Allowed

State Bank of India v. M/S. Vansan Hospitality Services

DRT17 Nov 2023OA/23/2023

Case brief

AI extract

What is this about?

Debts Recovery Tribunal allowed the applicant bank's objection application seeking recovery of outstanding dues, including term loans, credit limits, and interest, against a proprietor and guarantor who failed to repay sanctioned facilities.

What did the court decide?

Defendants jointly and severally liable to pay Rs. 64,69,697/- with interest; bank entitled to proceed against hypothecated movables and other properties for debt recovery.

State Bank of India versus M/S. Vansan Hospitality Services — Execution and Attachment | DRT (2023)

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IN THE DEBTS RECOVERY TRIBUNAL-I AT HYDERABAD DATED THIS THE 17TH DAY OF NOVEMBER' 2023

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PRESENT: SRI GUMMADI GoPIcHAND, PRESTDING oFFICER OA.No.23 ol ZO2g

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Between :

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State Bank of India, Stressed Assets Recovery Branch SARB-2, 2nd floor, TSRTC Community Amenity Centre, Bus terminal complex, Koti, Hyderabad - 500 095. Represented by its Chief Manager

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... Applicant

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VERSUS

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M/s. Vansan Hospitality Services, Represented by its proprietor Sri Ramavath Sandeep, S/o R. Nehru Naik, 3.d iloor, The-me-Kiosk No.4, GSM Mall, Sy.No.99, part_A21OO, Miyapur main road, Madinaguda, Hyderabad - 5OO 049.

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Sri Ramavath Sandeep, S/o R. Nehru Naik, major, Male,^plot no.1 & 2 part A, :li^{NaSar colony, Kummarikunta,} Hayathnagar, Ranga Reddy dist_ 501 505.

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Defendants

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Counsel for the pa rties:

For the Applicant

For the Defendants

'd<br>iP

(OA. No.23l2023)

ORDER

1' The Applicant Bank fired the present oA against Defendants for recovery of a total sum of Rs.64,69,697l_(Rupees Sixty Four Lakhs Sixty Eight thousand Six hundred and Ninety Seven only) i.e., a) a sum of Rs.48,s4,425l- under term roan with future interest @ 13.30o/o p.a from 03.12.2022 till the date of realization;

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b) a sum of Rs.5,81,752/- under GECL with future interest @ 11,65% p.a from 03.I2.2022 Ull the date of realization;

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c) a sum of Rs.2,93,294/- under FITL with future interest @ 12.40o/o p.a from 03.t2.2022 till the date of realization;

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d) a sum of Rs.7,39,226/- under GECL with future interest @ 11.90% p.a from 03.12.2022 till the date of realization;

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and in defaurt for sare of hypothecated movabres as described in the schedule to OA.

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2' As per the averments in the apprication, the Appricant Bank states that the defendant No.2 being the proprietor of 1.t defendant avaired term loan of Rs.52.00 lakhs, GECL of Rs.B.00 lakhs, FITL of Rs.3.00 lakhs and GECL of Rs.7.00 lakhs. ant no.2 stood as guarantor ror due repayment .r n"dm;t[i!. hypothecation of

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J^{1 t Nou ,t12? *} 'Wrt,",-

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(oA. No.23l2023)

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movables favouring Appricant Bank. After avairing the roan facilities, the defendants faired to compry the terms of sanction, hence the applicant bank was constrained to classify the account as NpA and issued legal notice dated 09.L2.2022. Inspite of severar requests and demands, the defendants did not crear the outstanding. Hence this oA.

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Defendants 1 & 2 called absent and set exparte on 07.08.2023.

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Sri P. Prabhakar, Manager of the Appllcant Bank examined himself as AW.1 and exhibited relevant documents, which are marked as Ex,A. 1 to A.16.

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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

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

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7 ' Defendants cailed absent and set exparte. To substantiate the case of the Applicant Bank, AW.1, official of the Appricant Bank was examined and he exhibited rerevant documents as Ex.A1 to A,16. In view of the above, I hold that the Applicant Bank has established their claim made in the OA against the De ce the Applicant Bank is

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//*/$P ,:,r; i\l ) *

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(oA.No.23l2023)

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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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9' The Defendants are jointry and severaily riabre to pay to the Appricant Bank a total sum of Rs.64,6g,697l_(Rupees Sixty Four Lakhs Sixty Eight thousand Six hundred and Ninety Seven only) i.e.,

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a) a sum of Rs.48,54,425l- under term loan with future interest @ 13.30olo p.a from 03.t2.2022 till the date of realization;

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b) a sum of Rs.5,81,752/- under GECL with future interest @ 11.650lo p.a from 03.12.2022 till the date of realization;

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c) a sum of Rs.2,93,294/- under FITL with future interest @ 12.40olo p.a from 03.12.2022 till the date of realizaUon;

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d) a sum of Rs.7,39,226l- under GECL with future interest @ 11.90olo p.a from 03.12.2022 till the date of realization;

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The Applicant Bank is entifled to proceed against the schedule

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mentioned hypothecated movables as described in the OA.

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the Applicant Bank is also entitled to proceed against the person and properties of defenda nts of the debt due.

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(OA. No.2312023)

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

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The Applicant shall file a cost memo within two weeks from the date of rece ipt of order.

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L4. Issue Recovery certificate accord ingly.

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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 17th day of Nov, 2023)

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sd/-

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(G. GOPTCHAND) PRESIDING OFFICER

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State Bank of India v. M/S. Vansan Hospitality Services

Case brief

What is this about?

What did the court decide?

State Bank of India v. M/S. Vansan Hospitality Services

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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