Allowed

Indian Bank v. M/S. B. Nagendra Nail Enterprises

DRT24 Sept 2024OA/270/2023

Case brief

AI extract

What is this about?

Allowed an Original Application filed by Indian Bank for recovery of a term loan and OD/CC account against two defendants who were absent. The court affirmed the bank's claim based on office witness testimony and documents, directing joint and several liability for the principal, interest, and costs.

What did the court decide?

Defendants jointly and severally liable to pay principal, interest, future interest, and costs. Recovery certificate to be issued.

Indian Bank versus M/S. B. Nagendra Nail Enterprises — Contract and Commercial Disputes | DRT (2024)

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IN THE DEBTS RECOVERYTRIBUNAL-I AT HYDERABAD DATED THIS THE 24THDAY OF SEPTEMBEP(' 2024

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PRESENT: SRI GUMMADI GoPIcHAND, PRESIDING oFFICER

¶3

OA.No.27O ot 2023

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Between:

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Indian Bank, Suryapet branch, Near old Triveni College, 60 feet road, Suryapet, Telangana - 5OB 213. Represented by its authorized Signatory Mr. M. Mohan Sandeep

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Applicant

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VERSUS

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M/s. B. Nagendra Naik Enterprises, Prop: Mr. Banothu Nagender Naik, S/o Mr. Boya K.K. Thanada, Garidepally Mandalam, Tallamalkapuram, Gareidepalle,

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Suryapet district, Telangana - 501 201.

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Mr. Banothu Nagender Naik, S/o Mr. Boya, Major,

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Prop: M/s. B. Nagendra Naik Enterprises K.K. Thanada, Garidepally Mandalam, Tallamalkapuram, Gareidepalle,

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Suryapet district, Telangana - 501 201.

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Defendants

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Counsel for the Parties:

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For the Applicant Sri R.V. Subba Rao For the Defendants Exparte

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(OA.No.270 of 2023)

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ORDER

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1' The Appricant Bank fired the present oA against Defendants for recovery of a total sum of Rs.26,7g1967l_ (Rupees Twenty Six Lakhs Seventy Eight thousand Nine hundred and Sixty Seven

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only) i.e., a sum of Rs.26,19,367l_ under term loan with interest @ 9.55o/o p.a with quarterly rests and a sum of Rs.59,600/_ under OD/CC account with interest @ 10.g0o/o p.a with quarterly rests from date of filing of OA till the date of realization.

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2' As per the averments in the apprication, the Appricant Bank states that defendant No.2 is the proprietor of defendant no.1 firm avaired term loan of Rs.30,97,000/_ and clean overdraft with a limit of Rs'1'00 rakh and bank guarantee facirity of Rs.4.00 rakhs vide letter of arrangement dated 10.01.201g. The defendants executed demand promissory note, medium term loan agreement and various other documents in favour oF Appricant Bank. After avairing the roan facility, the defendants faired to compry the terms of sanction, hence the applicant bank was constrained to crassify the account as NpA and issued notices. Inspite of several requests and demands, the defendants did not clear the outstanding. Hence this OA.

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Defendants No.1 and
exparte on 22.04.2024.
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(OA.No.270 of 2023)

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smt K. sumaratha, officer of the Appricant Bank examined himserf 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

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

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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 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 Appricant Bank is entiued 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 Defendants are jointly and severally liable to pay to the Applicant Bank a total sum of Rs.26,7g,967l_ (Rupees Twenty Six Lakhs ousand Nine hundred and Sixty Seven on ,79,367/- under term loan with F;;6.interest of Rs.59,600/- under OD/CC j^tt"/" r,n'in9r' I F't,

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(oA.No.270 of 2023)

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account with interest @ 10.80% p.a from date of filing of OA till the date of rea lization;

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9' The Appricant Bank is arso entiued to proceed against the person and properties of defendants towards rearization of the debt due.

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

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The Appricant shail fire a cost memo within two weeks from the date of receipt of order.

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L2. 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 24th day of Sept, 2024)

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¶40

sdl(G. GOPTCHAND) PRESIDING OFFICER

¶41

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Indian Bank v. M/S. B. Nagendra Nail Enterprises

Case brief

What is this about?

What did the court decide?

Indian Bank v. M/S. B. Nagendra Nail Enterprises

Case brief

What is this about?

What did the court decide?

What the court decided

A compact analysis

Issues for consideration

Statutes considered

Parties & counsel

Coram

Case details

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