Allowed

Canara Bank v. Sri Lakshmi Vinayaka Constructions

DRT22 Aug 2024OA/60/2024

Case brief

AI extract

What is this about?

The Debts Recovery Tribunal allowed an arbitration application filed by Canara Bank against M/s. Sri Lakshmi Vinayaka Constructions. The Tribunal held the defendant liable to pay the claimed amount with future interest and costs, securing the claim via mortgaged properties.

What did the court decide?

The respondent to pay Rs. 32,32,037.20 with 9.15% p.a. interest, costs, and proceed against mortgaged properties.

Canara Bank versus Sri Lakshmi Vinayaka Constructions — Arbitration | DRT (2024)

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IN THE DEBTS RECOVERY TRIBUNAL.II AT HYDERABAD

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DATED THIS THE 22Nd DAY OF AUGUST, 2024

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PRESENT: SH. RAIYESHWAR KOTHE, B.Com., L.LB. (Hons.), lvl.A.

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PRESIDING OFFICER

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ORIGINAL APPLICATION No: 60 OF 2024

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lvl/s.Canara Bank, Tirupati 14ain Branch, O/o.R.C.Road, Tirupati. Rep. by its Chief lYanager.

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.....Applica nt.

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Versus

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M/s. Sri Lakshmi Vinayaka Constructions., Proprietorship rep by its Proprietor lYr.K.Balachandra Naidu, S/o. K.Subra manyam Naidu, Age Major, lYale, Occ: Business, O/o 23-80-8/301, Flat No.301, Ananda Nilayam, Royal Nagar, Tirupati - 517501.

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, .. Defenda nt

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Counsel for the Applicant

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Defenda nt

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: lvl/s.14anav Gecil Thomas

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:Ex-parte

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:: ILLD-L8 ::

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The Applicant Bank filed the^present OA for the recovery a total sum of Rs.32,32,037.20ps as on 31.12.2023 from the defendant with future interest @ 36%^p.a. from 01.01.2024 till the date of realizatlon along with costs and in default for sale of oA schedule properties. ,,:.:..%"

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oA.NO.60/2024

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Summons served on sole defendant and was set ex-parte^on 01.05.2024 as called absent and no representation.

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The Applicant Bank examlned B.Ganapathi Varma, Authorized Representative, as AW-1 and marked 15 documents through him as Ex.A.1 to Ex.A.15.

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Ld. Counsel for the Applicant Bank stated orders may be^passed on merits. 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 entitled for the claim made in the OA against the Defendant and OA schedule propefties?

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As stated supra, the Defendant remained ex-parte. The Evidence Affidavit coupled with the recitals in the documents viz., Exs.A.1 to A.15 marked on behalf of the Applicant Bank clinches the claim of the Applicant Bank against the Defendant. Hence, I hold that the Defendant is liable to pay the OA claim to the Applicant Bank with future interest and costs.

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In the result, the present Original Application No.60/2024 is allowed as under: -

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i) The Defendant is liable to pay to the Applicant Bank a sum of Rs.32,32,037.20ps with future interest @ 9.15o/o p.a. simple 2Y,*'

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oA.NO.60/2024

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from the date of application till the date of realization;

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ii) the OA claim is secured by way of mortgaged properties described in the schedule annexed to the OA and the applicant bank is entitled to proceed against the same to realise its debt;

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

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iv) the applicant bank is entitled for the costs.

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B. 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 Certificate accordingly.

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Communicate a copy of this order to the^parties concerned. (Dictated to the steno, corrected, signed and pronounced by me in the open court on this the 22"d Day of August, 2024).

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DW"'n

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k(rqesHwaR^KorHE) PRESIDING OFFICER

Canara Bank v. Sri Lakshmi Vinayaka Constructions

Case brief

What is this about?

What did the court decide?

Canara Bank v. Sri Lakshmi Vinayaka Constructions

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

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