Allowed

Bank of Maharashtra v. M/S. Mantena Laboratories Ltd.

DRT12 Dec 2024OA/282/2023

Case brief

AI extract

What is this about?

In this OA, the Debts Recovery Tribunal allowed the Bank of Maharashtra's application for recovery of Rs.5.39 crore. The court held that the bank established its claim under an overdue cash credit facility secured by an equitable mortgage and guarantees. The court directed joint and several repayment with interest and authorized proceeding against mortgaged properties.

What did the court decide?

Defendants jointly and severally liable to pay Rs.5,39,28,610.02 with future interest @15% p.a.; Applicant entitled to proceed against mortgaged properties and other defendants' properties; Recovery c

Bank of Maharashtra versus M/S. Mantena Laboratories Ltd. — Arbitration | DRT (2024)

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IN THE DEBTS RECOVERYTRIBUNAL-I AT HYDERABAD DATED THIS THE 12TH DAY OF DECEMBER' 2024

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PRESENT: SRI GUMMADI GOPICHAND, PRESIDING OFFICER

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OA.No.282 ol 2023

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Between:

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Bank of Maharashtra, Khairtabad branch, Khairtabad, Hyderabad. Represented by its Branch Manager

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Applicant

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VERSUS

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M/s. Mantena Laboratories Ltd, Rep by its Managing director, H.No.7-1-235 /42,^plot no.42, Flat no.2O2, 3'd floor, Suresh Arcade, Opp Nature Care Hospital,

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Balkampet, Hyderabad - 500 016.

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Mr. M.V.R.^prasad Raju, s/o M. Ramachandra raju,

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aged about 56 years, occ:business and director of Respondent no.1

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H.No.7-1-235 /42, plot no.42,

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Flat no.2O2, 3td floor, suresh arcade, Opp Nature Cure Hospital, Balkampet, Hyderabad - 500 016.

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Ms. M. Sirisha, D/o Mr. MVR^prasad Raju,

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Director of respondent no.1,

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H. No. 7- 1-235 / 42, ptot no.42,

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Flat no.202, 3'd floor, suresh arcade, Opp Nature Cure Hospital, Balkampet, Hyderabad - 500 016.

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1? Wl/W

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Ms. M. Sitadevi, D/o Mr. P. Bapi Raju,

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Aged major, occ: business and Director of Respondent no.1. H.No.7-1-235 /42, plot no.42,

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(OA.282 of 20231

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Flat no.202, 3'd floor, suresh arcade, Opp Nature Cure Hospital, Balkampet, Hyderabad - 500 016.

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Mr. M.S.S. Raju, s/o Mr. M. Ramachandra Raju, aged about major, occ: business and director of rEspondent no.1, H. No.7- 1-235 / 42, plot no.42, Flat no.202, 3'd floor, suresh arcade, Opp Nature Cure Hospital, Balkampet, Hyderabad - 500 016.

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Defendants

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Counsel for the Parties: For the Applicant For the Defendants

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Sri Mirza Safiulla Baig 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.5,39,2g,610.02ps (Rupees Five Crores Thirty Nine Lakhs Twenty Eight Thousand Six Hundred Ten and paise Two only) with future interest @ 15o/o p.a from date of application till the date of realization and in default for sale of mortgaged properties as described in the schedure (items no.1 to 13) to OA.

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As per the averments in nt Bank states that defendant No.1 is a

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pa ny cash credit facility of Rs.450 takhs and def6ndaflt{ r.ff0 ffiC st s guarantors to the loan availed by defendant 2 to 5 created

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(OA.282 of 2023)

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equitable mortgage in respect of their^{personal property and} deposited the title deeds in favour of^{Applicant Bank'The} defendants No.2 to 5^{gave collateral securityof immovableproperties} more fully described in the schedule to OA.^{The defendants1 and 2} executed demand^promissory note,^{composite hypothecation deed,} mortgagors declaration for equitable^{mortgageetc on 29.09.2011.} After availing the loan facility, the^{defendantsfailed to comply the} terms of sanction, hence the^{applicantbank was constrained to} classify the account as NPA and^{issued demand noticedated} 24.t2.20t3. Inspite of several requests and demands,^the defendants did not clear^the outstanding.^{Hencethis OA.}

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Defendants No.1 to 5 called absent^{and set exparte on 06.06.2024.}

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Sri Pravin Kumar Mahto,^{Chief Manager of the ApplicantBank} examined herself as AW.1 and^{exhibited relevant documents,which} are marked as Ex.A.1to^A.21.

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Heard the Ld. Counsel^{for the Applicant Bank.}

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The^point that arise^for consideration is he Applicant Bank iS entitled for the claim made in th Ff#R""ndants AS prayed for? hP E*i

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12^oECzozf ;i

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Counsel for defendants rem a rn the case Bank was

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of the Applicant Bank, AW.1,

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(oA.282 of 2023)

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examined and he exhibited relevant documents as Ex.A1 to A.21. 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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In the result, the^present OA is allowed with costs, as under: The Defendants are^jointly and severally liable to pay to the Applicant Bank a total sum of Rs.5,39,28,610.02ps^(RupeesFive Crores Thirty Nine Lakhs Twenty Eight Thousand Six Hundred Ten and paise Two only) with future interest @ 15%^{p.a from} date of application till the date of realization.

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The Applicant bank is entitled to^proceed against the^mortgaged properties as described in schedule (item no.1 to 13) to OA towards realization of the debt due.

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The Applicant Bank is also entitled to^proceed against the^person

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and^properties of defendants No.2 to 5 and^properties of^defendant no.1 firm towards realization of the debt due.

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The Applicant Bank is entitled to-tEg:fmttQf ffi the OA.

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the date

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1. rhe Appricant shafl rire " rf$;; ffin'"ih"ks rrom of receipt of order. : .- 1 2 SEI m

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?EAY

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(oA.282 of 2023)

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Issue Recovery certificate accordingly.

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t4. 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 12th day of Dec, 2024)

sd/ - (G. GOPTCHAND)

PRESIDING OFFICER

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Bank of Maharashtra v. M/S. Mantena Laboratories Ltd.

Case brief

What is this about?

What did the court decide?

Bank of Maharashtra v. M/S. Mantena Laboratories Ltd.

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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