Allowed

Union Bank of India (Formerly Andhra Bank) v. M/S Snehith Enterprises

DRT26 Jul 2023OA/423/2022

Case brief

AI extract

What is this about?

This judgment deals with an Original Application filed by a bank for recovery of dues from multiple defendants. The defendants appeared ex parte, and the court examined the evidence affidavit and documents submitted by the bank. The court held the defendants jointly and severally liable to pay the claimed amount along with interest and costs, and approved the recovery procedure including hypotheca

What did the court decide?

Declaratory order holding defendants jointly and severally liable to pay the bank dues with interest, allow recovery under hypothecation/mortgage, and direct issuance of Recovery Certificate.

Union Bank of India (Formerly Andhra Bank) versus M/S Snehith… — Banking and Recovery | DRT (2023)

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oA 423/2022

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V.Raghu^advocate'For 07.07.2023.^Heard the exparte^{arguments through} call on^26.07.2023. orders,

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P.O

26.07.2023.

Orders^{pronounced(Vide SeParate} Sheets).In^{the result,} OA No.42312Q22^{is allowed with} costs. Issue^RecoverY Certificate accordinglY.

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OW:u

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On verification^{it is found that' the names of D5 and D6} 20.o3.2025 have been^{omitted in cause title of the orderdated} 26.07.2023^{in OA 423t12022'The inadvertent mistakeis} corrected^{as here under;}

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"Add 5. Mr.M.Surendra^ReddY, S/o.Late^{Madduri SubbaReddY'} Aged Major,^{Occ: Busine-ss'} o.t\o' t S-S-:-10'^S'No'334-1'

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ReddePPa^{Naidu ColonY'} BK Palli^{RevenueVillage'} Madanapalli^{Town' Chittoor Dist-517325'}

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Mr.A.R'Khadhar^Basha' S/o'A'Magbul^Saheb' Aged Major,^{Occ: Business'.} o.tlo. rzlag-^{r-8, NVR Street'} Near Sidhartha^{School' Madanapalli'} Chittoor^District -^5t7325'

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UPload^{the corrected order'}

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,.oBlGlNAIj'

IN THE DEBTS^{RECOVERYTRIBUNAL-II AT HYDEMBAD}

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DATED THIS^{THE26th DAYOFJULY. 2023}

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PRESENT; sH.^{MMESHWaRI<orHEif,.t;1"} '^{L'LB' (Hons')'M'A'}

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Original Application^{No: 423 OF 2022}

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Union Bank of India, (Formerly Andhra Bank) Madanapalli Branch,CMT^Road, Chittoor District, A. P.-517325. Represented by its Chief^Manager.

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......Applicant

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VERSUS

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M/s. Snehith Enterprises,

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Rep. by Its proprietor

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Mr P. Ramnath,

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D. No.9-148 B, Madanapalli Road,

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Nallacheruvu Mandal, Anantapur District-515551

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Andhra Pradesh.

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I4ls. Iswaya Enterprises

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Rep. by Its Managing Partner,

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P. Ramnath,

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D.No.9- 148 C, Madanapalli Road, Nallacheruvu Village and Mandal, Anantapur District-515551

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Andhra Pradesh.

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Mr. P. Ramnath S/o. Late P. Sankara Naryana Chetty, Aged Major, Occ: Business

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D.No.7- 125, Main Road, Nallacheruvu Village Post and f4andal,

//4'*1w/^

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OANo.423/ZOZ2

Anantha-pu.r Disrtrict_S15551 Andhra pradesh, 4. Mrs. p. Aishwarya W/o.^p. Ramnatil

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Aged: Major, Occ: BusinessD.No.7_125, Main Road, Nallacheruvu Village poit and Mandal, Ananthapur Disrtrict_5155ir.^- Andhra^pradesh.

