the^parties: For the Applicant Sri Arun Kumar {T^{g.i&,</sup> s# "tsrtl For the Defendant Ex pa rte c$^'t 1 4 iltl,'^lnri}

¶12

(oA.No.183/2023)

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ORDER

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The Applicant Bank filed the present OA against Defendant for recovery of a total sum of Rs.92,31,306/- (Rupees Eighty Two Lakhs Thirty One thousand Three hundred and Six only) i.e.,

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a) A sum of Rs.90,856/- under cash credit with further interest @ L2.4Oo/o p.a with monthly rests from 13.05.2023 till the date of realization;

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b) A sum of Rs.70,21,393/- under term loan with further interest @

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L2.LSo/o p.a with monthry rests from 13.05.2023 tiil the date of realization;

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c) A sum of Rs.1,09,662/- under GECL loan with further interest @

¶19

9.600lo p'a with monthry rests from 13.05.2023 til the date of realization;

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d) A sum of Rs.10,09,295/- under WCTL loan with further interest @ 9.600/o p.a with monthly rests from 13.05.2023 till the date of realization;

¶21

and in default for sale of hypothecated movables as described in the schedule to OA.

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As per the averments in the applke&e the Applicant Bank states that the defendant is an .,,}'ry"rvconcern in the ffi" 14NCli w:il itg Wu'.,ro'",*7 +it&P

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(oA. No.183/2023)

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name of M/s. Akshitha Food centre avaired GECL of Rs.4.00 rakhs, cash credit roan of Rs.2.00 rakhs, wcrl of Rs.B.00 rakhs and term roan of Rs.58 lakhs vide arrangement retter dated 26.8.2021. To secure due repayment of aforesaid roans, the defendant executed agreement of loan cum hypothecation and guarantee agreement dated 23.12.2019. The defendant arso executed guarantee agreement dated 26.08.2021 and supprementary agreement of roan cum hypothecation creating hypothecation of stocks and receivabres on 26.08.2021 as described in the schedule to oA. After avairing the roan facirities, the defendant failed to comply the terms of sanction, hence the applicant bank was constrained to classify the account as NpA and issued demand notice dated 29.04.2023. 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 12.09.2023.

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4' smt M. sarara, Manager of the Appricant Bank examined herserf as AW'1 and exhibited rerevant documents, which are marked as Ex.A.1 to 4.24.

¶27

Heard the Ld. Counsel for the Applicant Bank.

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1qt'nu)to? o,
; i/
,g .,
Wo*r#

¶29

(OA. No.183/2023)

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6' The point that arise for consideration is whether the Appricant Bank is entitled for the craim made in the oA against the Defendant as prayed for?

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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 she exhibited relevant documents as Ex.A1 to A.24. 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 Appricant Bank is entitled to recover the craim 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 riabre to pay to the Appricant Bank a totar sum of Rs.82,31,3O6,/- (Rupees Eighty Two Lakhs Thirty One thousand Three hundred and Six only) i,e.,

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a) A sum of Rs.90,856/- under cash credit with further interest @ 72.40o/o p.a from 13.05.2023 till the date of realization;

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b) A sum of Rs.70,21,393/- under term roan with further interest @ L2.l5o/o p.a from 13.05.2023 till the date of realization;

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c) A sum of Rs.1,09,662/- under
n with furthei interest @
.--'- -'--.-.i-.-<br>9.60% p.a from 13.0
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¶37

(oA. No.183/2023)

¶38

d) A sum of Rs.10,09,295/- under WCTL loan with further interest @ 9.60o/o p.a from 13.05.2023 till the date of realization;

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The Applicant Bank is entitled to proceed against the hypothecated movables as described in the schedule to OA.

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the Applicant Bank is also entitled to proceed against the person and properties of defendant towards realization of the debt due.

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The Applicant Bank is entitled to the costs of the OA.

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The Applicant sharr fire a cost memo within two weeks from the date of receipt of order,

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Issue Recovery certificate acco rd in g ly,

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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 14th day of Nov, 2023)

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sd/-

¶47

(G. GOPTCHAND)
PRESIDING OFFICER

¶48

TtcuF.coPY
o*,.fu,,h\I,
Dar.t, HytEpAEad ' -

¶49

State Bank of India v. Sri Shesharao Rathod

Case brief

What is this about?

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State Bank of India v. Sri Shesharao Rathod

Case brief

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