Allowed

State Bank of India v. M/S. Shrirama Polymers

DRT19 Feb 2024OA/78/2023

Case brief

AI extract

What is this about?

In OA.No.78 of 2023, the Debts Recovery Tribunal allowed the application filed by State Bank of India against M/s. Shrirama polymers and its proprietor Sri ArollaSriram. The Tribunal held that the bank established its claim of Rs.50,74,225 along with future interest. Consequently, the respondents were held jointly and severally liable to pay the amount, and a recovery certificate was directed.

What did the court decide?

Defendants jointly and severally liable to pay Rs.50,74,225 with future interest; recovery certificate issued.

State Bank of India versus M/S. Shrirama Polymers — Banking and Recovery | DRT (2024)

¶1

IN THE DEBTS RECOVERY TRIBUNAL-I AT HYDERABAD DATED THIS THE 19TH DAY OF FEBRUARY' 2024

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PRESENT: SRI GUMMADI GoPICHAND, PRESIDING oFFICER

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OA.No.78 of 2023

¶4

Between:

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State Bank of India, SARB-I, 2"o floor, TSRTC Community Amenity Centre, Bus terminal complex, Koti, Hyderabad - 500 095.

¶6

Represented by its Chief Manager

...

Applicant

VERSUS

M/s. Shrirama^polymers,

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Represented by its proprietor Sri ArrollaSriram,^plot No.LlB/4,

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TSIIC Green Industrial park,

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OppOlectra, Jedcharla,

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Mahabubnagar district - 509 301.

¶15

Sri ArrollaSriram,

¶16

Male, aged major, proprietor of

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M/s. Shrirama polymers,

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Plot No.L18/4,

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TSIIC Green Industrial park, OppOlectra, Jedcharla,

¶20

Mahabubnagar district - 509 301.

¶21

Defendants

¶22

Counsel for the parties:

¶23

For the Applicant
Sri KVCMS Sarma
For the Def
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¶24

(OA.No.78 of 2023)

¶25

ORDER

¶26

1' The Applicant Bank fired the present oA against Defendants for recovery of a total sum of Rs.5O,74,225,/- (Rupees Fifty Lakhs Seventy Four thousand Two hundred and Twenty five only) with future interest @ 11.90% p.aincluding penal interest @ 2% penal interest with monthly rests from 13.12.2022 till the date of realization.

¶27

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.44.00 rakhs and cash credit of Rs.5.90 rakhs and executed all required documents. After availing the roan facilities, the defendants faired to compry the terms of sanction, hence the applicant bank was constrained to classify the account as NpA and issued legal notice dated LS.LZ.2022. Inspite of several requests and demands, the defendants did not crear the outstanding. Hence this OA.

¶28

Defendants 1 and 2 cailed absent and set exparte on 0t.01.2024.

¶29

Shri A. plicant Bank exa m in ed himself uments, which are marked

¶30

(OA.No.78 of 2023)

¶31

Heard the Ld. Counsel for the Applicant Bank.

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6' 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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Defendants 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.g. 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 entiued to recover the claim made in the oA with future interest and costs.

¶34

B. In the result, the present OA is allowed with costs, as under:

¶35

The Defendants are jointly and severally liable to pay to the Applicant Bank a total sum of Rs.5O,74,225l- (Rupees Fifty Lakhs Seventy Four thousand Two hundred and Twenty five only) with future interest @ 11.90olo p.a in nqJ^interest @ 2olo^penal interest from 13.72.2022

¶36

(OA.No.78 of 2023)

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the Applicant Bank is also entiued to proceed against the person and properties of defendant No.2 and properties of defendant no.1 firm towards realization of the debt due,

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

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t2. The Applicant shall file a cost memo within two weeks from the date

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of receipt of order.

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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 19th day ot Feb,2O24j

¶44

sd/-

¶45

(G. GOPTCHAND) PRESIDING OFFICER

¶46

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¶47

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¶48

State Bank of India v. M/S. Shrirama Polymers

Case brief

What is this about?

What did the court decide?

State Bank of India v. M/S. Shrirama Polymers

Case brief

What is this about?

What did the court decide?

What the court decided

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