Allowed

State Bank of India v. M/S. Adithya Engineering

DRT14 Jun 2023OA/304/2022

Case brief

AI extract

What is this about?

Debts Recovery Tribunal upheld the Applicant Bank's claim for recovery of dues totaling over Rs. 87 lakhs with interest. The Tribunal held the Defendants jointly and severally liable for the loan defaults and sanctioned realization from mortgaged assets and properties.

What did the court decide?

Defendants ordered to pay Rs. 87,19,990 with interest; Applicant Bank entitled to proceed against mortgaged/hypothecated assets and properties of Defendants for realization; Costs of OA awarded.

State Bank of India versus M/S. Adithya Engineering — Execution and Attachment | DRT (2023)

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

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PRESENT: SRI GUMMADI GoPIcHAND, PRESIDING oFFICER

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OA.No.3O4 OF 2022

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Between :

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State Bank of India, Stressed Assets Recovery Branch, 2nd floor, TSRTC Bus Terminal Complex, (Commuter Amenity Centre), Koti, Hyderabad, Telangana. Represented by its Chief Manager Applicant

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VERSUS

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M/s. Aditya Engineering, Represented by its Proprietor, 5-5-35/ 142, Pragathi nagar,

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Kukatpally, Hyderabad - 5OO 072.

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Also at

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Regd address: Plot no.7 & B, Sy.No.457, 5-5-87/ 72/7, IE Kukatpally, Balanagar, Hyderabad - 500 072.

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Sri R.V.S. Durga Rao, male, major, Proprietor of M/s. Aditya Engineers, 5-5-35 / L42, Pragathi nagar, Kukatpally, Hyderabad - 5OO 072.

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Smt R. Vimala, female, w/o R.V.S. Durga Rao, major, 5^-5 -35/ 742, Pragathi nagar,

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Defenda nts
Kukatpally, Hyderabad - 500 !V2..u;.:','-'.i *
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, .rr,

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(OA. No.304/2022)

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Counsel for the^pa rties:

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For the Applicant

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For the Defenda nts

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Shri P.V. Satyanarayana

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Expa rte

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ORDER

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The Applicant Bank fired the present oA against Defendants for recovery of a total sum of Rs.87,19,99Ol- (Rupees Eighty Seven lakhs Nineteen thousand Nine hundred and Ninety only) i.e., a sum of Rs.50,11,7427/- with interest @ 10.15% with monthly rests for CC loan; a sum of Rs.31,83,295l_ for term loan with interest @ 10.25olo with monthly rests and a sum of Rs.5,24,968/_ for FITL loan limit with interest @ 9.15o/o with monthly rests from the date of application tirr rearization and in defaurt for sare of mortgaged and hypothecated properties as described in the schedule to OA.

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As per the averments in the application, the Applicant Bank states that 2nd defendant is the proprietor of 1st defendant and arong with defendant no,3 availed cash credit loan for a sum of Rs.15.00 lakhs and term loan of Rs.65.OO lakhs on 30.01.2017. Defendants 2 & 3 stood as guarantors for due re ,of^outstanding liability in the ) it .'.':i " \ loan accounts. oefenOd'6s"i"ioi;; ry secu rity loan Ir, ..:. documents for securing the repaym ent nding liability in said ,^tq,tull 2Ul

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(OA.No.304/2022)

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loan accounts vide letter of arrangement dated 30.01.2017. To secure repayment of outstanding liability, the defendants executed Agreement of loan cum hypothecation and guarantee agreement dated 30.01,2017. To secure repayment of outstanding liability, 3.d defendant deposited the title deed bearing regd sale deed no.s 2715/2015 and regd sare deed no.2719/2or5 dated 29.04,2015. subsequently defendants 1 to 3 has renewed and enhanced the CC loan Iimit of Rs.75.00 lakhs and the outstanding in term loan limit of Rs.50.00 on 14.08.2018. To secure repayment of outstanding liability, the defendants also executed supplemental agreement of loan cum hypothecation and guarantee agreement dated 14.08.2018. Subsequently, the appricant bank arso sanctioned wcrl roan of Rs.30.00 lakhs and FITL-I roan of Rs.5.10 rakhs and FITL roan of Rs'2.90 lakhs respectivery on 30.11.2020. After avairing the roan facilities, the defendants faired to compry the terms of sanction, hence the applicant bank was constrained to crassify the account as NPA and issued legar notice dated 15.09.2022, Inspite of several requests and demands, the defendants did not clear the outstanding. Hence this OA.

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3. Defenda nts were

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*
1 4 JUlt 7IM \r
il)/

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(oA.No.304/2022)

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Shri Lakavath Narender Naik, Senior Manager of the Applicant Bank examined himself as AW.1 and exhibited relevant documents, which are marked as Ex.A.1 to A.20.

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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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The defendants were 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.20. In view of the above, I hold that the Applicant Bank has established their claim made in the OA against the Defendants 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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a * 14 JUIJ

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(OA. No.304/2022)

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The Defendants are jointly and severally liable to pay to the Applicant Bank a total of Rs.87,19,99O/- (Rupees Eighty Seven lakhs Nineteen thousand Nine hundred and Ninety only) i.e., a sum of Rs.50,11,7427/- with interest @ 10.15o/o for CC loan; a sum of Rs.31,83,295/- for term loan with interest @ 10.25olo and a sum of Rs.5,24,968/- for FITL loan limit with interest @ 9.15% from the date of application till the date of realization.

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i) The applicant bank is entitled to proceed against the mortgaged immovable property and hypothecated assets as described in the schedules "A & B" to OA towards realization of the debt due.

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ii) the Applicant Bank is also entitled to proceed against the person and properties of defendants No.2 & 3 and properties of defendant no.1 firm 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

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(oA.No.30al2022)

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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 June, 2023)

sd/ -

(G. GOPTCHAND)

PRESIDING OFFICER

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TR,UE COPY ^n*fu, DRT.I, HIDEft,&RAD.^ig

State Bank of India v. M/S. Adithya Engineering

Case brief

What is this about?

What did the court decide?

State Bank of India v. M/S. Adithya Engineering

Case brief

What is this about?

What did the court decide?

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