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ffi:,ii:i^::i ;i^t'']".^ti, i,X'll1p*.Ui..ilr"noun., /\ ,/1 B.d&pp,^{N ar ,t- 'cJ} cu,r^{B k .} ^a .-^p*,- / UlNt,1. P."ru Q.at,t ur,4_vi -fJ' .fttau silFirct.^srrszs- ^ I lKll-1 P :Hi*'bisr s,y]2s 7(rwr./.-b Counset for the Applicant : M/s. V. Raghu^(UY\S'" Counsel for the Defendant : Ex_parte

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ORDER

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The Applicant Bank filed the present OA for the recovery of a total sum of Rs. L4,OZ,7S,3SL]_ i.e. a sum of Rs. 2,53,80,502.46 ps. under OCCSS Account From D_1, D_3 & D_4 and a sum of Rs. 1,31,92,779.77 ps under Term of Loan from D-1, D-3 & D-4 and a sum of Rs. 5,80,30,097.50 ps. under OCCSS from D-2 to D-6 and a sum ofRs.4,36,81,97L/_ under Term Loan from D-2 to D-6 joinfly and severally with future interest @11.05 o/o, @12.05o/o, @10.0go/o & @12olo p.a. respectively with monthly rests from the date of this Application till the date of realization along with costs.

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Summons served on D1 to 5 where as D-6 served summons

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through paper publication. The defendants were set exparte on

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O2,O3,2023 as calted absent and no representa,"^frW.*

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oa No.423/2022

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The Applicant Bank examined D. Govardhan, Chief Manager as AW-1 and marked 40 documents through him as Ex. A.1 to Ex. A. 40.

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Heard the Ld. Counsel for the Applicant Bank, perused the material placed on record.

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The point that arises for consideration is:

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Whether the Applicant Bank is entitted for the claim made in the OA against the Defendants and OA Schedule^propetties?

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As stated supra, the Defendants remained ex_parte. The Evidence Affidavit coupled with the recitals in the documents viz., Exs. A.1 to A.4O marked on behalf of the Applicant Bank clinches the claim of the Applicant Bank against the Defendants. Hence, I hold that the Defendants are joinfly and severally liable to pay the OA claim to the Appticant Bank with future interest and costs.

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In the resutt, the present Originat Apptication No.4Z3/2O22 is allowed as under: -

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i) The Defendants are jointly and severally liable to pay to the Applicant Bank a sum of Rs. 74,02,75,357/- i.e. a sum of Rs. 2,53,A0,502.46 ps. under OCCSS Account from D-1, D-3 & D-4, a sum of Rs. 7,31,82,779.77 ps. under Term of Loan from O-1. D-3 & D-4, a sum of Rs. 6K*

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oANo.{23/2022'

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5,80,30,097.50 ps. under OCCSS from D_2 to D-6 and a sum of Rs. 4.36,gttg7t/_ under Term Loan from D-2 to D-6 with future interest @10o/o p.a. simple from the date of application till the date of realization;

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ii) the OA claim is secured by way of hypothecation/mortgage of properties of described in the Schedules annexed to OA and the applicant bank is entiUed to proceed against the same to realise its debt;

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iii) the applicant bank is also entiHed to proceed against the person and properties of defendants for realization oF its dues;

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iv) the applicant bank is entifled for the costs.

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The Applicant Bank is directed to file Cost Memo within 2 weeks from the date of receipt of this Order.

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Issue Recovery Certifl cate accordingly.

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Communicate a copy of this order to the parties concerned. (Dictated-tohthe steno, corrected, signed and pronounced by me in the open court on thisthe 26^" day ofluly,2023).

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,4W-"* ((AMESHWAR KoTHE) PRESIDING OFFICER

Union Bank of India (Formerly Andhra Bank) v. M/S Snehith Enterprises

Case brief

What is this about?

What did the court decide?

Union Bank of India (Formerly Andhra Bank) v. M/S Snehith Enterprises

Case brief

What is this about?

What did the court decide?

What the court decided

A compact analysis

Issues for consideration

Parties & counsel

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